Correlation Between INTEL and Travelers Companies
Specify exactly 2 symbols:
By analyzing existing cross correlation between INTEL P 48 and The Travelers Companies, you can compare the effects of market volatilities on INTEL and Travelers Companies 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 INTEL with a short position of Travelers Companies. Check out your portfolio center. Please also check ongoing floating volatility patterns of INTEL and Travelers Companies.
Diversification Opportunities for INTEL and Travelers Companies
-0.14 | Correlation Coefficient |
Good diversification
The 3 months correlation between INTEL and Travelers is -0.14. Overlapping area represents the amount of risk that can be diversified away by holding INTEL P 48 and The Travelers Companies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on The Travelers Companies and INTEL 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 INTEL P 48 are associated (or correlated) with Travelers Companies. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of The Travelers Companies has no effect on the direction of INTEL i.e., INTEL and Travelers Companies go up and down completely randomly.
Pair Corralation between INTEL and Travelers Companies
Assuming the 90 days trading horizon INTEL is expected to generate 3.79 times less return on investment than Travelers Companies. In addition to that, INTEL is 1.06 times more volatile than The Travelers Companies. It trades about 0.01 of its total potential returns per unit of risk. The Travelers Companies is currently generating about 0.05 per unit of volatility. If you would invest 23,912 in The Travelers Companies on September 12, 2024 and sell it today you would earn a total of 853.00 from holding The Travelers Companies or generate 3.57% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 82.93% |
| Values | Daily Returns |
INTEL P 48 vs. The Travelers Companies
Performance |
| Timeline |
| INTEL P 48 |
| The Travelers Companies |
INTEL and Travelers Companies Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with INTEL and Travelers Companies
The main advantage of trading using opposite INTEL and Travelers Companies positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if INTEL position performs unexpectedly, Travelers Companies 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 Travelers Companies will offset losses from the drop in Travelers Companies' long position.The idea behind INTEL P 48 and The Travelers Companies 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.| Travelers Companies vs. Aeye Inc | Travelers Companies vs. Ep Emerging Markets | Travelers Companies vs. LiCycle Holdings Corp | Travelers Companies vs. SEI Investments |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Other Complementary Tools
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories |