Correlation Between HUMANA and IShares MSCI
Specify exactly 2 symbols:
By analyzing existing cross correlation between HUMANA INC and iShares MSCI Poland, you can compare the effects of market volatilities on HUMANA and IShares MSCI 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 IShares MSCI. Check out your portfolio center. Please also check ongoing floating volatility patterns of HUMANA and IShares MSCI.
Diversification Opportunities for HUMANA and IShares MSCI
0.63 | Correlation Coefficient |
Poor diversification
The 3 months correlation between HUMANA and IShares is 0.63. Overlapping area represents the amount of risk that can be diversified away by holding HUMANA INC and iShares MSCI Poland in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on iShares MSCI Poland 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 IShares MSCI. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of iShares MSCI Poland has no effect on the direction of HUMANA i.e., HUMANA and IShares MSCI go up and down completely randomly.
Pair Corralation between HUMANA and IShares MSCI
Assuming the 90 days trading horizon HUMANA INC is expected to under-perform the IShares MSCI. But the bond apears to be less risky and, when comparing its historical volatility, HUMANA INC is 1.68 times less risky than IShares MSCI. The bond trades about -0.25 of its potential returns per unit of risk. The iShares MSCI Poland is currently generating about -0.08 of returns per unit of risk over similar time horizon. If you would invest 2,246 in iShares MSCI Poland on August 28, 2024 and sell it today you would lose (67.00) from holding iShares MSCI Poland or give up 2.98% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 95.24% |
| Values | Daily Returns |
HUMANA INC vs. iShares MSCI Poland
Performance |
| Timeline |
| HUMANA INC |
| iShares MSCI Poland |
HUMANA and IShares MSCI Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HUMANA and IShares MSCI
The main advantage of trading using opposite HUMANA and IShares MSCI positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HUMANA position performs unexpectedly, IShares MSCI 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 IShares MSCI will offset losses from the drop in IShares MSCI's long position.| HUMANA vs. Ultra Clean Holdings | HUMANA vs. Dream Homes Development | HUMANA vs. JBG SMITH Properties | HUMANA vs. Allegheny Technologies Incorporated |
| IShares MSCI vs. iShares MSCI Hong | IShares MSCI vs. HUMANA INC | IShares MSCI vs. SCOR PK | IShares MSCI vs. Aquagold International |
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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Other Complementary Tools
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities |