Correlation Between Travelers Companies and 465685AP0
Specify exactly 2 symbols:
By analyzing existing cross correlation between The Travelers Companies and ITC HLDGS P, you can compare the effects of market volatilities on Travelers Companies and 465685AP0 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 Travelers Companies with a short position of 465685AP0. Check out your portfolio center. Please also check ongoing floating volatility patterns of Travelers Companies and 465685AP0.
Diversification Opportunities for Travelers Companies and 465685AP0
-0.51 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Travelers and 465685AP0 is -0.51. Overlapping area represents the amount of risk that can be diversified away by holding The Travelers Companies and ITC HLDGS P in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ITC HLDGS P and Travelers Companies 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 The Travelers Companies are associated (or correlated) with 465685AP0. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ITC HLDGS P has no effect on the direction of Travelers Companies i.e., Travelers Companies and 465685AP0 go up and down completely randomly.
Pair Corralation between Travelers Companies and 465685AP0
Considering the 90-day investment horizon The Travelers Companies is expected to generate 1.69 times more return on investment than 465685AP0. However, Travelers Companies is 1.69 times more volatile than ITC HLDGS P. It trades about 0.16 of its potential returns per unit of risk. ITC HLDGS P is currently generating about -0.2 per unit of risk. If you would invest 25,237 in The Travelers Companies on August 29, 2024 and sell it today you would earn a total of 1,140 from holding The Travelers Companies or generate 4.52% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
The Travelers Companies vs. ITC HLDGS P
Performance |
| Timeline |
| The Travelers Companies |
| ITC HLDGS P |
Travelers Companies and 465685AP0 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Travelers Companies and 465685AP0
The main advantage of trading using opposite Travelers Companies and 465685AP0 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Travelers Companies position performs unexpectedly, 465685AP0 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 465685AP0 will offset losses from the drop in 465685AP0's long position.| Travelers Companies vs. Fiverr International | Travelers Companies vs. Pinterest | Travelers Companies vs. Upstart Holdings | Travelers Companies vs. Fastly Inc |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Other Complementary Tools
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments |