Correlation Between Songz Automobile and Anji Foodstuff
Specify exactly 2 symbols:
By analyzing existing cross correlation between Songz Automobile Air and Anji Foodstuff Co, you can compare the effects of market volatilities on Songz Automobile and Anji Foodstuff 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 Songz Automobile with a short position of Anji Foodstuff. Check out your portfolio center. Please also check ongoing floating volatility patterns of Songz Automobile and Anji Foodstuff.
Diversification Opportunities for Songz Automobile and Anji Foodstuff
0.96 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Songz and Anji is 0.96. Overlapping area represents the amount of risk that can be diversified away by holding Songz Automobile Air and Anji Foodstuff Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anji Foodstuff and Songz Automobile 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 Songz Automobile Air are associated (or correlated) with Anji Foodstuff. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anji Foodstuff has no effect on the direction of Songz Automobile i.e., Songz Automobile and Anji Foodstuff go up and down completely randomly.
Pair Corralation between Songz Automobile and Anji Foodstuff
Assuming the 90 days trading horizon Songz Automobile is expected to generate 1.8 times less return on investment than Anji Foodstuff. In addition to that, Songz Automobile is 1.16 times more volatile than Anji Foodstuff Co. It trades about 0.1 of its total potential returns per unit of risk. Anji Foodstuff Co is currently generating about 0.2 per unit of volatility. If you would invest 769.00 in Anji Foodstuff Co on August 31, 2024 and sell it today you would earn a total of 75.00 from holding Anji Foodstuff Co or generate 9.75% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Songz Automobile Air vs. Anji Foodstuff Co
Performance |
| Timeline |
| Songz Automobile Air |
| Anji Foodstuff |
Songz Automobile and Anji Foodstuff Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Songz Automobile and Anji Foodstuff
The main advantage of trading using opposite Songz Automobile and Anji Foodstuff positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Songz Automobile position performs unexpectedly, Anji Foodstuff 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 Anji Foodstuff will offset losses from the drop in Anji Foodstuff's long position.| Songz Automobile vs. China State Construction | Songz Automobile vs. China Merchants Shekou | Songz Automobile vs. Huafa Industrial Co | Songz Automobile vs. China International Capital |
| Anji Foodstuff vs. Lutian Machinery Co | Anji Foodstuff vs. PetroChina Co Ltd | Anji Foodstuff vs. Bank of China | Anji Foodstuff vs. Gansu Jiu Steel |
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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
Other Complementary Tools
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA |