Correlation Analysis Between Hess and Total

       
Investment Horizon     30 Days    Login   to change
This module allows you to analyze existing cross correlation between Hess Corporation and Total SA. You can compare the effects of market volatilities on Hess and Total 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 Hess with a short position of Total. Please also check ongoing floating volatility patterns of Hess and Total.
 Hess Corp.  vs   Total SA
Daily Returns (%)
HES   TOT   
Benchmark  Embed   Timeline 
Considering 30-days investment horizon, Hess Corporation is expected to generate 1.52 times more return on investment than Total. However, Hess is 1.52 times more volatile than Total SA. It trades about 0.03 of its potential returns per unit of risk. Total SA is currently generating about -0.2 per unit of risk. If you would invest  5,592  in Hess Corporation on August 5, 2015 and sell it today you would earn a total of  43.00  from holding Hess Corporation or generate 0.77% return on investment over 30 days.

Correlation Coefficient

0.83

Parameters

Time Period1 Month [change]
DirectionPositive TOT Moved Up vs HES
StrengthStrong
Accuracy100.0%
ValuesDaily Returns
  

Diversification

Very poor diversification

Overlapping area represents amount of risk that can be diversified away by holding Hess Corp. and Total SA in the same portfolio assuming nothing else is changed

Historical Performance Chart

Comparative Volatility

Predicted Return Density  
Benchmark  Embed   Returns 

Hess

  

Risk-adjusted Performance

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

Pair trading matchups for Hess

  

Total SA

  

Risk-adjusted Performance

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

Pair trading matchups for Total