Correlation Between HUMANA and Value Fund
Specify exactly 2 symbols:
By analyzing existing cross correlation between HUMANA INC and Value Fund Investor, you can compare the effects of market volatilities on HUMANA and Value 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 Value Fund. Check out your portfolio center. Please also check ongoing floating volatility patterns of HUMANA and Value Fund.
Diversification Opportunities for HUMANA and Value Fund
-0.61 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between HUMANA and Value is -0.61. Overlapping area represents the amount of risk that can be diversified away by holding HUMANA INC and Value Fund Investor in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Value Fund Investor 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 Value Fund. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Value Fund Investor has no effect on the direction of HUMANA i.e., HUMANA and Value Fund go up and down completely randomly.
Pair Corralation between HUMANA and Value Fund
Assuming the 90 days trading horizon HUMANA INC is expected to under-perform the Value Fund. In addition to that, HUMANA is 1.06 times more volatile than Value Fund Investor. It trades about -0.04 of its total potential returns per unit of risk. Value Fund Investor is currently generating about 0.13 per unit of volatility. If you would invest 802.00 in Value Fund Investor on September 1, 2024 and sell it today you would earn a total of 90.00 from holding Value Fund Investor or generate 11.22% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 98.41% |
| Values | Daily Returns |
HUMANA INC vs. Value Fund Investor
Performance |
| Timeline |
| HUMANA INC |
| Value Fund Investor |
HUMANA and Value Fund Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HUMANA and Value Fund
The main advantage of trading using opposite HUMANA and Value Fund positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HUMANA position performs unexpectedly, Value 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 Value Fund will offset losses from the drop in Value Fund's long position.| HUMANA vs. NI Holdings | HUMANA vs. Naked Wines plc | HUMANA vs. Kinsale Capital Group | HUMANA vs. Diageo PLC ADR |
| Value Fund vs. International Growth Fund | Value Fund vs. Growth Fund Investor | Value Fund vs. Equity Income Fund | Value Fund vs. Ultra Fund Investor |
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 Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.
Other Complementary Tools
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Stocks Directory Find actively traded stocks across global markets | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing |