Correlation Between Auction Technology and MyHealthChecked Plc
Can any of the company-specific risk be diversified away by investing in both Auction Technology and MyHealthChecked Plc 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 Auction Technology and MyHealthChecked Plc into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Auction Technology Group and MyHealthChecked Plc, you can compare the effects of market volatilities on Auction Technology and MyHealthChecked Plc 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 Auction Technology with a short position of MyHealthChecked Plc. Check out your portfolio center. Please also check ongoing floating volatility patterns of Auction Technology and MyHealthChecked Plc.
Diversification Opportunities for Auction Technology and MyHealthChecked Plc
0.07 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Auction and MyHealthChecked is 0.07. Overlapping area represents the amount of risk that can be diversified away by holding Auction Technology Group and MyHealthChecked Plc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MyHealthChecked Plc and Auction Technology 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 Auction Technology Group are associated (or correlated) with MyHealthChecked Plc. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MyHealthChecked Plc has no effect on the direction of Auction Technology i.e., Auction Technology and MyHealthChecked Plc go up and down completely randomly.
Pair Corralation between Auction Technology and MyHealthChecked Plc
Assuming the 90 days trading horizon Auction Technology Group is expected to under-perform the MyHealthChecked Plc. In addition to that, Auction Technology is 2.73 times more volatile than MyHealthChecked Plc. It trades about -0.03 of its total potential returns per unit of risk. MyHealthChecked Plc is currently generating about -0.07 per unit of volatility. If you would invest 1,475 in MyHealthChecked Plc on January 26, 2025 and sell it today you would lose (25.00) from holding MyHealthChecked Plc or give up 1.69% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Auction Technology Group vs. MyHealthChecked Plc
Performance |
| Timeline |
| Auction Technology |
| MyHealthChecked Plc |
Auction Technology and MyHealthChecked Plc Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Auction Technology and MyHealthChecked Plc
The main advantage of trading using opposite Auction Technology and MyHealthChecked Plc positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Auction Technology position performs unexpectedly, MyHealthChecked Plc 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 MyHealthChecked Plc will offset losses from the drop in MyHealthChecked Plc's long position.| Auction Technology vs. Litigation Capital Management | Auction Technology vs. Liontrust Asset Management | Auction Technology vs. Global Net Lease | Auction Technology vs. Impax Asset Management |
| MyHealthChecked Plc vs. Samsung Electronics Co | MyHealthChecked Plc vs. Samsung Electronics Co | MyHealthChecked Plc vs. Samsung Electronics Co | MyHealthChecked Plc vs. Toyota Motor Corp |
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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Other Complementary Tools
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets |