Correlation Between Grupo Simec and CIGNA
Specify exactly 2 symbols:
By analyzing existing cross correlation between Grupo Simec SAB and CIGNA P, you can compare the effects of market volatilities on Grupo Simec and CIGNA 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 Grupo Simec with a short position of CIGNA. Check out your portfolio center. Please also check ongoing floating volatility patterns of Grupo Simec and CIGNA.
Diversification Opportunities for Grupo Simec and CIGNA
0.59 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Grupo and CIGNA is 0.59. Overlapping area represents the amount of risk that can be diversified away by holding Grupo Simec SAB and CIGNA P in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CIGNA P and Grupo Simec 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 Grupo Simec SAB are associated (or correlated) with CIGNA. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CIGNA P has no effect on the direction of Grupo Simec i.e., Grupo Simec and CIGNA go up and down completely randomly.
Pair Corralation between Grupo Simec and CIGNA
Considering the 90-day investment horizon Grupo Simec SAB is expected to under-perform the CIGNA. In addition to that, Grupo Simec is 8.54 times more volatile than CIGNA P. It trades about -0.05 of its total potential returns per unit of risk. CIGNA P is currently generating about 0.01 per unit of volatility. If you would invest 9,544 in CIGNA P on September 3, 2024 and sell it today you would earn a total of 22.00 from holding CIGNA P or generate 0.23% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 86.81% |
| Values | Daily Returns |
Grupo Simec SAB vs. CIGNA P
Performance |
| Timeline |
| Grupo Simec SAB |
| CIGNA P |
Grupo Simec and CIGNA Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Grupo Simec and CIGNA
The main advantage of trading using opposite Grupo Simec and CIGNA positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Grupo Simec position performs unexpectedly, CIGNA 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 CIGNA will offset losses from the drop in CIGNA's long position.| Grupo Simec vs. Synalloy | Grupo Simec vs. Mesabi Trust | Grupo Simec vs. Algoma Steel Group | Grupo Simec vs. Olympic Steel |
| CIGNA vs. Asbury Automotive Group | CIGNA vs. Lululemon Athletica | CIGNA vs. Fast Retailing Co | CIGNA vs. Tradeweb Markets |
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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Other Complementary Tools
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges |