Correlation is measured through the correlation coefficient, which always returns a value between +1.0 (perfectly positively correlated) and -1.0 (perfectly negatively correlated).

Calculating the Pearson correlation coefficient can be complicated but software makes it much easier. You can use several methods to calculate correlation in Excel.

Step 2: Calculate the 90-day correlation of Apple and S&P 500 by using the shorthand command in the spreadsheet. It won't matter whether Apple is the first or second array, just as long as the ...

Spearman’s rank correlation is a statistical technique used to understand the relationship between two variables when the relationship does not conform to a linear pattern. Spearman’s rank correlation ...

Beta is a way to quantify a stock’s systematic risk. In simple terms, systematic risk refers to investment risk related to the movement of the entire market. Beta can help you answer questions like, ...