Correlation Between IBI Mutual and Libra Insurance
Specify exactly 2 symbols:
By analyzing existing cross correlation between IBI Mutual Funds and Libra Insurance, you can compare the effects of market volatilities on IBI Mutual and Libra 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 IBI Mutual with a short position of Libra Insurance. Check out your portfolio center. Please also check ongoing floating volatility patterns of IBI Mutual and Libra Insurance.
Diversification Opportunities for IBI Mutual and Libra Insurance
0.74 | Correlation Coefficient |
Poor diversification
The 3 months correlation between IBI and Libra is 0.74. Overlapping area represents the amount of risk that can be diversified away by holding IBI Mutual Funds and Libra Insurance in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Libra Insurance and IBI Mutual 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 IBI Mutual Funds are associated (or correlated) with Libra Insurance. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Libra Insurance has no effect on the direction of IBI Mutual i.e., IBI Mutual and Libra Insurance go up and down completely randomly.
Pair Corralation between IBI Mutual and Libra Insurance
Assuming the 90 days trading horizon IBI Mutual is expected to generate 6.35 times less return on investment than Libra Insurance. But when comparing it to its historical volatility, IBI Mutual Funds is 1.42 times less risky than Libra Insurance. It trades about 0.03 of its potential returns per unit of risk. Libra Insurance is currently generating about 0.12 of returns per unit of risk over similar time horizon. If you would invest 31,204 in Libra Insurance on September 20, 2024 and sell it today you would earn a total of 67,166 from holding Libra Insurance or generate 215.25% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
IBI Mutual Funds vs. Libra Insurance
Performance |
| Timeline |
| IBI Mutual Funds |
| Libra Insurance |
IBI Mutual and Libra Insurance Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with IBI Mutual and Libra Insurance
The main advantage of trading using opposite IBI Mutual and Libra Insurance positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if IBI Mutual position performs unexpectedly, Libra 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 Libra Insurance will offset losses from the drop in Libra Insurance's long position.| IBI Mutual vs. Nice | IBI Mutual vs. The Gold Bond | IBI Mutual vs. Bank Leumi Le Israel | IBI Mutual vs. ICL Israel Chemicals |
| Libra Insurance vs. IBI Mutual Funds | Libra Insurance vs. Petrochemical | Libra Insurance vs. Hiron Trade Investments Industrial | Libra Insurance vs. YD More Investments |
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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
Other Complementary Tools
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Stocks Directory Find actively traded stocks across global markets | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |