Correlation coefficients range from -1 to +1, indicating the strength of relationships between variables. Investors use correlation coefficients for portfolio diversification to reduce risk.

Jason Fernando is a professional investor and writer who enjoys tackling and communicating complex business and financial problems. David Kindness is a Certified Public Accountant (CPA) and an expert ...

Revue de l'Institut International de Statistique / Review of the International Statistical Institute, Vol. 4, No. 3 (Oct., 1936), pp. 355-366 (12 pages) Referring to a recent article in this Review ...

Almost every day you can find in media commentary that XYZ is causing stocks to fall (or rise). Such definitive statements are common—but what’s almost always missing is statistical proof. And if you ...

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This paper uses a topic from multivariate analysis, i.e., canonical correlation theory, in the development of a generalized correlation coefficient for simultaneous equation systems. Canonical ...