Correlation Between HUMANA and Select Fund
Specify exactly 2 symbols:
By analyzing existing cross correlation between HUMANA INC and Select Fund A, you can compare the effects of market volatilities on HUMANA and Select Fund 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 HUMANA with a short position of Select Fund. Check out your portfolio center. Please also check ongoing floating volatility patterns of HUMANA and Select Fund.
Diversification Opportunities for HUMANA and Select Fund
-0.06 | Correlation Coefficient |
Good diversification
The 3 months correlation between HUMANA and Select is -0.06. Overlapping area represents the amount of risk that can be diversified away by holding HUMANA INC and Select Fund A in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Select Fund A and HUMANA 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 HUMANA INC are associated (or correlated) with Select Fund. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Select Fund A has no effect on the direction of HUMANA i.e., HUMANA and Select Fund go up and down completely randomly.
Pair Corralation between HUMANA and Select Fund
Assuming the 90 days trading horizon HUMANA is expected to generate 2.45 times less return on investment than Select Fund. But when comparing it to its historical volatility, HUMANA INC is 1.03 times less risky than Select Fund. It trades about 0.15 of its potential returns per unit of risk. Select Fund A is currently generating about 0.35 of returns per unit of risk over similar time horizon. If you would invest 10,413 in Select Fund A on March 13, 2024 and sell it today you would earn a total of 506.00 from holding Select Fund A or generate 4.86% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 95.24% |
Values | Daily Returns |
HUMANA INC vs. Select Fund A
Performance |
Timeline |
HUMANA INC |
Select Fund A |
HUMANA and Select Fund Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with HUMANA and Select Fund
The main advantage of trading using opposite HUMANA and Select Fund positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HUMANA position performs unexpectedly, Select Fund 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 Select Fund will offset losses from the drop in Select Fund's long position.HUMANA vs. AEP TEX INC | HUMANA vs. US BANK NATIONAL | HUMANA vs. Boston Scientific Corp | HUMANA vs. Office Properties Income |
Select Fund vs. Direxion Monthly Nasdaq 100 | Select Fund vs. Nasdaq 100 2x Strategy | Select Fund vs. Nasdaq 100 2x Strategy | Select Fund vs. Ultranasdaq 100 Profund Ultranasdaq 100 |
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 the Commodity Directory module to find actively traded commodities issued by global exchanges.
Other Complementary Tools
Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
Fundamental Analysis View fundamental data based on most recent published financial statements |