Correlation Analysis Between Facebook and Spark Networks

This module allows you to analyze existing cross correlation between Facebook and Spark Networks. You can compare the effects of market volatilities on Facebook and Spark Networks 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 Facebook with a short position of Spark Networks. See also your portfolio center. Please also check ongoing floating volatility patterns of Facebook and Spark Networks.
Horizon     30 Days    Login   to change
Check Efficiency

Comparative Performance


Risk-Adjusted Performance

Over the last 30 days Facebook has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, Facebook is not utilizing all of its potentials. The recent stock price disturbance, may contribute to short term losses for the investors.
Spark Networks  

Risk-Adjusted Performance

Over the last 30 days Spark Networks has generated negative risk-adjusted returns adding no value to investors with long positions. Inspite weak performance in the last few months, the Stock's primary indicators remain fairly stable which may send shares a bit higher in October 2019. The continuing fuss may also be a sign of long-term up-swing for the venture directors.

Facebook and Spark Networks Volatility Contrast

 Predicted Return Density 

Facebook Inc  vs.  Spark Networks Inc

 Performance (%) 

Pair Volatility

Allowing for the 30-days total investment horizon, Facebook is expected to generate 0.42 times more return on investment than Spark Networks. However, Facebook is 2.38 times less risky than Spark Networks. It trades about 0.0 of its potential returns per unit of risk. Spark Networks is currently generating about -0.2 per unit of risk. If you would invest  18,901  in Facebook on August 16, 2019 and sell it today you would lose (210.00)  from holding Facebook or give up 1.11% of portfolio value over 30 days.

Pair Corralation between Facebook and Spark Networks

Time Period3 Months [change]
ValuesDaily Returns

Diversification Opportunities for Facebook and Spark Networks

Facebook Inc diversification synergy

Very poor diversification

Overlapping area represents the amount of risk that can be diversified away by holding Facebook Inc and Spark Networks Inc in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Spark Networks and Facebook 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 Facebook are associated (or correlated) with Spark Networks. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Spark Networks has no effect on the direction of Facebook i.e. Facebook and Spark Networks go up and down completely randomly.
See also your portfolio center. Please also try Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.