Correlation Between Capital Clean and Humitech International

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Can any of the company-specific risk be diversified away by investing in both Capital Clean and Humitech International 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 Capital Clean and Humitech International into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Capital Clean Energy and Humitech International Group, you can compare the effects of market volatilities on Capital Clean and Humitech International 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 Capital Clean with a short position of Humitech International. Check out your portfolio center. Please also check ongoing floating volatility patterns of Capital Clean and Humitech International.

Diversification Opportunities for Capital Clean and Humitech International

0.0
  Correlation Coefficient

Pay attention - limited upside

The 3 months correlation between Capital and Humitech is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Capital Clean Energy and Humitech International Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Humitech International and Capital Clean 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 Capital Clean Energy are associated (or correlated) with Humitech International. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Humitech International has no effect on the direction of Capital Clean i.e., Capital Clean and Humitech International go up and down completely randomly.

Pair Corralation between Capital Clean and Humitech International

If you would invest  0.02  in Humitech International Group on August 29, 2025 and sell it today you would earn a total of  0.00  from holding Humitech International Group or generate 0.0% return on investment over 90 days.
Time Period3 Months [change]
DirectionFlat 
StrengthInsignificant
Accuracy100.0%
ValuesDaily Returns

Capital Clean Energy  vs.  Humitech International Group

 Performance 
       Timeline  
Capital Clean Energy 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Capital Clean Energy has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of rather sound technical and fundamental indicators, Capital Clean is not utilizing all of its potentials. The latest stock price tumult, may contribute to shorter-term losses for the shareholders.
Humitech International 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Humitech International Group has generated negative risk-adjusted returns adding no value to investors with long positions. Despite quite persistent technical indicators, Humitech International is not utilizing all of its potentials. The latest stock price mess, may contribute to short-term losses for the institutional investors.

Capital Clean and Humitech International Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Capital Clean and Humitech International

The main advantage of trading using opposite Capital Clean and Humitech International positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Capital Clean position performs unexpectedly, Humitech International 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 Humitech International will offset losses from the drop in Humitech International's long position.
The idea behind Capital Clean Energy and Humitech International Group 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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.

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