Correlation Between Kuangda Technology and Chengdu Spaceon
Specify exactly 2 symbols:
By analyzing existing cross correlation between Kuangda Technology Group and Chengdu Spaceon Electronics, you can compare the effects of market volatilities on Kuangda Technology and Chengdu Spaceon 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 Kuangda Technology with a short position of Chengdu Spaceon. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kuangda Technology and Chengdu Spaceon.
Diversification Opportunities for Kuangda Technology and Chengdu Spaceon
0.95 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Kuangda and Chengdu is 0.95. Overlapping area represents the amount of risk that can be diversified away by holding Kuangda Technology Group and Chengdu Spaceon Electronics in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Chengdu Spaceon Elec and Kuangda Technology 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 Kuangda Technology Group are associated (or correlated) with Chengdu Spaceon. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Chengdu Spaceon Elec has no effect on the direction of Kuangda Technology i.e., Kuangda Technology and Chengdu Spaceon go up and down completely randomly.
Pair Corralation between Kuangda Technology and Chengdu Spaceon
Assuming the 90 days trading horizon Kuangda Technology Group is expected to generate 0.89 times more return on investment than Chengdu Spaceon. However, Kuangda Technology Group is 1.12 times less risky than Chengdu Spaceon. It trades about 0.01 of its potential returns per unit of risk. Chengdu Spaceon Electronics is currently generating about 0.0 per unit of risk. If you would invest 537.00 in Kuangda Technology Group on August 27, 2024 and sell it today you would lose (9.00) from holding Kuangda Technology Group or give up 1.68% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kuangda Technology Group vs. Chengdu Spaceon Electronics
Performance |
| Timeline |
| Kuangda Technology |
| Chengdu Spaceon Elec |
Kuangda Technology and Chengdu Spaceon Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kuangda Technology and Chengdu Spaceon
The main advantage of trading using opposite Kuangda Technology and Chengdu Spaceon positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kuangda Technology position performs unexpectedly, Chengdu Spaceon 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 Chengdu Spaceon will offset losses from the drop in Chengdu Spaceon's long position.| Kuangda Technology vs. BeiGene | Kuangda Technology vs. Kweichow Moutai Co | Kuangda Technology vs. Beijing Roborock Technology | Kuangda Technology vs. G bits Network Technology |
| Chengdu Spaceon vs. Suzhou Xingye Material | Chengdu Spaceon vs. Dongjiang Environmental Co | Chengdu Spaceon vs. Sinosteel Engineering and | Chengdu Spaceon vs. Jiangxi JDL 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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Other Complementary Tools
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| 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 | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated |