Correlation Between HUMANA and Dfa Global
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By analyzing existing cross correlation between HUMANA INC and Dfa Global Real, you can compare the effects of market volatilities on HUMANA and Dfa Global 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 HUMANA with a short position of Dfa Global. Check out your portfolio center. Please also check ongoing floating volatility patterns of HUMANA and Dfa Global.
Diversification Opportunities for HUMANA and Dfa Global
0.79 | Correlation Coefficient |
Poor diversification
The 3 months correlation between HUMANA and Dfa is 0.79. Overlapping area represents the amount of risk that can be diversified away by holding HUMANA INC and Dfa Global Real in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dfa Global Real and HUMANA 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 HUMANA INC are associated (or correlated) with Dfa Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dfa Global Real has no effect on the direction of HUMANA i.e., HUMANA and Dfa Global go up and down completely randomly.
Pair Corralation between HUMANA and Dfa Global
Assuming the 90 days trading horizon HUMANA INC is expected to generate 85.45 times more return on investment than Dfa Global. However, HUMANA is 85.45 times more volatile than Dfa Global Real. It trades about 0.07 of its potential returns per unit of risk. Dfa Global Real is currently generating about 0.03 per unit of risk. If you would invest 8,122 in HUMANA INC on November 27, 2024 and sell it today you would lose (223.00) from holding HUMANA INC or give up 2.75% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 95.75% |
| Values | Daily Returns |
HUMANA INC vs. Dfa Global Real
Performance |
| Timeline |
| HUMANA INC |
| Dfa Global Real |
HUMANA and Dfa Global Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HUMANA and Dfa Global
The main advantage of trading using opposite HUMANA and Dfa Global positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HUMANA position performs unexpectedly, Dfa Global 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 Dfa Global will offset losses from the drop in Dfa Global's long position.| HUMANA vs. Amkor Technology | HUMANA vs. Primo Brands | HUMANA vs. The Coca Cola | HUMANA vs. Brandywine Realty Trust |
| Dfa Global vs. International E Equity | Dfa Global vs. Emerging Markets E | Dfa Global vs. Us E Equity | Dfa Global vs. Dfa International Small |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
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