Correlation Between Shenzhen Hifuture and Healthcare
Specify exactly 2 symbols:
By analyzing existing cross correlation between Shenzhen Hifuture Electric and Healthcare Co, you can compare the effects of market volatilities on Shenzhen Hifuture and Healthcare 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 Shenzhen Hifuture with a short position of Healthcare. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shenzhen Hifuture and Healthcare.
Diversification Opportunities for Shenzhen Hifuture and Healthcare
0.79 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Shenzhen and Healthcare is 0.79. Overlapping area represents the amount of risk that can be diversified away by holding Shenzhen Hifuture Electric and Healthcare Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Healthcare and Shenzhen Hifuture 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 Shenzhen Hifuture Electric are associated (or correlated) with Healthcare. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Healthcare has no effect on the direction of Shenzhen Hifuture i.e., Shenzhen Hifuture and Healthcare go up and down completely randomly.
Pair Corralation between Shenzhen Hifuture and Healthcare
Assuming the 90 days trading horizon Shenzhen Hifuture Electric is expected to generate 1.16 times more return on investment than Healthcare. However, Shenzhen Hifuture is 1.16 times more volatile than Healthcare Co. It trades about 0.01 of its potential returns per unit of risk. Healthcare Co is currently generating about -0.01 per unit of risk. If you would invest 242.00 in Shenzhen Hifuture Electric on October 26, 2024 and sell it today you would lose (3.00) from holding Shenzhen Hifuture Electric or give up 1.24% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Shenzhen Hifuture Electric vs. Healthcare Co
Performance |
| Timeline |
| Shenzhen Hifuture |
| Healthcare |
Shenzhen Hifuture and Healthcare Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Shenzhen Hifuture and Healthcare
The main advantage of trading using opposite Shenzhen Hifuture and Healthcare positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shenzhen Hifuture position performs unexpectedly, Healthcare 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 Healthcare will offset losses from the drop in Healthcare's long position.| Shenzhen Hifuture vs. Shenyang Chemical Industry | Shenzhen Hifuture vs. Vohringer Home Technology | Shenzhen Hifuture vs. Xilong Chemical Co | Shenzhen Hifuture vs. Lier Chemical Co |
| Healthcare vs. Cloud Live Technology | Healthcare vs. Nanjing Putian Telecommunications | Healthcare vs. Shenzhen Coship Electronics | Healthcare vs. Shenzhen Hifuture Electric |
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 Stocks Directory module to find actively traded stocks across global markets.
Other Complementary Tools
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world |