Correlation Between Guangdong Jingyi and Hengkang Medical
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guangdong Jingyi Metal and Hengkang Medical Group, you can compare the effects of market volatilities on Guangdong Jingyi and Hengkang Medical 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 Guangdong Jingyi with a short position of Hengkang Medical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangdong Jingyi and Hengkang Medical.
Diversification Opportunities for Guangdong Jingyi and Hengkang Medical
0.88 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Guangdong and Hengkang is 0.88. Overlapping area represents the amount of risk that can be diversified away by holding Guangdong Jingyi Metal and Hengkang Medical Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hengkang Medical and Guangdong Jingyi 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 Guangdong Jingyi Metal are associated (or correlated) with Hengkang Medical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hengkang Medical has no effect on the direction of Guangdong Jingyi i.e., Guangdong Jingyi and Hengkang Medical go up and down completely randomly.
Pair Corralation between Guangdong Jingyi and Hengkang Medical
Assuming the 90 days trading horizon Guangdong Jingyi Metal is expected to generate 0.97 times more return on investment than Hengkang Medical. However, Guangdong Jingyi Metal is 1.03 times less risky than Hengkang Medical. It trades about 0.02 of its potential returns per unit of risk. Hengkang Medical Group is currently generating about -0.03 per unit of risk. If you would invest 692.00 in Guangdong Jingyi Metal on September 2, 2024 and sell it today you would earn a total of 44.00 from holding Guangdong Jingyi Metal or generate 6.36% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guangdong Jingyi Metal vs. Hengkang Medical Group
Performance |
| Timeline |
| Guangdong Jingyi Metal |
| Hengkang Medical |
Guangdong Jingyi and Hengkang Medical Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guangdong Jingyi and Hengkang Medical
The main advantage of trading using opposite Guangdong Jingyi and Hengkang Medical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangdong Jingyi position performs unexpectedly, Hengkang Medical 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 Hengkang Medical will offset losses from the drop in Hengkang Medical's long position.| Guangdong Jingyi vs. Dongfeng Automobile Co | Guangdong Jingyi vs. Peoples Insurance of | Guangdong Jingyi vs. China Life Insurance | Guangdong Jingyi vs. Anhui Deli Household |
| Hengkang Medical vs. Sichuan Teway Food | Hengkang Medical vs. Dhc Software Co | Hengkang Medical vs. Guilin Seamild Foods | Hengkang Medical vs. V V Food |
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 Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
Other Complementary Tools
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Equity Valuation Check real value of public entities based on technical and fundamental data |