Correlation Between Guangzhou Jinyi and Industrial
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guangzhou Jinyi Media and Industrial and Commercial, you can compare the effects of market volatilities on Guangzhou Jinyi and Industrial 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 Jinyi with a short position of Industrial. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangzhou Jinyi and Industrial.
Diversification Opportunities for Guangzhou Jinyi and Industrial
0.26 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Guangzhou and Industrial is 0.26. Overlapping area represents the amount of risk that can be diversified away by holding Guangzhou Jinyi Media and Industrial and Commercial in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Industrial and Commercial and Guangzhou Jinyi 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 Jinyi Media are associated (or correlated) with Industrial. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Industrial and Commercial has no effect on the direction of Guangzhou Jinyi i.e., Guangzhou Jinyi and Industrial go up and down completely randomly.
Pair Corralation between Guangzhou Jinyi and Industrial
Assuming the 90 days trading horizon Guangzhou Jinyi Media is expected to generate 3.73 times more return on investment than Industrial. However, Guangzhou Jinyi is 3.73 times more volatile than Industrial and Commercial. It trades about 0.12 of its potential returns per unit of risk. Industrial and Commercial is currently generating about 0.07 per unit of risk. If you would invest 685.00 in Guangzhou Jinyi Media on August 28, 2024 and sell it today you would earn a total of 60.00 from holding Guangzhou Jinyi Media or generate 8.76% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guangzhou Jinyi Media vs. Industrial and Commercial
Performance |
| Timeline |
| Guangzhou Jinyi Media |
| Industrial and Commercial |
Guangzhou Jinyi and Industrial Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guangzhou Jinyi and Industrial
The main advantage of trading using opposite Guangzhou Jinyi and Industrial positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangzhou Jinyi position performs unexpectedly, Industrial 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 Industrial will offset losses from the drop in Industrial's long position.| Guangzhou Jinyi vs. Agricultural Bank of | Guangzhou Jinyi vs. Industrial and Commercial | Guangzhou Jinyi vs. Bank of China | Guangzhou Jinyi vs. PetroChina Co Ltd |
| Industrial vs. Allwin Telecommunication Co | Industrial vs. SUNSEA Telecommunications Co | Industrial vs. Guangzhou Haige Communications | Industrial vs. Nanjing Putian Telecommunications |
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
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance |