Correlation Between XCMG Construction and Anyang Iron
Specify exactly 2 symbols:
By analyzing existing cross correlation between XCMG Construction Machinery and Anyang Iron Steel, you can compare the effects of market volatilities on XCMG Construction and Anyang Iron 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 XCMG Construction with a short position of Anyang Iron. Check out your portfolio center. Please also check ongoing floating volatility patterns of XCMG Construction and Anyang Iron.
Diversification Opportunities for XCMG Construction and Anyang Iron
0.91 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between XCMG and Anyang is 0.91. Overlapping area represents the amount of risk that can be diversified away by holding XCMG Construction Machinery and Anyang Iron Steel in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anyang Iron Steel and XCMG Construction 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 XCMG Construction Machinery are associated (or correlated) with Anyang Iron. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anyang Iron Steel has no effect on the direction of XCMG Construction i.e., XCMG Construction and Anyang Iron go up and down completely randomly.
Pair Corralation between XCMG Construction and Anyang Iron
Assuming the 90 days trading horizon XCMG Construction Machinery is expected to generate 0.82 times more return on investment than Anyang Iron. However, XCMG Construction Machinery is 1.22 times less risky than Anyang Iron. It trades about 0.08 of its potential returns per unit of risk. Anyang Iron Steel is currently generating about 0.0 per unit of risk. If you would invest 560.00 in XCMG Construction Machinery on September 14, 2024 and sell it today you would earn a total of 260.00 from holding XCMG Construction Machinery or generate 46.43% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
XCMG Construction Machinery vs. Anyang Iron Steel
Performance |
| Timeline |
| XCMG Construction |
| Anyang Iron Steel |
XCMG Construction and Anyang Iron Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with XCMG Construction and Anyang Iron
The main advantage of trading using opposite XCMG Construction and Anyang Iron positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if XCMG Construction position performs unexpectedly, Anyang Iron 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 Anyang Iron will offset losses from the drop in Anyang Iron's long position.| XCMG Construction vs. Anyang Iron Steel | XCMG Construction vs. Metro Investment Development | XCMG Construction vs. Harbin Hatou Investment | XCMG Construction vs. Jiangxi JDL Environmental |
| Anyang Iron vs. Jiangxi Naipu Mining | Anyang Iron vs. Servyou Software Group | Anyang Iron vs. Dhc Software Co | Anyang Iron vs. Shaanxi Meineng Clean |
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 Content Syndication module to quickly integrate customizable finance content to your own investment portal.
Other Complementary Tools
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital |