Correlation Between HUMANA and AB High
Specify exactly 2 symbols:
By analyzing existing cross correlation between HUMANA INC and AB High Dividend, you can compare the effects of market volatilities on HUMANA and AB High 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 AB High. Check out your portfolio center. Please also check ongoing floating volatility patterns of HUMANA and AB High.
Diversification Opportunities for HUMANA and AB High
Excellent diversification
The 3 months correlation between HUMANA and HIDV is -0.54. Overlapping area represents the amount of risk that can be diversified away by holding HUMANA INC and AB High Dividend in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AB High Dividend 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 AB High. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AB High Dividend has no effect on the direction of HUMANA i.e., HUMANA and AB High go up and down completely randomly.
Pair Corralation between HUMANA and AB High
Assuming the 90 days trading horizon HUMANA INC is expected to under-perform the AB High. In addition to that, HUMANA is 2.85 times more volatile than AB High Dividend. It trades about -0.19 of its total potential returns per unit of risk. AB High Dividend is currently generating about 0.18 per unit of volatility. If you would invest 7,365 in AB High Dividend on September 12, 2024 and sell it today you would earn a total of 108.00 from holding AB High Dividend or generate 1.47% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
HUMANA INC vs. AB High Dividend
Performance |
| Timeline |
| HUMANA INC |
| AB High Dividend |
HUMANA and AB High Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HUMANA and AB High
The main advantage of trading using opposite HUMANA and AB High positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HUMANA position performs unexpectedly, AB High 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 AB High will offset losses from the drop in AB High's long position.The idea behind HUMANA INC and AB High Dividend pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| AB High vs. AB Low Volatility | AB High vs. AB Disruptors ETF | AB High vs. AB Ultra Short | AB High vs. Ab Tax Aware Short |
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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes |