Correlation Between Bus Online and Shandong Gold
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bus Online Co and Shandong Gold Mining, you can compare the effects of market volatilities on Bus Online and Shandong Gold 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 Bus Online with a short position of Shandong Gold. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bus Online and Shandong Gold.
Diversification Opportunities for Bus Online and Shandong Gold
0.14 | Correlation Coefficient |
Average diversification
The 3 months correlation between Bus and Shandong is 0.14. Overlapping area represents the amount of risk that can be diversified away by holding Bus Online Co and Shandong Gold Mining in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shandong Gold Mining and Bus Online 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 Bus Online Co are associated (or correlated) with Shandong Gold. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shandong Gold Mining has no effect on the direction of Bus Online i.e., Bus Online and Shandong Gold go up and down completely randomly.
Pair Corralation between Bus Online and Shandong Gold
Assuming the 90 days trading horizon Bus Online Co is expected to generate 1.79 times more return on investment than Shandong Gold. However, Bus Online is 1.79 times more volatile than Shandong Gold Mining. It trades about 0.16 of its potential returns per unit of risk. Shandong Gold Mining is currently generating about 0.05 per unit of risk. If you would invest 404.00 in Bus Online Co on November 6, 2024 and sell it today you would earn a total of 29.00 from holding Bus Online Co or generate 7.18% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bus Online Co vs. Shandong Gold Mining
Performance |
| Timeline |
| Bus Online |
| Shandong Gold Mining |
Bus Online and Shandong Gold Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bus Online and Shandong Gold
The main advantage of trading using opposite Bus Online and Shandong Gold positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bus Online position performs unexpectedly, Shandong Gold 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 Shandong Gold will offset losses from the drop in Shandong Gold's long position.| Bus Online vs. Peoples Insurance of | Bus Online vs. Lotus Health Group | Bus Online vs. Miracll Chemicals Co | Bus Online vs. De Rucci Healthy |
| Shandong Gold vs. Queclink Wireless Solutions | Shandong Gold vs. Shanghai Rightongene Biotechnology | Shandong Gold vs. Beijing Kingsoft Office | Shandong Gold vs. Maccura Biotechnology Co |
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 Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
Other Complementary Tools
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios |