Correlation Between Lonkey Industrial and Minmetals Capital
Specify exactly 2 symbols:
By analyzing existing cross correlation between Lonkey Industrial Co and Minmetals Capital Co, you can compare the effects of market volatilities on Lonkey Industrial and Minmetals Capital 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 Lonkey Industrial with a short position of Minmetals Capital. Check out your portfolio center. Please also check ongoing floating volatility patterns of Lonkey Industrial and Minmetals Capital.
Diversification Opportunities for Lonkey Industrial and Minmetals Capital
0.94 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Lonkey and Minmetals is 0.94. Overlapping area represents the amount of risk that can be diversified away by holding Lonkey Industrial Co and Minmetals Capital Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Minmetals Capital and Lonkey Industrial 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 Lonkey Industrial Co are associated (or correlated) with Minmetals Capital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Minmetals Capital has no effect on the direction of Lonkey Industrial i.e., Lonkey Industrial and Minmetals Capital go up and down completely randomly.
Pair Corralation between Lonkey Industrial and Minmetals Capital
Assuming the 90 days trading horizon Lonkey Industrial Co is expected to generate 0.61 times more return on investment than Minmetals Capital. However, Lonkey Industrial Co is 1.63 times less risky than Minmetals Capital. It trades about 0.08 of its potential returns per unit of risk. Minmetals Capital Co is currently generating about -0.15 per unit of risk. If you would invest 320.00 in Lonkey Industrial Co on September 3, 2024 and sell it today you would earn a total of 10.00 from holding Lonkey Industrial Co or generate 3.13% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Lonkey Industrial Co vs. Minmetals Capital Co
Performance |
| Timeline |
| Lonkey Industrial |
| Minmetals Capital |
Lonkey Industrial and Minmetals Capital Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Lonkey Industrial and Minmetals Capital
The main advantage of trading using opposite Lonkey Industrial and Minmetals Capital positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Lonkey Industrial position performs unexpectedly, Minmetals Capital 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 Minmetals Capital will offset losses from the drop in Minmetals Capital's long position.| Lonkey Industrial vs. Chengdu Spaceon Electronics | Lonkey Industrial vs. Sinosteel Luonai Materials | Lonkey Industrial vs. JCHX Mining Management | Lonkey Industrial vs. King Strong New Material |
| Minmetals Capital vs. Beijing Jiaman Dress | Minmetals Capital vs. Tianjin Capital Environmental | Minmetals Capital vs. Sinocat Environmental Technology | Minmetals Capital vs. Beijing Mainstreets Investment |
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 Equity Valuation module to check real value of public entities based on technical and fundamental data.
Other Complementary Tools
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Stocks Directory Find actively traded stocks across global markets |