Correlation Between Bank of South and MNB Holdings
Can any of the company-specific risk be diversified away by investing in both Bank of South and MNB Holdings 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 Bank of South and MNB Holdings into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bank of South and MNB Holdings Corp, you can compare the effects of market volatilities on Bank of South and MNB Holdings 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 South with a short position of MNB Holdings. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank of South and MNB Holdings.
Diversification Opportunities for Bank of South and MNB Holdings
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Bank and MNB is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Bank of South and MNB Holdings Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MNB Holdings Corp and Bank of South 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 South are associated (or correlated) with MNB Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MNB Holdings Corp has no effect on the direction of Bank of South i.e., Bank of South and MNB Holdings go up and down completely randomly.
Pair Corralation between Bank of South and MNB Holdings
If you would invest 2,500 in MNB Holdings Corp on October 11, 2024 and sell it today you would earn a total of 0.00 from holding MNB Holdings Corp or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 5.0% |
| Values | Daily Returns |
Bank of South vs. MNB Holdings Corp
Performance |
| Timeline |
| Bank of South |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| MNB Holdings Corp |
Bank of South and MNB Holdings Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bank of South and MNB Holdings
The main advantage of trading using opposite Bank of South and MNB Holdings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank of South position performs unexpectedly, MNB Holdings 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 MNB Holdings will offset losses from the drop in MNB Holdings' long position.| Bank of South vs. Auburn National Bancorporation | Bank of South vs. Bank of Marin | Bank of South vs. Ames National | Bank of South vs. CF Financial |
| MNB Holdings vs. Harbor Bankshares | MNB Holdings vs. Oconee Financial | MNB Holdings vs. Mission Valley Bancorp | MNB Holdings vs. MF Bancorp |
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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
Other Complementary Tools
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings |