Correlation Between Wasu Media and Beijing Enlight
Specify exactly 2 symbols:
By analyzing existing cross correlation between Wasu Media Holding and Beijing Enlight Media, you can compare the effects of market volatilities on Wasu Media and Beijing Enlight 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 Wasu Media with a short position of Beijing Enlight. Check out your portfolio center. Please also check ongoing floating volatility patterns of Wasu Media and Beijing Enlight.
Diversification Opportunities for Wasu Media and Beijing Enlight
0.47 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Wasu and Beijing is 0.47. Overlapping area represents the amount of risk that can be diversified away by holding Wasu Media Holding and Beijing Enlight Media in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Beijing Enlight Media and Wasu Media 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 Wasu Media Holding are associated (or correlated) with Beijing Enlight. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Beijing Enlight Media has no effect on the direction of Wasu Media i.e., Wasu Media and Beijing Enlight go up and down completely randomly.
Pair Corralation between Wasu Media and Beijing Enlight
Assuming the 90 days trading horizon Wasu Media is expected to generate 2.22 times less return on investment than Beijing Enlight. But when comparing it to its historical volatility, Wasu Media Holding is 1.26 times less risky than Beijing Enlight. It trades about 0.07 of its potential returns per unit of risk. Beijing Enlight Media is currently generating about 0.12 of returns per unit of risk over similar time horizon. If you would invest 677.00 in Beijing Enlight Media on November 2, 2024 and sell it today you would earn a total of 276.00 from holding Beijing Enlight Media or generate 40.77% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Wasu Media Holding vs. Beijing Enlight Media
Performance |
| Timeline |
| Wasu Media Holding |
| Beijing Enlight Media |
Wasu Media and Beijing Enlight Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Wasu Media and Beijing Enlight
The main advantage of trading using opposite Wasu Media and Beijing Enlight positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Wasu Media position performs unexpectedly, Beijing Enlight 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 Beijing Enlight will offset losses from the drop in Beijing Enlight's long position.| Wasu Media vs. GuoChuang Software Co | Wasu Media vs. Xinhua Winshare Publishing | Wasu Media vs. Offcn Education Technology | Wasu Media vs. Qtone Education Group |
| Beijing Enlight vs. Jiangsu GDK Biotechnology | Beijing Enlight vs. SI TECH Information Technology | Beijing Enlight vs. Guangdong TianYiMa Information | Beijing Enlight vs. Changchun BCHT Biotechnology |
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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.
Other Complementary Tools
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume |