Correlation Between Guangzhou Dongfang and CSSC Offshore
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guangzhou Dongfang Hotel and CSSC Offshore Marine, you can compare the effects of market volatilities on Guangzhou Dongfang and CSSC Offshore 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 Guangzhou Dongfang with a short position of CSSC Offshore. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangzhou Dongfang and CSSC Offshore.
Diversification Opportunities for Guangzhou Dongfang and CSSC Offshore
0.12 | Correlation Coefficient |
Average diversification
The 3 months correlation between Guangzhou and CSSC is 0.12. Overlapping area represents the amount of risk that can be diversified away by holding Guangzhou Dongfang Hotel and CSSC Offshore Marine in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CSSC Offshore Marine and Guangzhou Dongfang 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 Guangzhou Dongfang Hotel are associated (or correlated) with CSSC Offshore. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CSSC Offshore Marine has no effect on the direction of Guangzhou Dongfang i.e., Guangzhou Dongfang and CSSC Offshore go up and down completely randomly.
Pair Corralation between Guangzhou Dongfang and CSSC Offshore
Assuming the 90 days trading horizon Guangzhou Dongfang Hotel is expected to under-perform the CSSC Offshore. In addition to that, Guangzhou Dongfang is 1.24 times more volatile than CSSC Offshore Marine. It trades about 0.0 of its total potential returns per unit of risk. CSSC Offshore Marine is currently generating about 0.01 per unit of volatility. If you would invest 2,221 in CSSC Offshore Marine on October 11, 2024 and sell it today you would earn a total of 76.00 from holding CSSC Offshore Marine or generate 3.42% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guangzhou Dongfang Hotel vs. CSSC Offshore Marine
Performance |
| Timeline |
| Guangzhou Dongfang Hotel |
| CSSC Offshore Marine |
Guangzhou Dongfang and CSSC Offshore Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guangzhou Dongfang and CSSC Offshore
The main advantage of trading using opposite Guangzhou Dongfang and CSSC Offshore positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangzhou Dongfang position performs unexpectedly, CSSC Offshore 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 CSSC Offshore will offset losses from the drop in CSSC Offshore's long position.| Guangzhou Dongfang vs. Huaxia Fund Management | Guangzhou Dongfang vs. CICC Fund Management | Guangzhou Dongfang vs. Emdoor Information Co | Guangzhou Dongfang vs. Nexchip Semiconductor Corp |
| CSSC Offshore vs. Chengdu Kanghua Biological | CSSC Offshore vs. Beijing Wantai Biological | CSSC Offshore vs. Suzhou Novoprotein Scientific | CSSC Offshore vs. Aluminum Corp of |
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
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |