Correlation Between Hafnia and Hudson
Can any of the company-specific risk be diversified away by investing in both Hafnia and Hudson 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 Hafnia and Hudson into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Hafnia Limited and Hudson, you can compare the effects of market volatilities on Hafnia and Hudson 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 Hafnia with a short position of Hudson. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hafnia and Hudson.
Diversification Opportunities for Hafnia and Hudson
Pay attention - limited upside
The 3 months correlation between Hafnia and Hudson is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Hafnia Limited and Hudson in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hudson and Hafnia 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 Hafnia Limited are associated (or correlated) with Hudson. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hudson has no effect on the direction of Hafnia i.e., Hafnia and Hudson go up and down completely randomly.
Pair Corralation between Hafnia and Hudson
If you would invest 529.00 in Hafnia Limited on October 22, 2024 and sell it today you would earn a total of 14.00 from holding Hafnia Limited or generate 2.65% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
Hafnia Limited vs. Hudson
Performance |
| Timeline |
| Hafnia Limited |
| Hudson |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Hafnia and Hudson Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hafnia and Hudson
The main advantage of trading using opposite Hafnia and Hudson positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hafnia position performs unexpectedly, Hudson 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 Hudson will offset losses from the drop in Hudson's long position.| Hafnia vs. Summit Bank Group | Hafnia vs. National CineMedia | Hafnia vs. Cheche Group Class | Hafnia vs. Integral Ad Science |
| Hudson vs. Addus HomeCare | Hudson vs. Dave Busters Entertainment | Hudson vs. Glorywin Entertainment Group | Hudson vs. Mills Music Trust |
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 Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
Other Complementary Tools
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk |