Correlation Between VINCI and POCC

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

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

Diversification Opportunities for VINCI and POCC

0.23

Correlation Coefficient

VINCI  POCC

Modest diversification

The 3 months correlation between VINCI and POCC is 0.23. Overlapping area represents the amount of risk that can be diversified away by holding VINCI and POCC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on POCC and VINCI 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 VINCI are associated (or correlated) with POCC. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of POCC has no effect on the direction of VINCI i.e., VINCI and POCC go up and down completely randomly.

Pair Corralation between VINCI and POCC

Assuming the 90 days trading horizon VINCI is expected to under-perform the POCC. But the crypto coin apears to be less risky and, when comparing its historical volatility, VINCI is 2.1 times less risky than POCC. The crypto coin trades about -0.07 of its potential returns per unit of risk. The POCC is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest  0.02  in POCC on July 21, 2025 and sell it today you would earn a total of  0.00  from holding POCC or generate 4.28% return on investment over 90 days.

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

VINCI  vs.  POCC

VINCI

Risk-Adjusted Performance

Weakest

Over the last 90 days VINCI has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest unsteady performance, the Crypto's fundamental indicators remain sound and the latest tumult on Wall Street may also be a sign of longer-term gains for VINCI shareholders.

POCC

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in POCC are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. In spite of rather unsteady fundamental indicators, POCC may actually be approaching a critical reversion point that can send shares even higher in November 2025.

Pair Trading with VINCI and POCC

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

The idea behind VINCI and POCC 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 Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.