Pair Correlation Between TOTAL SA and Hess Corporation

  
Investment Horizon     30 Days    Login   to change
This module allows you to analyze existing cross correlation between TOTAL SA and Hess Corporation. You can compare the effects of market volatilities on TOTAL SA and Hess Corporation 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 TOTAL SA with a short position of Hess Corporation. Please also check ongoing floating volatility patterns of TOTAL SA and Hess Corporation.
 TOTAL S.A.  vs   Hess Corp.
Daily Returns (%)
HES   TOT   
Benchmark  Embed   Timeline 
Considering 30-days investment horizon, TOTAL SA is expected to generate 0.48 times more return on investment than Hess Corporation. However, TOTAL SA is 2.07 times less risky than Hess Corporation. It trades about 0.13 of its potential returns per unit of risk. Hess Corporation is currently generating about -0.08 per unit of risk. If you would invest  4,061  in TOTAL SA on January 8, 2016 and sell it today you would earn a total of  286.00  from holding TOTAL SA or generate 7.04% return on investment over 30 days.

Correlation Coefficient

0.61

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthSignificant
Accuracy100.0%
ValuesDaily Returns
  

Diversification

Poor diversification

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

Historical Performance Chart

Comparative Volatility

Predicted Return Density  
Benchmark  Embed   Returns 

TOTAL SA

  

Risk-adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in TOTAL SA are ranked lower than 8 (%) of all global equities and portfolios over the last 30 days.

Pair trading matchups for TOTAL SA

  

Hess

  

Risk-adjusted Performance

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

Pair trading matchups for Hess Corporation