Correlation Between HUMANA and Ivy Small
Specify exactly 2 symbols:
By analyzing existing cross correlation between HUMANA INC and Ivy Small Cap, you can compare the effects of market volatilities on HUMANA and Ivy Small 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 Ivy Small. Check out your portfolio center. Please also check ongoing floating volatility patterns of HUMANA and Ivy Small.
Diversification Opportunities for HUMANA and Ivy Small
Excellent diversification
The 3 months correlation between HUMANA and Ivy is -0.64. Overlapping area represents the amount of risk that can be diversified away by holding HUMANA INC and Ivy Small Cap in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ivy Small Cap 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 Ivy Small. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ivy Small Cap has no effect on the direction of HUMANA i.e., HUMANA and Ivy Small go up and down completely randomly.
Pair Corralation between HUMANA and Ivy Small
Assuming the 90 days trading horizon HUMANA INC is expected to under-perform the Ivy Small. But the bond apears to be less risky and, when comparing its historical volatility, HUMANA INC is 1.64 times less risky than Ivy Small. The bond trades about -0.04 of its potential returns per unit of risk. The Ivy Small Cap is currently generating about 0.12 of returns per unit of risk over similar time horizon. If you would invest 1,818 in Ivy Small Cap on September 1, 2024 and sell it today you would earn a total of 336.00 from holding Ivy Small Cap or generate 18.48% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 97.64% |
| Values | Daily Returns |
HUMANA INC vs. Ivy Small Cap
Performance |
| Timeline |
| HUMANA INC |
| Ivy Small Cap |
HUMANA and Ivy Small Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HUMANA and Ivy Small
The main advantage of trading using opposite HUMANA and Ivy Small positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HUMANA position performs unexpectedly, Ivy Small 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 Ivy Small will offset losses from the drop in Ivy Small's long position.| HUMANA vs. NI Holdings | HUMANA vs. Naked Wines plc | HUMANA vs. Kinsale Capital Group | HUMANA vs. Diageo PLC ADR |
| Ivy Small vs. Ivy Large Cap | Ivy Small vs. Ivy Small Cap | Ivy Small vs. Ivy High Income | Ivy Small vs. Ivy Apollo Multi Asset |
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 Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios |