Correlation Between Beijing Bewinner and Xinjiang Tianshun
Specify exactly 2 symbols:
By analyzing existing cross correlation between Beijing Bewinner Communications and Xinjiang Tianshun Supply, you can compare the effects of market volatilities on Beijing Bewinner and Xinjiang Tianshun 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 Beijing Bewinner with a short position of Xinjiang Tianshun. Check out your portfolio center. Please also check ongoing floating volatility patterns of Beijing Bewinner and Xinjiang Tianshun.
Diversification Opportunities for Beijing Bewinner and Xinjiang Tianshun
0.28 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Beijing and Xinjiang is 0.28. Overlapping area represents the amount of risk that can be diversified away by holding Beijing Bewinner Communication and Xinjiang Tianshun Supply in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xinjiang Tianshun Supply and Beijing Bewinner 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 Beijing Bewinner Communications are associated (or correlated) with Xinjiang Tianshun. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xinjiang Tianshun Supply has no effect on the direction of Beijing Bewinner i.e., Beijing Bewinner and Xinjiang Tianshun go up and down completely randomly.
Pair Corralation between Beijing Bewinner and Xinjiang Tianshun
Assuming the 90 days trading horizon Beijing Bewinner Communications is expected to generate 1.14 times more return on investment than Xinjiang Tianshun. However, Beijing Bewinner is 1.14 times more volatile than Xinjiang Tianshun Supply. It trades about 0.02 of its potential returns per unit of risk. Xinjiang Tianshun Supply is currently generating about -0.03 per unit of risk. If you would invest 590.00 in Beijing Bewinner Communications on October 16, 2024 and sell it today you would lose (3.00) from holding Beijing Bewinner Communications or give up 0.51% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Beijing Bewinner Communication vs. Xinjiang Tianshun Supply
Performance |
| Timeline |
| Beijing Bewinner Com |
| Xinjiang Tianshun Supply |
Beijing Bewinner and Xinjiang Tianshun Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Beijing Bewinner and Xinjiang Tianshun
The main advantage of trading using opposite Beijing Bewinner and Xinjiang Tianshun positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Beijing Bewinner position performs unexpectedly, Xinjiang Tianshun 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 Xinjiang Tianshun will offset losses from the drop in Xinjiang Tianshun's long position.| Beijing Bewinner vs. Xinhua Winshare Publishing | Beijing Bewinner vs. Shenyang Chemical Industry | Beijing Bewinner vs. Dosilicon Co | Beijing Bewinner vs. Zhejiang Publishing Media |
| Xinjiang Tianshun vs. Tongyu Communication | Xinjiang Tianshun vs. China Mobile Limited | Xinjiang Tianshun vs. Haima Automobile Group | Xinjiang Tianshun vs. Beijing Bewinner Communications |
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 Correlation Analysis module to reduce portfolio risk simply by holding instruments which are not perfectly correlated.
Other Complementary Tools
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance |