Correlation Between HUMANA and Unitronix
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By analyzing existing cross correlation between HUMANA INC and Unitronix, you can compare the effects of market volatilities on HUMANA and Unitronix 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 Unitronix. Check out your portfolio center. Please also check ongoing floating volatility patterns of HUMANA and Unitronix.
Diversification Opportunities for HUMANA and Unitronix
Excellent diversification
The 3 months correlation between HUMANA and Unitronix is -0.67. Overlapping area represents the amount of risk that can be diversified away by holding HUMANA INC and Unitronix in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Unitronix 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 Unitronix. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Unitronix has no effect on the direction of HUMANA i.e., HUMANA and Unitronix go up and down completely randomly.
Pair Corralation between HUMANA and Unitronix
Assuming the 90 days trading horizon HUMANA INC is expected to under-perform the Unitronix. But the bond apears to be less risky and, when comparing its historical volatility, HUMANA INC is 24.52 times less risky than Unitronix. The bond trades about -0.17 of its potential returns per unit of risk. The Unitronix is currently generating about 0.18 of returns per unit of risk over similar time horizon. If you would invest 3.94 in Unitronix on August 28, 2024 and sell it today you would earn a total of 9.06 from holding Unitronix or generate 229.95% 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. Unitronix
Performance |
| Timeline |
| HUMANA INC |
| Unitronix |
HUMANA and Unitronix Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HUMANA and Unitronix
The main advantage of trading using opposite HUMANA and Unitronix positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HUMANA position performs unexpectedly, Unitronix 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 Unitronix will offset losses from the drop in Unitronix's long position.| HUMANA vs. Ultra Clean Holdings | HUMANA vs. Dream Homes Development | HUMANA vs. JBG SMITH Properties | HUMANA vs. Allegheny Technologies Incorporated |
| Unitronix vs. Leidos Holdings | Unitronix vs. CACI International | Unitronix vs. Parsons Corp | Unitronix vs. ASGN Inc |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
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