Correlation Between MCI Onehealth and IHH Healthcare
Can any of the company-specific risk be diversified away by investing in both MCI Onehealth and IHH Healthcare 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 MCI Onehealth and IHH Healthcare into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between MCI Onehealth Technologies and IHH Healthcare Berhad, you can compare the effects of market volatilities on MCI Onehealth and IHH Healthcare 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 MCI Onehealth with a short position of IHH Healthcare. Check out your portfolio center. Please also check ongoing floating volatility patterns of MCI Onehealth and IHH Healthcare.
Diversification Opportunities for MCI Onehealth and IHH Healthcare
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between MCI and IHH is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding MCI Onehealth Technologies and IHH Healthcare Berhad in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on IHH Healthcare Berhad and MCI Onehealth 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 MCI Onehealth Technologies are associated (or correlated) with IHH Healthcare. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of IHH Healthcare Berhad has no effect on the direction of MCI Onehealth i.e., MCI Onehealth and IHH Healthcare go up and down completely randomly.
Pair Corralation between MCI Onehealth and IHH Healthcare
If you would invest 116.00 in IHH Healthcare Berhad on September 4, 2024 and sell it today you would earn a total of 3.00 from holding IHH Healthcare Berhad or generate 2.59% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.49% |
| Values | Daily Returns |
MCI Onehealth Technologies vs. IHH Healthcare Berhad
Performance |
| Timeline |
| MCI Onehealth Techno |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| IHH Healthcare Berhad |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
MCI Onehealth and IHH Healthcare Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with MCI Onehealth and IHH Healthcare
The main advantage of trading using opposite MCI Onehealth and IHH Healthcare positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if MCI Onehealth position performs unexpectedly, IHH Healthcare 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 IHH Healthcare will offset losses from the drop in IHH Healthcare's long position.| MCI Onehealth vs. Jack Nathan Medical | MCI Onehealth vs. Medical Facilities | MCI Onehealth vs. Fresenius SE Co | MCI Onehealth vs. Ramsay Health Care |
| IHH Healthcare vs. Tower Semiconductor | IHH Healthcare vs. Entegris | IHH Healthcare vs. Analog Devices | IHH Healthcare vs. Elmos Semiconductor SE |
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 Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
Other Complementary Tools
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| 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 | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |