Correlation Between Cigna Corp and Elevai Labs,

Can any of the company-specific risk be diversified away by investing in both Cigna Corp and Elevai Labs, at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Cigna Corp and Elevai Labs, into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Cigna Corp and Elevai Labs, Common, you can compare the effects of market volatilities on Cigna Corp and Elevai Labs, 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 Cigna Corp with a short position of Elevai Labs,. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cigna Corp and Elevai Labs,.

Diversification Opportunities for Cigna Corp and Elevai Labs,

0.72

Correlation Coefficient

Cigna Corp  Elevai Labs,

Poor diversification

The 3 months correlation between Cigna and Elevai is 0.72. Overlapping area represents the amount of risk that can be diversified away by holding Cigna Corp and Elevai Labs, Common in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Elevai Labs, Common and Cigna Corp 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 Cigna Corp are associated (or correlated) with Elevai Labs,. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Elevai Labs, Common has no effect on the direction of Cigna Corp i.e., Cigna Corp and Elevai Labs, go up and down completely randomly.

Pair Corralation between Cigna Corp and Elevai Labs,

Allowing for the 90-day total investment horizon Cigna Corp is expected to generate 0.11 times more return on investment than Elevai Labs,. However, Cigna Corp is 9.18 times less risky than Elevai Labs,. It trades about -0.08 of its potential returns per unit of risk. Elevai Labs, Common is currently generating about -0.24 per unit of risk. If you would invest  36,664  in Cigna Corp on September 4, 2024 and sell it today you would lose (3,174) from holding Cigna Corp or give up 8.66% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	100.0%
Values	Daily Returns

Cigna Corp  vs.  Elevai Labs, Common

Cigna Corp

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Cigna Corp has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest abnormal performance, the Stock's forward indicators remain strong and the recent confusion on Wall Street may also be a sign of long-lasting gains for the firm traders.

Elevai Labs, Common

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Elevai Labs, Common has generated negative risk-adjusted returns adding no value to investors with long positions. Despite weak performance in the last few months, the Stock's basic indicators remain somewhat strong which may send shares a bit higher in January 2025. The current disturbance may also be a sign of long term up-swing for the company investors.

Pair Trading with Cigna Corp and Elevai Labs,

The main advantage of trading using opposite Cigna Corp and Elevai Labs, positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cigna Corp position performs unexpectedly, Elevai Labs, 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 Elevai Labs, will offset losses from the drop in Elevai Labs,'s long position.

The idea behind Cigna Corp and Elevai Labs, Common 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.

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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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.