Pair Correlation Between Yahoo Inc and VMware Inc

Investment Horizon     30 Days    Login   to change
This module allows you to analyze existing cross correlation between Yahoo Inc and VMware Inc. You can compare the effects of market volatilities on Yahoo Inc and VMware Inc 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 Yahoo Inc with a short position of VMware Inc. Please also check ongoing floating volatility patterns of Yahoo Inc and VMware Inc.
 Yahoo! Inc.  vs   VMware Inc.
Daily Returns (%)
Benchmark  Embed   Timeline 
Given the investment horizon of 30 days, Yahoo Inc is expected to under-perform the VMware Inc. But the stock apears to be less risky and, when comparing its historical volatility, Yahoo Inc is 1.1 times less risky than VMware Inc. The stock trades about -0.27 of its potential returns per unit of risk. The VMware Inc is currently generating about 0.02 of returns per unit of risk over similar time horizon. If you would invest  6,015  in VMware Inc on October 30, 2015 and sell it today you would earn a total of  30.00  from holding VMware Inc or generate 0.5% return on investment over 30 days.

Correlation Coefficient



Time Period1 Month [change]
StrengthVery Weak
ValuesDaily Returns


Weak diversification

Overlapping area represents amount of risk that can be diversified away by holding Yahoo! Inc. and VMware Inc. in the same portfolio assuming nothing else is changed

Historical Performance Chart

Comparative Volatility

Predicted Return Density  
Benchmark  Embed   Returns 

Yahoo Inc


Risk-adjusted Performance

Over the last 30 days Yahoo Inc has generated negative risk-adjusted returns adding no value to investors with long positions.

Pair trading matchups for Yahoo Inc


VMware Inc


Risk-adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in VMware Inc are ranked lower than 1 (%) of all global equities and portfolios over the last 30 days.

Pair trading matchups for VMware Inc