Correlation Between Bank of America and TOTAL
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bank of America and TOTAL CAPITAL INTERNATIONAL, you can compare the effects of market volatilities on Bank of America and TOTAL 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 Bank of America with a short position of TOTAL. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank of America and TOTAL.
Diversification Opportunities for Bank of America and TOTAL
-0.69 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Bank and TOTAL is -0.69. Overlapping area represents the amount of risk that can be diversified away by holding Bank of America and TOTAL CAPITAL INTERNATIONAL in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on TOTAL CAPITAL INTERN and Bank of America 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 Bank of America are associated (or correlated) with TOTAL. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of TOTAL CAPITAL INTERN has no effect on the direction of Bank of America i.e., Bank of America and TOTAL go up and down completely randomly.
Pair Corralation between Bank of America and TOTAL
Considering the 90-day investment horizon Bank of America is expected to generate 73.09 times less return on investment than TOTAL. But when comparing it to its historical volatility, Bank of America is 55.89 times less risky than TOTAL. It trades about 0.06 of its potential returns per unit of risk. TOTAL CAPITAL INTERNATIONAL is currently generating about 0.08 of returns per unit of risk over similar time horizon. If you would invest 7,590 in TOTAL CAPITAL INTERNATIONAL on August 27, 2024 and sell it today you would lose (300.00) from holding TOTAL CAPITAL INTERNATIONAL or give up 3.95% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 79.64% |
| Values | Daily Returns |
Bank of America vs. TOTAL CAPITAL INTERNATIONAL
Performance |
| Timeline |
| Bank of America |
| TOTAL CAPITAL INTERN |
Bank of America and TOTAL Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bank of America and TOTAL
The main advantage of trading using opposite Bank of America and TOTAL positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank of America position performs unexpectedly, TOTAL 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 TOTAL will offset losses from the drop in TOTAL's long position.| Bank of America vs. Toronto Dominion Bank | Bank of America vs. Nu Holdings | Bank of America vs. HSBC Holdings PLC | Bank of America vs. Bank of Montreal |
| TOTAL vs. Fidus Investment Corp | TOTAL vs. CT Real Estate | TOTAL vs. Black Hills | TOTAL vs. Western Asset Investment |
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 Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Commodity Directory Find actively traded commodities issued by global exchanges |