Correlation Between MetLife and LLOYDS
Specify exactly 2 symbols:
By analyzing existing cross correlation between MetLife and LLOYDS 3369 14 DEC 46, you can compare the effects of market volatilities on MetLife and LLOYDS 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 LLOYDS. Check out your portfolio center. Please also check ongoing floating volatility patterns of MetLife and LLOYDS.
Diversification Opportunities for MetLife and LLOYDS
Very weak diversification
The 3 months correlation between MetLife and LLOYDS is 0.42. Overlapping area represents the amount of risk that can be diversified away by holding MetLife and LLOYDS 3369 14 DEC 46 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on LLOYDS 3369 14 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 LLOYDS. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of LLOYDS 3369 14 has no effect on the direction of MetLife i.e., MetLife and LLOYDS go up and down completely randomly.
Pair Corralation between MetLife and LLOYDS
Considering the 90-day investment horizon MetLife is expected to generate 1.64 times more return on investment than LLOYDS. However, MetLife is 1.64 times more volatile than LLOYDS 3369 14 DEC 46. It trades about 0.36 of its potential returns per unit of risk. LLOYDS 3369 14 DEC 46 is currently generating about 0.29 per unit of risk. If you would invest 7,801 in MetLife on September 3, 2024 and sell it today you would earn a total of 1,022 from holding MetLife or generate 13.1% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 85.0% |
| Values | Daily Returns |
MetLife vs. LLOYDS 3369 14 DEC 46
Performance |
| Timeline |
| MetLife |
| LLOYDS 3369 14 |
MetLife and LLOYDS Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with MetLife and LLOYDS
The main advantage of trading using opposite MetLife and LLOYDS positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if MetLife position performs unexpectedly, LLOYDS 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 LLOYDS will offset losses from the drop in LLOYDS's long position.| MetLife vs. Lincoln National | MetLife vs. Aflac Incorporated | MetLife vs. Unum Group | MetLife vs. Manulife Financial Corp |
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 Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Other Complementary Tools
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets |