Correlation Between Shenzhen Centralcon and New China
Specify exactly 2 symbols:
By analyzing existing cross correlation between Shenzhen Centralcon Investment and New China Life, you can compare the effects of market volatilities on Shenzhen Centralcon and New China 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 Shenzhen Centralcon with a short position of New China. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shenzhen Centralcon and New China.
Diversification Opportunities for Shenzhen Centralcon and New China
0.51 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Shenzhen and New is 0.51. Overlapping area represents the amount of risk that can be diversified away by holding Shenzhen Centralcon Investment and New China Life in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on New China Life and Shenzhen Centralcon 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 Shenzhen Centralcon Investment are associated (or correlated) with New China. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of New China Life has no effect on the direction of Shenzhen Centralcon i.e., Shenzhen Centralcon and New China go up and down completely randomly.
Pair Corralation between Shenzhen Centralcon and New China
Assuming the 90 days trading horizon Shenzhen Centralcon Investment is expected to under-perform the New China. In addition to that, Shenzhen Centralcon is 1.61 times more volatile than New China Life. It trades about -0.12 of its total potential returns per unit of risk. New China Life is currently generating about 0.18 per unit of volatility. If you would invest 4,638 in New China Life on September 28, 2024 and sell it today you would earn a total of 421.00 from holding New China Life or generate 9.08% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 95.65% |
| Values | Daily Returns |
Shenzhen Centralcon Investment vs. New China Life
Performance |
| Timeline |
| Shenzhen Centralcon |
| New China Life |
Shenzhen Centralcon and New China Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Shenzhen Centralcon and New China
The main advantage of trading using opposite Shenzhen Centralcon and New China positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shenzhen Centralcon position performs unexpectedly, New China 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 New China will offset losses from the drop in New China's long position.| Shenzhen Centralcon vs. Anhui Transport Consulting | Shenzhen Centralcon vs. Jiangsu Financial Leasing | Shenzhen Centralcon vs. Uroica Mining Safety | Shenzhen Centralcon vs. Fujian Longzhou Transportation |
| New China vs. Grandblue Environment Co | New China vs. Shenzhen Centralcon Investment | New China vs. Henan Shuanghui Investment | New China vs. Nuode Investment Co |
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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
Other Complementary Tools
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device |