Correlation Between BurTech Acquisition and HUMANA
Specify exactly 2 symbols:
By analyzing existing cross correlation between BurTech Acquisition Corp and HUMANA INC, you can compare the effects of market volatilities on BurTech Acquisition and HUMANA 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 BurTech Acquisition with a short position of HUMANA. Check out your portfolio center. Please also check ongoing floating volatility patterns of BurTech Acquisition and HUMANA.
Diversification Opportunities for BurTech Acquisition and HUMANA
-0.1 | Correlation Coefficient |
Good diversification
The 3 months correlation between BurTech and HUMANA is -0.1. Overlapping area represents the amount of risk that can be diversified away by holding BurTech Acquisition Corp and HUMANA INC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on HUMANA INC and BurTech Acquisition 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 BurTech Acquisition Corp are associated (or correlated) with HUMANA. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HUMANA INC has no effect on the direction of BurTech Acquisition i.e., BurTech Acquisition and HUMANA go up and down completely randomly.
Pair Corralation between BurTech Acquisition and HUMANA
Assuming the 90 days horizon BurTech Acquisition Corp is expected to generate 40.47 times more return on investment than HUMANA. However, BurTech Acquisition is 40.47 times more volatile than HUMANA INC. It trades about 0.1 of its potential returns per unit of risk. HUMANA INC is currently generating about -0.04 per unit of risk. If you would invest 1.19 in BurTech Acquisition Corp on September 12, 2024 and sell it today you would earn a total of 23.85 from holding BurTech Acquisition Corp or generate 2004.2% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 97.57% |
| Values | Daily Returns |
BurTech Acquisition Corp vs. HUMANA INC
Performance |
| Timeline |
| BurTech Acquisition Corp |
| HUMANA INC |
BurTech Acquisition and HUMANA Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BurTech Acquisition and HUMANA
The main advantage of trading using opposite BurTech Acquisition and HUMANA positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BurTech Acquisition position performs unexpectedly, HUMANA 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 HUMANA will offset losses from the drop in HUMANA's long position.| BurTech Acquisition vs. HUMANA INC | BurTech Acquisition vs. Barloworld Ltd ADR | BurTech Acquisition vs. Morningstar Unconstrained Allocation | BurTech Acquisition vs. Thrivent High Yield |
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
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals |