Correlation Between Jinhe Biotechnology and Cinda Securities
Specify exactly 2 symbols:
By analyzing existing cross correlation between Jinhe Biotechnology Co and Cinda Securities Co, you can compare the effects of market volatilities on Jinhe Biotechnology and Cinda Securities 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 Jinhe Biotechnology with a short position of Cinda Securities. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jinhe Biotechnology and Cinda Securities.
Diversification Opportunities for Jinhe Biotechnology and Cinda Securities
0.19 | Correlation Coefficient |
Average diversification
The 3 months correlation between Jinhe and Cinda is 0.19. Overlapping area represents the amount of risk that can be diversified away by holding Jinhe Biotechnology Co and Cinda Securities Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cinda Securities and Jinhe Biotechnology 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 Jinhe Biotechnology Co are associated (or correlated) with Cinda Securities. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cinda Securities has no effect on the direction of Jinhe Biotechnology i.e., Jinhe Biotechnology and Cinda Securities go up and down completely randomly.
Pair Corralation between Jinhe Biotechnology and Cinda Securities
Assuming the 90 days trading horizon Jinhe Biotechnology Co is expected to under-perform the Cinda Securities. But the stock apears to be less risky and, when comparing its historical volatility, Jinhe Biotechnology Co is 1.03 times less risky than Cinda Securities. The stock trades about -0.16 of its potential returns per unit of risk. The Cinda Securities Co is currently generating about -0.15 of returns per unit of risk over similar time horizon. If you would invest 1,536 in Cinda Securities Co on October 10, 2024 and sell it today you would lose (128.00) from holding Cinda Securities Co or give up 8.33% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 95.45% |
| Values | Daily Returns |
Jinhe Biotechnology Co vs. Cinda Securities Co
Performance |
| Timeline |
| Jinhe Biotechnology |
| Cinda Securities |
Jinhe Biotechnology and Cinda Securities Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jinhe Biotechnology and Cinda Securities
The main advantage of trading using opposite Jinhe Biotechnology and Cinda Securities positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jinhe Biotechnology position performs unexpectedly, Cinda Securities 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 Cinda Securities will offset losses from the drop in Cinda Securities' long position.| Jinhe Biotechnology vs. Jiangsu Financial Leasing | Jinhe Biotechnology vs. Tengda Construction Group | Jinhe Biotechnology vs. Jiangxi Hengda Hi Tech | Jinhe Biotechnology vs. Huasi Agricultural Development |
| Cinda Securities vs. Xingguang Agricultural Mach | Cinda Securities vs. Hongrun Construction Group | Cinda Securities vs. Qijing Machinery | Cinda Securities vs. Lutian Machinery Co |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
Other Complementary Tools
| CEOs Directory Screen CEOs from public companies around the world | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope |