Correlation Between Tieling Newcity and HOB Biotech
Specify exactly 2 symbols:
By analyzing existing cross correlation between Tieling Newcity Investment and HOB Biotech Group, you can compare the effects of market volatilities on Tieling Newcity and HOB Biotech 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 Tieling Newcity with a short position of HOB Biotech. Check out your portfolio center. Please also check ongoing floating volatility patterns of Tieling Newcity and HOB Biotech.
Diversification Opportunities for Tieling Newcity and HOB Biotech
0.56 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Tieling and HOB is 0.56. Overlapping area represents the amount of risk that can be diversified away by holding Tieling Newcity Investment and HOB Biotech Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on HOB Biotech Group and Tieling Newcity 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 Tieling Newcity Investment are associated (or correlated) with HOB Biotech. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HOB Biotech Group has no effect on the direction of Tieling Newcity i.e., Tieling Newcity and HOB Biotech go up and down completely randomly.
Pair Corralation between Tieling Newcity and HOB Biotech
Assuming the 90 days trading horizon Tieling Newcity Investment is expected to generate 0.55 times more return on investment than HOB Biotech. However, Tieling Newcity Investment is 1.81 times less risky than HOB Biotech. It trades about 0.22 of its potential returns per unit of risk. HOB Biotech Group is currently generating about -0.09 per unit of risk. If you would invest 257.00 in Tieling Newcity Investment on October 11, 2024 and sell it today you would earn a total of 74.00 from holding Tieling Newcity Investment or generate 28.79% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Tieling Newcity Investment vs. HOB Biotech Group
Performance |
| Timeline |
| Tieling Newcity Inve |
| HOB Biotech Group |
Tieling Newcity and HOB Biotech Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Tieling Newcity and HOB Biotech
The main advantage of trading using opposite Tieling Newcity and HOB Biotech positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Tieling Newcity position performs unexpectedly, HOB Biotech 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 HOB Biotech will offset losses from the drop in HOB Biotech's long position.| Tieling Newcity vs. Cultural Investment Holdings | Tieling Newcity vs. Hangzhou Pinming Software | Tieling Newcity vs. Fujian Boss Software | Tieling Newcity vs. Shanghai Material Trading |
| HOB Biotech vs. Shannon Semiconductor Technology | HOB Biotech vs. ZYF Lopsking Aluminum | HOB Biotech vs. Suzhou Oriental Semiconductor | HOB Biotech vs. Guangdong Jingyi Metal |
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 Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.
Other Complementary Tools
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges |