Correlation Between Rogers Communications and Dayforce

Can any of the company-specific risk be diversified away by investing in both Rogers Communications 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 Rogers Communications and Dayforce into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Rogers Communications and Dayforce, you can compare the effects of market volatilities on Rogers Communications 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 Rogers Communications with a short position of Dayforce. Check out your portfolio center. Please also check ongoing floating volatility patterns of Rogers Communications and Dayforce.

Diversification Opportunities for Rogers Communications and Dayforce

-0.37

Correlation Coefficient

Rogers Communications  Dayforce

Very good diversification

The 3 months correlation between Rogers and Dayforce is -0.37. Overlapping area represents the amount of risk that can be diversified away by holding Rogers Communications and Dayforce in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dayforce and Rogers Communications 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 Rogers Communications 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 Rogers Communications i.e., Rogers Communications and Dayforce go up and down completely randomly.

Pair Corralation between Rogers Communications and Dayforce

Assuming the 90 days trading horizon Rogers Communications is expected to generate 0.55 times more return on investment than Dayforce. However, Rogers Communications is 1.8 times less risky than Dayforce. It trades about 0.26 of its potential returns per unit of risk. Dayforce is currently generating about 0.03 per unit of risk. If you would invest  3,882  in Rogers Communications on April 23, 2025 and sell it today you would earn a total of  898.00  from holding Rogers Communications or generate 23.13% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	98.41%
Values	Daily Returns

Rogers Communications  vs.  Dayforce

Rogers Communications

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Rogers Communications are ranked lower than 20 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively abnormal basic indicators, Rogers Communications unveiled solid returns over the last few months and may actually be approaching a breakup point.

Dayforce

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Dayforce are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. In spite of very healthy basic indicators, Dayforce is not utilizing all of its potentials. The latest stock price disarray, may contribute to short-term losses for the investors.

Pair Trading with Rogers Communications and Dayforce

The main advantage of trading using opposite Rogers Communications and Dayforce positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Rogers Communications 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 Rogers Communications 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.

Check out your portfolio center.

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 Watchlist Optimization module to optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm.