Correlation Between ManpowerGroup and Staffing 360
Can any of the company-specific risk be diversified away by investing in both ManpowerGroup and Staffing 360 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 ManpowerGroup and Staffing 360 into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between ManpowerGroup and Staffing 360 Solutions, you can compare the effects of market volatilities on ManpowerGroup and Staffing 360 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 ManpowerGroup with a short position of Staffing 360. Check out your portfolio center. Please also check ongoing floating volatility patterns of ManpowerGroup and Staffing 360.
Diversification Opportunities for ManpowerGroup and Staffing 360
-0.65 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between ManpowerGroup and Staffing is -0.65. Overlapping area represents the amount of risk that can be diversified away by holding ManpowerGroup and Staffing 360 Solutions in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Staffing 360 Solutions and ManpowerGroup 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 ManpowerGroup are associated (or correlated) with Staffing 360. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Staffing 360 Solutions has no effect on the direction of ManpowerGroup i.e., ManpowerGroup and Staffing 360 go up and down completely randomly.
Pair Corralation between ManpowerGroup and Staffing 360
Considering the 90-day investment horizon ManpowerGroup is expected to under-perform the Staffing 360. But the stock apears to be less risky and, when comparing its historical volatility, ManpowerGroup is 9.2 times less risky than Staffing 360. The stock trades about -0.05 of its potential returns per unit of risk. The Staffing 360 Solutions is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 330.00 in Staffing 360 Solutions on September 1, 2024 and sell it today you would lose (82.00) from holding Staffing 360 Solutions or give up 24.85% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
ManpowerGroup vs. Staffing 360 Solutions
Performance |
| Timeline |
| ManpowerGroup |
| Staffing 360 Solutions |
ManpowerGroup and Staffing 360 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ManpowerGroup and Staffing 360
The main advantage of trading using opposite ManpowerGroup and Staffing 360 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ManpowerGroup position performs unexpectedly, Staffing 360 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 Staffing 360 will offset losses from the drop in Staffing 360's long position.| ManpowerGroup vs. Kforce Inc | ManpowerGroup vs. Heidrick Struggles International | ManpowerGroup vs. Korn Ferry | ManpowerGroup vs. Hudson Global |
| Staffing 360 vs. Kelly Services A | Staffing 360 vs. Mastech Holdings | Staffing 360 vs. Kforce Inc | Staffing 360 vs. Hudson Global |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Other Complementary Tools
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing |