Correlation Between Bancfirst Corp and Thrivent Partner

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Bancfirst Corp and Thrivent Partner at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Bancfirst Corp and Thrivent Partner into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bancfirst Corp and Thrivent Partner Worldwide, you can compare the effects of market volatilities on Bancfirst Corp and Thrivent Partner 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 Bancfirst Corp with a short position of Thrivent Partner. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bancfirst Corp and Thrivent Partner.

Diversification Opportunities for Bancfirst Corp and Thrivent Partner

0.7
  Correlation Coefficient

Poor diversification

The 3 months correlation between Bancfirst and Thrivent is 0.7. Overlapping area represents the amount of risk that can be diversified away by holding Bancfirst Corp and Thrivent Partner Worldwide in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Thrivent Partner Wor and Bancfirst Corp 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 Bancfirst Corp are associated (or correlated) with Thrivent Partner. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Thrivent Partner Wor has no effect on the direction of Bancfirst Corp i.e., Bancfirst Corp and Thrivent Partner go up and down completely randomly.

Pair Corralation between Bancfirst Corp and Thrivent Partner

Given the investment horizon of 90 days Bancfirst Corp is expected to generate 1.5 times more return on investment than Thrivent Partner. However, Bancfirst Corp is 1.5 times more volatile than Thrivent Partner Worldwide. It trades about -0.16 of its potential returns per unit of risk. Thrivent Partner Worldwide is currently generating about -0.26 per unit of risk. If you would invest  10,593  in Bancfirst Corp on June 27, 2022 and sell it today you would lose (1,242)  from holding Bancfirst Corp or give up 11.72% of portfolio value over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthSignificant
Accuracy100.0%
ValuesDaily Returns

Bancfirst Corp  vs.  Thrivent Partner Worldwide

 Performance (%) 
       Timeline  
Bancfirst Corp 
Bancfirst Performance
0 of 100
Over the last 90 days Bancfirst Corp has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of rather sound basic indicators, Bancfirst Corp is not utilizing all of its potentials. The new stock price tumult, may contribute to shorter-term losses for the shareholders.

Bancfirst Price Channel

Thrivent Partner Wor 
Thrivent Performance
0 of 100
Over the last 90 days Thrivent Partner Worldwide has generated negative risk-adjusted returns adding no value to fund investors. In spite of latest uncertain performance, the Fund's basic indicators remain strong and the current disturbance on Wall Street may also be a sign of long term gains for the fund investors.

Thrivent Price Channel

Bancfirst Corp and Thrivent Partner Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Bancfirst Corp and Thrivent Partner

The main advantage of trading using opposite Bancfirst Corp and Thrivent Partner positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bancfirst Corp position performs unexpectedly, Thrivent Partner can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Thrivent Partner will offset losses from the drop in Thrivent Partner's long position.
Bancfirst Corp vs. Sigma Lithium Corp
The idea behind Bancfirst Corp and Thrivent Partner Worldwide pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
Thrivent Partner vs. Caterpillar
Check out your portfolio center. Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.

Other Complementary Tools

Crypto Correlations
Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins
Go
Equity Forecasting
Use basic forecasting models to generate price predictions and determine price momentum
Go
Global Correlations
Find global opportunities by holding instruments from different markets
Go
Commodity Channel Index
Use Commodity Channel Index to analyze current equity momentum
Go
Bond Analysis
Evaluate and analyze corporate bonds as a potential investment for your portfolios.
Go
Portfolio Manager
State of the art Portfolio Manager to monitor and improve performance of your invested capital
Go
Money Flow Index
Determine momentum by analyzing Money Flow Index and other technical indicators
Go
Volatility Analysis
Get historical volatility and risk analysis based on latest market data
Go