Correlation Between Jointo Energy and HaiXin Foods
Specify exactly 2 symbols:
By analyzing existing cross correlation between Jointo Energy Investment and HaiXin Foods Co, you can compare the effects of market volatilities on Jointo Energy and HaiXin Foods 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 Jointo Energy with a short position of HaiXin Foods. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jointo Energy and HaiXin Foods.
Diversification Opportunities for Jointo Energy and HaiXin Foods
0.83 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Jointo and HaiXin is 0.83. Overlapping area represents the amount of risk that can be diversified away by holding Jointo Energy Investment and HaiXin Foods Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on HaiXin Foods and Jointo Energy 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 Jointo Energy Investment are associated (or correlated) with HaiXin Foods. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HaiXin Foods has no effect on the direction of Jointo Energy i.e., Jointo Energy and HaiXin Foods go up and down completely randomly.
Pair Corralation between Jointo Energy and HaiXin Foods
Assuming the 90 days trading horizon Jointo Energy Investment is expected to under-perform the HaiXin Foods. But the stock apears to be less risky and, when comparing its historical volatility, Jointo Energy Investment is 2.69 times less risky than HaiXin Foods. The stock trades about -0.06 of its potential returns per unit of risk. The HaiXin Foods Co is currently generating about 0.25 of returns per unit of risk over similar time horizon. If you would invest 380.00 in HaiXin Foods Co on September 1, 2024 and sell it today you would earn a total of 81.00 from holding HaiXin Foods Co or generate 21.32% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jointo Energy Investment vs. HaiXin Foods Co
Performance |
| Timeline |
| Jointo Energy Investment |
| HaiXin Foods |
Jointo Energy and HaiXin Foods Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jointo Energy and HaiXin Foods
The main advantage of trading using opposite Jointo Energy and HaiXin Foods positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jointo Energy position performs unexpectedly, HaiXin Foods 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 HaiXin Foods will offset losses from the drop in HaiXin Foods' long position.| Jointo Energy vs. Chengdu Kanghua Biological | Jointo Energy vs. Beijing Wantai Biological | Jointo Energy vs. Suzhou Novoprotein Scientific | Jointo Energy vs. Aluminum Corp of |
| HaiXin Foods vs. Nanjing Putian Telecommunications | HaiXin Foods vs. Shenzhen Hifuture Electric | HaiXin Foods vs. Tianjin Realty Development | HaiXin Foods vs. Shenyang Huitian Thermal |
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 Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.
Other Complementary Tools
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments |