Correlation Between Kuang Chi and Beijing Topnew
Specify exactly 2 symbols:
By analyzing existing cross correlation between Kuang Chi Technologies and Beijing Topnew Info, you can compare the effects of market volatilities on Kuang Chi and Beijing Topnew 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 Kuang Chi with a short position of Beijing Topnew. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kuang Chi and Beijing Topnew.
Diversification Opportunities for Kuang Chi and Beijing Topnew
0.84 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Kuang and Beijing is 0.84. Overlapping area represents the amount of risk that can be diversified away by holding Kuang Chi Technologies and Beijing Topnew Info in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Beijing Topnew Info and Kuang Chi 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 Kuang Chi Technologies are associated (or correlated) with Beijing Topnew. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Beijing Topnew Info has no effect on the direction of Kuang Chi i.e., Kuang Chi and Beijing Topnew go up and down completely randomly.
Pair Corralation between Kuang Chi and Beijing Topnew
Assuming the 90 days trading horizon Kuang Chi is expected to generate 1.94 times less return on investment than Beijing Topnew. In addition to that, Kuang Chi is 1.74 times more volatile than Beijing Topnew Info. It trades about 0.04 of its total potential returns per unit of risk. Beijing Topnew Info is currently generating about 0.12 per unit of volatility. If you would invest 3,294 in Beijing Topnew Info on September 2, 2024 and sell it today you would earn a total of 224.00 from holding Beijing Topnew Info or generate 6.8% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kuang Chi Technologies vs. Beijing Topnew Info
Performance |
| Timeline |
| Kuang Chi Technologies |
| Beijing Topnew Info |
Kuang Chi and Beijing Topnew Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kuang Chi and Beijing Topnew
The main advantage of trading using opposite Kuang Chi and Beijing Topnew positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kuang Chi position performs unexpectedly, Beijing Topnew 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 Beijing Topnew will offset losses from the drop in Beijing Topnew's long position.| Kuang Chi vs. BYD Co Ltd | Kuang Chi vs. China Mobile Limited | Kuang Chi vs. Agricultural Bank of | Kuang Chi vs. Industrial and Commercial |
| Beijing Topnew vs. Jiujiang Shanshui Technology | Beijing Topnew vs. Jiangsu GDK Biotechnology | Beijing Topnew vs. Niutech Environment Technology | Beijing Topnew vs. Kuang Chi Technologies |
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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
Other Complementary Tools
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Transaction History View history of all your transactions and understand their impact on performance |