Correlation Between Indian Hotels and Global Health
Specify exactly 2 symbols:
By analyzing existing cross correlation between The Indian Hotels and Global Health Limited, you can compare the effects of market volatilities on Indian Hotels and Global Health 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 Indian Hotels with a short position of Global Health. Check out your portfolio center. Please also check ongoing floating volatility patterns of Indian Hotels and Global Health.
Diversification Opportunities for Indian Hotels and Global Health
0.6 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Indian and Global is 0.6. Overlapping area represents the amount of risk that can be diversified away by holding The Indian Hotels and Global Health Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Global Health Limited and Indian Hotels 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 The Indian Hotels are associated (or correlated) with Global Health. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Global Health Limited has no effect on the direction of Indian Hotels i.e., Indian Hotels and Global Health go up and down completely randomly.
Pair Corralation between Indian Hotels and Global Health
Assuming the 90 days trading horizon The Indian Hotels is expected to generate 0.86 times more return on investment than Global Health. However, The Indian Hotels is 1.16 times less risky than Global Health. It trades about 0.12 of its potential returns per unit of risk. Global Health Limited is currently generating about 0.1 per unit of risk. If you would invest 29,638 in The Indian Hotels on October 12, 2024 and sell it today you would earn a total of 50,952 from holding The Indian Hotels or generate 171.91% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 99.8% |
| Values | Daily Returns |
The Indian Hotels vs. Global Health Limited
Performance |
| Timeline |
| Indian Hotels |
| Global Health Limited |
Indian Hotels and Global Health Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Indian Hotels and Global Health
The main advantage of trading using opposite Indian Hotels and Global Health positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Indian Hotels position performs unexpectedly, Global Health 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 Global Health will offset losses from the drop in Global Health's long position.| Indian Hotels vs. Foods Inns Limited | Indian Hotels vs. Shyam Metalics and | Indian Hotels vs. UFO Moviez India | Indian Hotels vs. Ankit Metal Power |
| Global Health vs. Le Travenues Technology | Global Health vs. Arrow Greentech Limited | Global Health vs. The Indian Hotels | Global Health vs. Viceroy Hotels Limited |
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 Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Other Complementary Tools
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. |