Correlation Between MetLife and 40434LAN5
Specify exactly 2 symbols:
By analyzing existing cross correlation between MetLife and HPQ 55 15 JAN 33, you can compare the effects of market volatilities on MetLife and 40434LAN5 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 MetLife with a short position of 40434LAN5. Check out your portfolio center. Please also check ongoing floating volatility patterns of MetLife and 40434LAN5.
Diversification Opportunities for MetLife and 40434LAN5
Excellent diversification
The 3 months correlation between MetLife and 40434LAN5 is -0.65. Overlapping area represents the amount of risk that can be diversified away by holding MetLife and HPQ 55 15 JAN 33 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on HPQ 55 15 and MetLife 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 MetLife are associated (or correlated) with 40434LAN5. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HPQ 55 15 has no effect on the direction of MetLife i.e., MetLife and 40434LAN5 go up and down completely randomly.
Pair Corralation between MetLife and 40434LAN5
Considering the 90-day investment horizon MetLife is expected to generate 1.94 times more return on investment than 40434LAN5. However, MetLife is 1.94 times more volatile than HPQ 55 15 JAN 33. It trades about 0.1 of its potential returns per unit of risk. HPQ 55 15 JAN 33 is currently generating about -0.02 per unit of risk. If you would invest 6,296 in MetLife on September 4, 2024 and sell it today you would earn a total of 2,276 from holding MetLife or generate 36.15% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 99.19% |
| Values | Daily Returns |
MetLife vs. HPQ 55 15 JAN 33
Performance |
| Timeline |
| MetLife |
| HPQ 55 15 |
MetLife and 40434LAN5 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with MetLife and 40434LAN5
The main advantage of trading using opposite MetLife and 40434LAN5 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if MetLife position performs unexpectedly, 40434LAN5 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 40434LAN5 will offset losses from the drop in 40434LAN5's long position.| MetLife vs. Aflac Incorporated | MetLife vs. Manulife Financial Corp | MetLife vs. Jackson Financial | MetLife vs. Globe Life |
| 40434LAN5 vs. AEP TEX INC | 40434LAN5 vs. US BANK NATIONAL | 40434LAN5 vs. MetLife | 40434LAN5 vs. Brera Holdings PLC |
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 Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
Other Complementary Tools
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets |