Correlation Between Guocheng Mining and China Marine
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guocheng Mining Co and China Marine Information, you can compare the effects of market volatilities on Guocheng Mining and China Marine 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 Guocheng Mining with a short position of China Marine. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guocheng Mining and China Marine.
Diversification Opportunities for Guocheng Mining and China Marine
-0.15 | Correlation Coefficient |
Good diversification
The 3 months correlation between Guocheng and China is -0.15. Overlapping area represents the amount of risk that can be diversified away by holding Guocheng Mining Co and China Marine Information in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China Marine Information and Guocheng Mining 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 Guocheng Mining Co are associated (or correlated) with China Marine. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China Marine Information has no effect on the direction of Guocheng Mining i.e., Guocheng Mining and China Marine go up and down completely randomly.
Pair Corralation between Guocheng Mining and China Marine
Assuming the 90 days trading horizon Guocheng Mining Co is expected to under-perform the China Marine. In addition to that, Guocheng Mining is 1.02 times more volatile than China Marine Information. It trades about -0.02 of its total potential returns per unit of risk. China Marine Information is currently generating about 0.01 per unit of volatility. If you would invest 2,591 in China Marine Information on October 25, 2024 and sell it today you would earn a total of 15.00 from holding China Marine Information or generate 0.58% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guocheng Mining Co vs. China Marine Information
Performance |
| Timeline |
| Guocheng Mining |
| China Marine Information |
Guocheng Mining and China Marine Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guocheng Mining and China Marine
The main advantage of trading using opposite Guocheng Mining and China Marine positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guocheng Mining position performs unexpectedly, China Marine 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 Marine will offset losses from the drop in China Marine's long position.| Guocheng Mining vs. Fibocom Wireless | Guocheng Mining vs. Guangxi Wuzhou Communications | Guocheng Mining vs. Dongfeng Automobile Co | Guocheng Mining vs. Duzhe Publishing Media |
| China Marine vs. Kweichow Moutai Co | China Marine vs. NAURA Technology Group | China Marine vs. APT Medical | China Marine vs. BYD Co Ltd |
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 Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |