Correlation Between Carson Cumberbatch and Peoples Insurance
Specify exactly 2 symbols:
By analyzing existing cross correlation between Carson Cumberbatch PLC and Peoples Insurance PLC, you can compare the effects of market volatilities on Carson Cumberbatch and Peoples Insurance 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 Carson Cumberbatch with a short position of Peoples Insurance. Check out your portfolio center. Please also check ongoing floating volatility patterns of Carson Cumberbatch and Peoples Insurance.
Diversification Opportunities for Carson Cumberbatch and Peoples Insurance
0.58 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Carson and Peoples is 0.58. Overlapping area represents the amount of risk that can be diversified away by holding Carson Cumberbatch PLC and Peoples Insurance PLC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Peoples Insurance PLC and Carson Cumberbatch 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 Carson Cumberbatch PLC are associated (or correlated) with Peoples Insurance. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Peoples Insurance PLC has no effect on the direction of Carson Cumberbatch i.e., Carson Cumberbatch and Peoples Insurance go up and down completely randomly.
Pair Corralation between Carson Cumberbatch and Peoples Insurance
Assuming the 90 days trading horizon Carson Cumberbatch PLC is expected to generate 1.05 times more return on investment than Peoples Insurance. However, Carson Cumberbatch is 1.05 times more volatile than Peoples Insurance PLC. It trades about 0.17 of its potential returns per unit of risk. Peoples Insurance PLC is currently generating about 0.08 per unit of risk. If you would invest 28,475 in Carson Cumberbatch PLC on August 28, 2024 and sell it today you would earn a total of 4,525 from holding Carson Cumberbatch PLC or generate 15.89% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 83.05% |
| Values | Daily Returns |
Carson Cumberbatch PLC vs. Peoples Insurance PLC
Performance |
| Timeline |
| Carson Cumberbatch PLC |
| Peoples Insurance PLC |
Carson Cumberbatch and Peoples Insurance Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Carson Cumberbatch and Peoples Insurance
The main advantage of trading using opposite Carson Cumberbatch and Peoples Insurance positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Carson Cumberbatch position performs unexpectedly, Peoples Insurance 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 Peoples Insurance will offset losses from the drop in Peoples Insurance's long position.| Carson Cumberbatch vs. Softlogic Life Insurance | Carson Cumberbatch vs. Singhe Hospitals | Carson Cumberbatch vs. ACL Plastics PLC | Carson Cumberbatch vs. Ceylon Hospitals PLC |
| Peoples Insurance vs. Ceylon Hospitals PLC | Peoples Insurance vs. Ceylon Guardian Investment | Peoples Insurance vs. Lanka Realty Investments | Peoples Insurance vs. Palm Garden Hotels |
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 Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
Other Complementary Tools
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios |