Correlation Between Probe Metals and Dayforce

Can any of the company-specific risk be diversified away by investing in both Probe Metals and Dayforce at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Probe Metals and Dayforce into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Probe Metals and Dayforce, you can compare the effects of market volatilities on Probe Metals and Dayforce and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Probe Metals with a short position of Dayforce. Check out your portfolio center. Please also check ongoing floating volatility patterns of Probe Metals and Dayforce.

Diversification Opportunities for Probe Metals and Dayforce

0.75

Correlation Coefficient

Probe Metals  Dayforce

Poor diversification

The 3 months correlation between Probe and Dayforce is 0.75. Overlapping area represents the amount of risk that can be diversified away by holding Probe Metals and Dayforce in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dayforce and Probe Metals is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Probe Metals are associated (or correlated) with Dayforce. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dayforce has no effect on the direction of Probe Metals i.e., Probe Metals and Dayforce go up and down completely randomly.

Pair Corralation between Probe Metals and Dayforce

Assuming the 90 days horizon Probe Metals is expected to under-perform the Dayforce. In addition to that, Probe Metals is 17.64 times more volatile than Dayforce. It trades about -0.14 of its total potential returns per unit of risk. Dayforce is currently generating about -0.11 per unit of volatility. If you would invest  6,883  in Dayforce on July 29, 2025 and sell it today you would lose (35.00) from holding Dayforce or give up 0.51% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	100.0%
Values	Daily Returns

Probe Metals  vs.  Dayforce

Probe Metals

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in Probe Metals are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile fundamental drivers, Probe Metals reported solid returns over the last few months and may actually be approaching a breakup point.

Dayforce

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in Dayforce are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. In spite of fairly unsteady basic indicators, Dayforce showed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Probe Metals and Dayforce

The main advantage of trading using opposite Probe Metals and Dayforce positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Probe Metals position performs unexpectedly, Dayforce can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Dayforce will offset losses from the drop in Dayforce's long position.

The idea behind Probe Metals and Dayforce pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..