Correlation Between HUMANA and Rbb Fund
Specify exactly 2 symbols:
By analyzing existing cross correlation between HUMANA INC and Rbb Fund , you can compare the effects of market volatilities on HUMANA and Rbb Fund 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 Rbb Fund. Check out your portfolio center. Please also check ongoing floating volatility patterns of HUMANA and Rbb Fund.
Diversification Opportunities for HUMANA and Rbb Fund
Pay attention - limited upside
The 3 months correlation between HUMANA and Rbb is -0.74. Overlapping area represents the amount of risk that can be diversified away by holding HUMANA INC and Rbb Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Rbb Fund 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 Rbb Fund. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Rbb Fund has no effect on the direction of HUMANA i.e., HUMANA and Rbb Fund go up and down completely randomly.
Pair Corralation between HUMANA and Rbb Fund
Assuming the 90 days trading horizon HUMANA INC is expected to under-perform the Rbb Fund. In addition to that, HUMANA is 2.71 times more volatile than Rbb Fund . It trades about -0.07 of its total potential returns per unit of risk. Rbb Fund is currently generating about 0.32 per unit of volatility. If you would invest 956.00 in Rbb Fund on August 29, 2024 and sell it today you would earn a total of 16.00 from holding Rbb Fund or generate 1.67% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 90.91% |
| Values | Daily Returns |
HUMANA INC vs. Rbb Fund
Performance |
| Timeline |
| HUMANA INC |
| Rbb Fund |
HUMANA and Rbb Fund Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HUMANA and Rbb Fund
The main advantage of trading using opposite HUMANA and Rbb Fund positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HUMANA position performs unexpectedly, Rbb Fund 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 Rbb Fund will offset losses from the drop in Rbb Fund's long position.The idea behind HUMANA INC and Rbb Fund 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.| Rbb Fund vs. Pimco Income Fund | Rbb Fund vs. HUMANA INC | Rbb Fund vs. Aquagold International | Rbb Fund vs. Barloworld Ltd ADR |
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 Equity Valuation module to check real value of public entities based on technical and fundamental data.
Other Complementary Tools
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Global Correlations Find global opportunities by holding instruments from different markets |