| 2867 Stock | | | TWD 6.50 0.01 0.15% |
The correlation of Mercuries Life is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak. If the correlation is 0, the equities are not correlated; they are entirely random.
The ability to find closely correlated positions to Mercuries Life could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Mercuries Life when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Mercuries Life - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Mercuries Life Insurance to buy it.
Related Correlations Analysis
Correlation Matchups
Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.
High positive correlations | | High negative correlations |
Risk-Adjusted IndicatorsThere is a big difference between Mercuries Stock performing well and Mercuries Life Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze Mercuries Life's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.
Mercuries Life Related Equities
One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with Mercuries Life stock to make a market-neutral strategy. Peer analysis of Mercuries Life could also be used in its relative valuation, which is a method of valuing Mercuries Life by comparing valuation metrics with similar companies.
Mercuries Life Corporate Management
Elected by the shareholders, the Mercuries Life's board of directors comprises two types of representatives: Mercuries Life inside directors who are chosen from within the company, and outside directors, selected externally and held independent of Mercuries. The board's role is to monitor Mercuries Life's management team and ensure that shareholders' interests are well served. Mercuries Life's inside directors are responsible for reviewing and approving budgets prepared by upper management to implement core corporate initiatives and projects. On the other hand, Mercuries Life's outside directors are responsible for providing unbiased perspectives on the board's policies.