Correlation Between TNB and UQC

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

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

Diversification Opportunities for TNB and UQC

0.24

Correlation Coefficient

TNB  UQC

Modest diversification

The 3 months correlation between TNB and UQC is 0.24. Overlapping area represents the amount of risk that can be diversified away by holding TNB and UQC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on UQC and TNB 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 TNB are associated (or correlated) with UQC. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of UQC has no effect on the direction of TNB i.e., TNB and UQC go up and down completely randomly.

Pair Corralation between TNB and UQC

Assuming the 90 days trading horizon TNB is expected to under-perform the UQC. In addition to that, TNB is 6.28 times more volatile than UQC. It trades about -0.21 of its total potential returns per unit of risk. UQC is currently generating about -0.03 per unit of volatility. If you would invest  364.00  in UQC on July 27, 2025 and sell it today you would lose (8.00) from holding UQC or give up 2.2% of portfolio value over 90 days.

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

TNB  vs.  UQC

TNB

Risk-Adjusted Performance

Weakest

Over the last 90 days TNB has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of unsteady performance in the last few months, the Crypto's fundamental drivers remain rather sound which may send shares a bit higher in November 2025. The latest tumult may also be a sign of longer-term up-swing for TNB shareholders.

UQC

Risk-Adjusted Performance

Weakest

Over the last 90 days UQC has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of unsteady performance in the last few months, the Crypto's fundamental indicators remain rather sound which may send shares a bit higher in November 2025. The latest tumult may also be a sign of longer-term up-swing for UQC shareholders.

Pair Trading with TNB and UQC

The main advantage of trading using opposite TNB and UQC positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if TNB position performs unexpectedly, UQC 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 UQC will offset losses from the drop in UQC's long position.

The idea behind TNB and UQC 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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.