Strategy PP Variable xStock (STRCX) is 374.9× the size of PepsiCo xStock (PEPX) by market capitalisation. Their daily returns move barely together (correlation 0.11 across 35 shared trading days). STRCX has been the more volatile of the two, at 51% annualised against PEPX's 43%.
$109.7500
PEPXSTRCX
0.11over 35 shared trading days
Measured on daily returns rather than on prices. Two assets that both simply trend upward score near 1.0 on raw prices whether or not they move together, so returns are what answer the question people mean by correlation.
| Metric | PEPX | STRCX |
|---|---|---|
| Max drawdown (400d) | -27.3% | -7.5% |
| Risk-adjusted return (90d) | -0.31 | 0.16 |
Relative strength over 90 days: STRCX outperformed PEPX by 12.0% — measured on the PEPX/STRCX ratio, so it holds regardless of market direction.