Correlation Between Menif Financial and Infimer
Can any of the company-specific risk be diversified away by investing in both Menif Financial and Infimer 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 Menif Financial and Infimer into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Menif Financial Services and Infimer, you can compare the effects of market volatilities on Menif Financial and Infimer 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 Menif Financial with a short position of Infimer. Check out your portfolio center. Please also check ongoing floating volatility patterns of Menif Financial and Infimer.
Diversification Opportunities for Menif Financial and Infimer
0.28 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Menif and Infimer is 0.28. Overlapping area represents the amount of risk that can be diversified away by holding Menif Financial Services and Infimer in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Infimer and Menif Financial 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 Menif Financial Services are associated (or correlated) with Infimer. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Infimer has no effect on the direction of Menif Financial i.e., Menif Financial and Infimer go up and down completely randomly.
Pair Corralation between Menif Financial and Infimer
Assuming the 90 days trading horizon Menif Financial Services is expected to generate 0.13 times more return on investment than Infimer. However, Menif Financial Services is 7.93 times less risky than Infimer. It trades about 0.28 of its potential returns per unit of risk. Infimer is currently generating about -0.15 per unit of risk. If you would invest 174,000 in Menif Financial Services on November 27, 2024 and sell it today you would earn a total of 15,700 from holding Menif Financial Services or generate 9.02% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Menif Financial Services vs. Infimer
Performance |
| Timeline |
| Menif Financial Services |
| Infimer |
Menif Financial and Infimer Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Menif Financial and Infimer
The main advantage of trading using opposite Menif Financial and Infimer positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Menif Financial position performs unexpectedly, Infimer 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 Infimer will offset losses from the drop in Infimer's long position.| Menif Financial vs. Elron Electronic Industries | Menif Financial vs. Epitomee Medical | Menif Financial vs. MediPress Health Limited Partnership | Menif Financial vs. Golan Plastic |
| Infimer vs. IDI Insurance | Infimer vs. MediPress Health Limited Partnership | Infimer vs. Elron Electronic Industries | Infimer vs. Shagrir Group Vehicle |
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 Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.
Other Complementary Tools
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Transaction History View history of all your transactions and understand their impact on performance |