Pair Correlation Between DOW and Digimarc

This module allows you to analyze existing cross correlation between DOW and Digimarc Corporation. You can compare the effects of market volatilities on DOW and Digimarc 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 DOW with a short position of Digimarc. See also your portfolio center. Please also check ongoing floating volatility patterns of DOW and Digimarc.
 Time Horizon     30 Days    Login   to change
 DOW  vs   Digimarc Corp.
 Performance (%) 

Pair Volatility

Given the investment horizon of 30 days, DOW is expected to generate 0.27 times more return on investment than Digimarc. However, DOW is 3.69 times less risky than Digimarc. It trades about -0.05 of its potential returns per unit of risk. Digimarc Corporation is currently generating about -0.07 per unit of risk. If you would invest  2,520,037  in DOW on February 15, 2018 and sell it today you would lose (32,671)  from holding DOW or give up 1.3% of portfolio value over 30 days.

Correlation Coefficient

Pair Corralation between DOW and Digimarc


Time Period1 Month [change]
StrengthVery Weak
ValuesDaily Returns


Modest diversification

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

Comparative Volatility

 Predicted Return Density