Correlation Between Innovative Medical and Kunshan Guoli
Specify exactly 2 symbols:
By analyzing existing cross correlation between Innovative Medical Management and Kunshan Guoli Electronic, you can compare the effects of market volatilities on Innovative Medical and Kunshan Guoli 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 Innovative Medical with a short position of Kunshan Guoli. Check out your portfolio center. Please also check ongoing floating volatility patterns of Innovative Medical and Kunshan Guoli.
Diversification Opportunities for Innovative Medical and Kunshan Guoli
0.89 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Innovative and Kunshan is 0.89. Overlapping area represents the amount of risk that can be diversified away by holding Innovative Medical Management and Kunshan Guoli Electronic in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kunshan Guoli Electronic and Innovative Medical 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 Innovative Medical Management are associated (or correlated) with Kunshan Guoli. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kunshan Guoli Electronic has no effect on the direction of Innovative Medical i.e., Innovative Medical and Kunshan Guoli go up and down completely randomly.
Pair Corralation between Innovative Medical and Kunshan Guoli
Assuming the 90 days trading horizon Innovative Medical is expected to generate 1.95 times less return on investment than Kunshan Guoli. In addition to that, Innovative Medical is 1.15 times more volatile than Kunshan Guoli Electronic. It trades about 0.02 of its total potential returns per unit of risk. Kunshan Guoli Electronic is currently generating about 0.04 per unit of volatility. If you would invest 4,200 in Kunshan Guoli Electronic on September 2, 2024 and sell it today you would earn a total of 60.00 from holding Kunshan Guoli Electronic or generate 1.43% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Innovative Medical Management vs. Kunshan Guoli Electronic
Performance |
| Timeline |
| Innovative Medical |
| Kunshan Guoli Electronic |
Innovative Medical and Kunshan Guoli Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Innovative Medical and Kunshan Guoli
The main advantage of trading using opposite Innovative Medical and Kunshan Guoli positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Innovative Medical position performs unexpectedly, Kunshan Guoli 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 Kunshan Guoli will offset losses from the drop in Kunshan Guoli's long position.| Innovative Medical vs. China Life Insurance | Innovative Medical vs. Cinda Securities Co | Innovative Medical vs. Piotech Inc A | Innovative Medical vs. Dongxing Sec Co |
| Kunshan Guoli vs. HaiXin Foods Co | Kunshan Guoli vs. Guangdong Brandmax Marketing | Kunshan Guoli vs. Youyou Foods Co | Kunshan Guoli vs. Gan Yuan Foods |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Other Complementary Tools
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data |