Correlation Between Guangzhou Haige and Jahen Household
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guangzhou Haige Communications and Jahen Household Products, you can compare the effects of market volatilities on Guangzhou Haige and Jahen Household 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 Guangzhou Haige with a short position of Jahen Household. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangzhou Haige and Jahen Household.
Diversification Opportunities for Guangzhou Haige and Jahen Household
0.92 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Guangzhou and Jahen is 0.92. Overlapping area represents the amount of risk that can be diversified away by holding Guangzhou Haige Communications and Jahen Household Products in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jahen Household Products and Guangzhou Haige 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 Guangzhou Haige Communications are associated (or correlated) with Jahen Household. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jahen Household Products has no effect on the direction of Guangzhou Haige i.e., Guangzhou Haige and Jahen Household go up and down completely randomly.
Pair Corralation between Guangzhou Haige and Jahen Household
Assuming the 90 days trading horizon Guangzhou Haige Communications is expected to generate 0.72 times more return on investment than Jahen Household. However, Guangzhou Haige Communications is 1.39 times less risky than Jahen Household. It trades about 0.03 of its potential returns per unit of risk. Jahen Household Products is currently generating about 0.02 per unit of risk. If you would invest 1,154 in Guangzhou Haige Communications on September 12, 2024 and sell it today you would earn a total of 122.00 from holding Guangzhou Haige Communications or generate 10.57% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guangzhou Haige Communications vs. Jahen Household Products
Performance |
| Timeline |
| Guangzhou Haige Comm |
| Jahen Household Products |
Guangzhou Haige and Jahen Household Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guangzhou Haige and Jahen Household
The main advantage of trading using opposite Guangzhou Haige and Jahen Household positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangzhou Haige position performs unexpectedly, Jahen Household 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 Jahen Household will offset losses from the drop in Jahen Household's long position.| Guangzhou Haige vs. Industrial and Commercial | Guangzhou Haige vs. China Construction Bank | Guangzhou Haige vs. Bank of China | Guangzhou Haige vs. Agricultural Bank of |
| Jahen Household vs. Jiangxi JDL Environmental | Jahen Household vs. Qiaoyin Environmental Tech | Jahen Household vs. Elite Color Environmental | Jahen Household vs. Guangdong Liantai Environmental |
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 Watchlist Optimization module to optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm.
Other Complementary Tools
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Equity Valuation Check real value of public entities based on technical and fundamental data |