Correlation Between Invengo Information and Shenyang Huitian
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By analyzing existing cross correlation between Invengo Information Technology and Shenyang Huitian Thermal, you can compare the effects of market volatilities on Invengo Information and Shenyang Huitian 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 Invengo Information with a short position of Shenyang Huitian. Check out your portfolio center. Please also check ongoing floating volatility patterns of Invengo Information and Shenyang Huitian.
Diversification Opportunities for Invengo Information and Shenyang Huitian
0.63 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Invengo and Shenyang is 0.63. Overlapping area represents the amount of risk that can be diversified away by holding Invengo Information Technology and Shenyang Huitian Thermal in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shenyang Huitian Thermal and Invengo Information 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 Invengo Information Technology are associated (or correlated) with Shenyang Huitian. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shenyang Huitian Thermal has no effect on the direction of Invengo Information i.e., Invengo Information and Shenyang Huitian go up and down completely randomly.
Pair Corralation between Invengo Information and Shenyang Huitian
Assuming the 90 days trading horizon Invengo Information Technology is expected to under-perform the Shenyang Huitian. But the stock apears to be less risky and, when comparing its historical volatility, Invengo Information Technology is 1.04 times less risky than Shenyang Huitian. The stock trades about -0.05 of its potential returns per unit of risk. The Shenyang Huitian Thermal is currently generating about -0.05 of returns per unit of risk over similar time horizon. If you would invest 370.00 in Shenyang Huitian Thermal on October 30, 2024 and sell it today you would lose (33.00) from holding Shenyang Huitian Thermal or give up 8.92% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Invengo Information Technology vs. Shenyang Huitian Thermal
Performance |
| Timeline |
| Invengo Information |
| Shenyang Huitian Thermal |
Invengo Information and Shenyang Huitian Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Invengo Information and Shenyang Huitian
The main advantage of trading using opposite Invengo Information and Shenyang Huitian positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Invengo Information position performs unexpectedly, Shenyang Huitian 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 Shenyang Huitian will offset losses from the drop in Shenyang Huitian's long position.| Invengo Information vs. UE Furniture Co | Invengo Information vs. Hangzhou Pinming Software | Invengo Information vs. Mengtian Home Group | Invengo Information vs. Easyhome New Retail |
| Shenyang Huitian vs. Tsingtao Brewery Co | Shenyang Huitian vs. Hainan Airlines Co | Shenyang Huitian vs. Panda Financial Holding | Shenyang Huitian vs. Guangzhou Zhujiang Brewery |
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 Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.
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