This module allows you to analyze existing cross correlation between Suncor Energy Inc and Hess Corporation. You can compare the effects of market volatilities on Suncor Energy and Hess 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 Suncor Energy with a short position of Hess. See also your portfolio center
. Please also check ongoing floating volatility patterns of Suncor Energy
Suncor Energy Inc vs Hess Corp.
Allowing for the 30-days total investment horizon, Suncor Energy Inc is expected to under-perform the Hess. But the stock apears to be less risky and, when comparing its historical volatility, Suncor Energy Inc is 1.49 times less risky than Hess. The stock trades about -0.14 of its potential returns per unit of risk. The Hess Corporation is currently generating about 0.12 of returns per unit of risk over similar time horizon. If you would invest 4,584 in Hess Corporation on February 19, 2018 and sell it today you would earn a total of 255.00 from holding Hess Corporation or generate 5.56% return on investment over 30 days.
|Time Period||1 Month [change]|
Very good diversification
Overlapping area represents the amount of risk that can be diversified away by holding Suncor Energy Inc and Hess Corp. in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Hess and Suncor Energy 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 Suncor Energy Inc are associated (or correlated) with Hess. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hess has no effect on the direction of Suncor Energy i.e. Suncor Energy and Hess go up and down completely randomly.
Over the last 30 days Suncor Energy Inc has generated negative risk-adjusted returns adding no value to investors with long positions.
Compared to the overall equity markets, risk-adjusted returns on investments in Hess Corporation are ranked lower than 7 (%) of all global equities and portfolios over the last 30 days.