Correlation Between China Securities and Gemdale Corp
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Securities 800 and Gemdale Corp, you can compare the effects of market volatilities on China Securities and Gemdale Corp 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 China Securities with a short position of Gemdale Corp. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Securities and Gemdale Corp.
Diversification Opportunities for China Securities and Gemdale Corp
0.72 | Correlation Coefficient |
Poor diversification
The 3 months correlation between China and Gemdale is 0.72. Overlapping area represents the amount of risk that can be diversified away by holding China Securities 800 and Gemdale Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gemdale Corp and China Securities 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 China Securities 800 are associated (or correlated) with Gemdale Corp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gemdale Corp has no effect on the direction of China Securities i.e., China Securities and Gemdale Corp go up and down completely randomly.
Pair Corralation between China Securities and Gemdale Corp
Assuming the 90 days trading horizon China Securities is expected to generate 25.02 times less return on investment than Gemdale Corp. But when comparing it to its historical volatility, China Securities 800 is 2.73 times less risky than Gemdale Corp. It trades about 0.01 of its potential returns per unit of risk. Gemdale Corp is currently generating about 0.11 of returns per unit of risk over similar time horizon. If you would invest 437.00 in Gemdale Corp on November 3, 2024 and sell it today you would earn a total of 21.00 from holding Gemdale Corp or generate 4.81% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
China Securities 800 vs. Gemdale Corp
Performance |
| Timeline |
China Securities and Gemdale Corp Volatility Contrast
Predicted Return Density |
| Returns |
China Securities 800
Pair trading matchups for China Securities
Gemdale Corp
Pair trading matchups for Gemdale Corp
Pair Trading with China Securities and Gemdale Corp
The main advantage of trading using opposite China Securities and Gemdale Corp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Securities position performs unexpectedly, Gemdale Corp 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 Gemdale Corp will offset losses from the drop in Gemdale Corp's long position.| China Securities vs. Healthcare Co | China Securities vs. Zoje Resources Investment | China Securities vs. Ningbo Ligong Online | China Securities vs. Cultural Investment Holdings |
| Gemdale Corp vs. StarPower Semiconductor | Gemdale Corp vs. GRINM Semiconductor Materials | Gemdale Corp vs. Beijing Baolande Software | Gemdale Corp vs. Hubei Tech Semiconductors |
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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
Other Complementary Tools
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios |