Correlation Between Xiwang Foodstuffs and China Vanke
Specify exactly 2 symbols:
By analyzing existing cross correlation between Xiwang Foodstuffs Co and China Vanke Co, you can compare the effects of market volatilities on Xiwang Foodstuffs and China Vanke 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 Xiwang Foodstuffs with a short position of China Vanke. Check out your portfolio center. Please also check ongoing floating volatility patterns of Xiwang Foodstuffs and China Vanke.
Diversification Opportunities for Xiwang Foodstuffs and China Vanke
0.35 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Xiwang and China is 0.35. Overlapping area represents the amount of risk that can be diversified away by holding Xiwang Foodstuffs Co and China Vanke Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China Vanke and Xiwang Foodstuffs 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 Xiwang Foodstuffs Co are associated (or correlated) with China Vanke. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China Vanke has no effect on the direction of Xiwang Foodstuffs i.e., Xiwang Foodstuffs and China Vanke go up and down completely randomly.
Pair Corralation between Xiwang Foodstuffs and China Vanke
Assuming the 90 days trading horizon Xiwang Foodstuffs Co is expected to under-perform the China Vanke. But the stock apears to be less risky and, when comparing its historical volatility, Xiwang Foodstuffs Co is 1.22 times less risky than China Vanke. The stock trades about -0.16 of its potential returns per unit of risk. The China Vanke Co is currently generating about 0.02 of returns per unit of risk over similar time horizon. If you would invest 736.00 in China Vanke Co on October 29, 2024 and sell it today you would earn a total of 3.00 from holding China Vanke Co or generate 0.41% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Xiwang Foodstuffs Co vs. China Vanke Co
Performance |
| Timeline |
| Xiwang Foodstuffs |
| China Vanke |
Xiwang Foodstuffs and China Vanke Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Xiwang Foodstuffs and China Vanke
The main advantage of trading using opposite Xiwang Foodstuffs and China Vanke positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Xiwang Foodstuffs position performs unexpectedly, China Vanke 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 China Vanke will offset losses from the drop in China Vanke's long position.| Xiwang Foodstuffs vs. Jiujiang Shanshui Technology | Xiwang Foodstuffs vs. HeBei Jinniu Chemical | Xiwang Foodstuffs vs. Jinyu Bio Technology Co | Xiwang Foodstuffs vs. Gansu Huangtai Wine marketing |
| China Vanke vs. Heilongjiang Transport Development | China Vanke vs. China Aluminum International | China Vanke vs. Anhui Transport Consulting | China Vanke vs. Semiconductor Manufacturing Electronics |
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 Transaction History module to view history of all your transactions and understand their impact on performance.
Other Complementary Tools
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. |