Correlation Between Bus Online and Shanghai Xinhua
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bus Online Co and Shanghai Xinhua Media, you can compare the effects of market volatilities on Bus Online and Shanghai Xinhua 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 Shanghai Xinhua. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bus Online and Shanghai Xinhua.
Diversification Opportunities for Bus Online and Shanghai Xinhua
0.78 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Bus and Shanghai is 0.78. Overlapping area represents the amount of risk that can be diversified away by holding Bus Online Co and Shanghai Xinhua Media in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shanghai Xinhua Media 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 Shanghai Xinhua. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shanghai Xinhua Media has no effect on the direction of Bus Online i.e., Bus Online and Shanghai Xinhua go up and down completely randomly.
Pair Corralation between Bus Online and Shanghai Xinhua
Assuming the 90 days trading horizon Bus Online Co is expected to under-perform the Shanghai Xinhua. But the stock apears to be less risky and, when comparing its historical volatility, Bus Online Co is 1.02 times less risky than Shanghai Xinhua. The stock trades about -0.02 of its potential returns per unit of risk. The Shanghai Xinhua Media is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 509.00 in Shanghai Xinhua Media on November 5, 2024 and sell it today you would earn a total of 82.00 from holding Shanghai Xinhua Media or generate 16.11% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bus Online Co vs. Shanghai Xinhua Media
Performance |
| Timeline |
| Bus Online |
| Shanghai Xinhua Media |
Bus Online and Shanghai Xinhua Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bus Online and Shanghai Xinhua
The main advantage of trading using opposite Bus Online and Shanghai Xinhua positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bus Online position performs unexpectedly, Shanghai Xinhua 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 Shanghai Xinhua will offset losses from the drop in Shanghai Xinhua's long position.| Bus Online vs. TianJin 712 Communication | Bus Online vs. Hunan Investment Group | Bus Online vs. Xinjiang Communications Construction | Bus Online vs. Zhejiang Construction Investment |
| Shanghai Xinhua vs. Olympic Circuit Technology | Shanghai Xinhua vs. Chengtun Mining Group | Shanghai Xinhua vs. Eyebright Medical Technology | Shanghai Xinhua vs. Hengli Industrial Development |
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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Other Complementary Tools
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets |