Correlation Between ZYF Lopsking and Shanghai OPM
Specify exactly 2 symbols:
By analyzing existing cross correlation between ZYF Lopsking Aluminum and Shanghai OPM Biosciences, you can compare the effects of market volatilities on ZYF Lopsking and Shanghai OPM 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 ZYF Lopsking with a short position of Shanghai OPM. Check out your portfolio center. Please also check ongoing floating volatility patterns of ZYF Lopsking and Shanghai OPM.
Diversification Opportunities for ZYF Lopsking and Shanghai OPM
0.92 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between ZYF and Shanghai is 0.92. Overlapping area represents the amount of risk that can be diversified away by holding ZYF Lopsking Aluminum and Shanghai OPM Biosciences in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shanghai OPM Biosciences and ZYF Lopsking 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 ZYF Lopsking Aluminum are associated (or correlated) with Shanghai OPM. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shanghai OPM Biosciences has no effect on the direction of ZYF Lopsking i.e., ZYF Lopsking and Shanghai OPM go up and down completely randomly.
Pair Corralation between ZYF Lopsking and Shanghai OPM
Assuming the 90 days trading horizon ZYF Lopsking Aluminum is expected to generate 0.8 times more return on investment than Shanghai OPM. However, ZYF Lopsking Aluminum is 1.25 times less risky than Shanghai OPM. It trades about 0.15 of its potential returns per unit of risk. Shanghai OPM Biosciences is currently generating about -0.06 per unit of risk. If you would invest 571.00 in ZYF Lopsking Aluminum on September 14, 2024 and sell it today you would earn a total of 43.00 from holding ZYF Lopsking Aluminum or generate 7.53% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
ZYF Lopsking Aluminum vs. Shanghai OPM Biosciences
Performance |
| Timeline |
| ZYF Lopsking Aluminum |
| Shanghai OPM Biosciences |
ZYF Lopsking and Shanghai OPM Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ZYF Lopsking and Shanghai OPM
The main advantage of trading using opposite ZYF Lopsking and Shanghai OPM positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ZYF Lopsking position performs unexpectedly, Shanghai OPM 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 OPM will offset losses from the drop in Shanghai OPM's long position.| ZYF Lopsking vs. Zijin Mining Group | ZYF Lopsking vs. Wanhua Chemical Group | ZYF Lopsking vs. Baoshan Iron Steel | ZYF Lopsking vs. Shandong Gold Mining |
| Shanghai OPM vs. Beijing Yanjing Brewery | Shanghai OPM vs. ZYF Lopsking Aluminum | Shanghai OPM vs. Spring Airlines Co | Shanghai OPM vs. Hefei Metalforming Mach |
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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
Other Complementary Tools
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world |