Correlation Between Gansu Huangtai and Beijing Shunxin
Specify exactly 2 symbols:
By analyzing existing cross correlation between Gansu Huangtai Wine marketing and Beijing Shunxin Agriculture, you can compare the effects of market volatilities on Gansu Huangtai and Beijing Shunxin 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 Gansu Huangtai with a short position of Beijing Shunxin. Check out your portfolio center. Please also check ongoing floating volatility patterns of Gansu Huangtai and Beijing Shunxin.
Diversification Opportunities for Gansu Huangtai and Beijing Shunxin
-0.02 | Correlation Coefficient |
Good diversification
The 3 months correlation between Gansu and Beijing is -0.02. Overlapping area represents the amount of risk that can be diversified away by holding Gansu Huangtai Wine marketing and Beijing Shunxin Agriculture in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Beijing Shunxin Agri and Gansu Huangtai 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 Gansu Huangtai Wine marketing are associated (or correlated) with Beijing Shunxin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Beijing Shunxin Agri has no effect on the direction of Gansu Huangtai i.e., Gansu Huangtai and Beijing Shunxin go up and down completely randomly.
Pair Corralation between Gansu Huangtai and Beijing Shunxin
Assuming the 90 days trading horizon Gansu Huangtai Wine marketing is expected to generate 2.26 times more return on investment than Beijing Shunxin. However, Gansu Huangtai is 2.26 times more volatile than Beijing Shunxin Agriculture. It trades about 0.0 of its potential returns per unit of risk. Beijing Shunxin Agriculture is currently generating about -0.13 per unit of risk. If you would invest 1,530 in Gansu Huangtai Wine marketing on October 30, 2024 and sell it today you would lose (54.00) from holding Gansu Huangtai Wine marketing or give up 3.53% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Gansu Huangtai Wine marketing vs. Beijing Shunxin Agriculture
Performance |
Timeline |
Gansu Huangtai Wine |
Beijing Shunxin Agri |
Gansu Huangtai and Beijing Shunxin Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Gansu Huangtai and Beijing Shunxin
The main advantage of trading using opposite Gansu Huangtai and Beijing Shunxin positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Gansu Huangtai position performs unexpectedly, Beijing Shunxin 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 Beijing Shunxin will offset losses from the drop in Beijing Shunxin's long position.Gansu Huangtai vs. PetroChina Co Ltd | Gansu Huangtai vs. Industrial and Commercial | Gansu Huangtai vs. China Petroleum Chemical | Gansu Huangtai vs. China Construction Bank |
Beijing Shunxin vs. Everdisplay Optronics Shanghai | Beijing Shunxin vs. Shenwu Energy Saving | Beijing Shunxin vs. Guangzhou Dongfang Hotel | Beijing Shunxin vs. Sportsoul 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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.
Other Complementary Tools
Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
Commodity Directory Find actively traded commodities issued by global exchanges | |
Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities |