Correlation Between Fujian Longzhou and Gifore Agricultural
Specify exactly 2 symbols:
By analyzing existing cross correlation between Fujian Longzhou Transportation and Gifore Agricultural Machinery, you can compare the effects of market volatilities on Fujian Longzhou and Gifore Agricultural 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 Fujian Longzhou with a short position of Gifore Agricultural. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fujian Longzhou and Gifore Agricultural.
Diversification Opportunities for Fujian Longzhou and Gifore Agricultural
0.45 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Fujian and Gifore is 0.45. Overlapping area represents the amount of risk that can be diversified away by holding Fujian Longzhou Transportation and Gifore Agricultural Machinery in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gifore Agricultural and Fujian Longzhou 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 Fujian Longzhou Transportation are associated (or correlated) with Gifore Agricultural. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gifore Agricultural has no effect on the direction of Fujian Longzhou i.e., Fujian Longzhou and Gifore Agricultural go up and down completely randomly.
Pair Corralation between Fujian Longzhou and Gifore Agricultural
Assuming the 90 days trading horizon Fujian Longzhou Transportation is expected to under-perform the Gifore Agricultural. In addition to that, Fujian Longzhou is 1.13 times more volatile than Gifore Agricultural Machinery. It trades about -0.02 of its total potential returns per unit of risk. Gifore Agricultural Machinery is currently generating about 0.02 per unit of volatility. If you would invest 492.00 in Gifore Agricultural Machinery on November 6, 2024 and sell it today you would earn a total of 2.00 from holding Gifore Agricultural Machinery or generate 0.41% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Fujian Longzhou Transportation vs. Gifore Agricultural Machinery
Performance |
| Timeline |
| Fujian Longzhou Tran |
| Gifore Agricultural |
Fujian Longzhou and Gifore Agricultural Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Fujian Longzhou and Gifore Agricultural
The main advantage of trading using opposite Fujian Longzhou and Gifore Agricultural positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fujian Longzhou position performs unexpectedly, Gifore Agricultural 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 Gifore Agricultural will offset losses from the drop in Gifore Agricultural's long position.| Fujian Longzhou vs. Harbin Hatou Investment | Fujian Longzhou vs. Zoje Resources Investment | Fujian Longzhou vs. China Asset Management | Fujian Longzhou vs. Tieling Newcity Investment |
| Gifore Agricultural vs. Ziel Home Furnishing | Gifore Agricultural vs. Easyhome New Retail | Gifore Agricultural vs. Kunshan Dongwei Technology | Gifore Agricultural vs. 360 Security Technology |
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 Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
Other Complementary Tools
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Stocks Directory Find actively traded stocks across global markets |