Correlation Between HUMANA and IShares SP
Specify exactly 2 symbols:
By analyzing existing cross correlation between HUMANA INC and iShares SP 500, you can compare the effects of market volatilities on HUMANA and IShares SP 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 SP. Check out your portfolio center. Please also check ongoing floating volatility patterns of HUMANA and IShares SP.
Diversification Opportunities for HUMANA and IShares SP
-0.58 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between HUMANA and IShares is -0.58. Overlapping area represents the amount of risk that can be diversified away by holding HUMANA INC and iShares SP 500 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on iShares SP 500 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 SP. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of iShares SP 500 has no effect on the direction of HUMANA i.e., HUMANA and IShares SP go up and down completely randomly.
Pair Corralation between HUMANA and IShares SP
Assuming the 90 days trading horizon HUMANA INC is expected to under-perform the IShares SP. But the bond apears to be less risky and, when comparing its historical volatility, HUMANA INC is 1.05 times less risky than IShares SP. The bond trades about -0.05 of its potential returns per unit of risk. The iShares SP 500 is currently generating about 0.34 of returns per unit of risk over similar time horizon. If you would invest 19,447 in iShares SP 500 on September 4, 2024 and sell it today you would earn a total of 1,026 from holding iShares SP 500 or generate 5.28% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 85.71% |
| Values | Daily Returns |
HUMANA INC vs. iShares SP 500
Performance |
| Timeline |
| HUMANA INC |
| iShares SP 500 |
HUMANA and IShares SP Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HUMANA and IShares SP
The main advantage of trading using opposite HUMANA and IShares SP positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HUMANA position performs unexpectedly, IShares SP 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 SP will offset losses from the drop in IShares SP's long position.| HUMANA vs. Usio Inc | HUMANA vs. MACOM Technology Solutions | HUMANA vs. Amkor Technology | HUMANA vs. Analog Devices |
| IShares SP vs. iShares SP 500 | IShares SP vs. iShares SP Mid Cap | IShares SP vs. iShares SP Small Cap | IShares SP vs. iShares SP Mid Cap |
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 Money Managers module to screen money managers from public funds and ETFs managed around the world.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |