Correlation Between Guangzhou Jointas and Industrial Bank
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guangzhou Jointas Chemical and Industrial Bank Co, you can compare the effects of market volatilities on Guangzhou Jointas and Industrial Bank 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 Jointas with a short position of Industrial Bank. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangzhou Jointas and Industrial Bank.
Diversification Opportunities for Guangzhou Jointas and Industrial Bank
0.57 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Guangzhou and Industrial is 0.57. Overlapping area represents the amount of risk that can be diversified away by holding Guangzhou Jointas Chemical and Industrial Bank Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Industrial Bank and Guangzhou Jointas 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 Jointas Chemical are associated (or correlated) with Industrial Bank. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Industrial Bank has no effect on the direction of Guangzhou Jointas i.e., Guangzhou Jointas and Industrial Bank go up and down completely randomly.
Pair Corralation between Guangzhou Jointas and Industrial Bank
Assuming the 90 days trading horizon Guangzhou Jointas Chemical is expected to generate 1.61 times more return on investment than Industrial Bank. However, Guangzhou Jointas is 1.61 times more volatile than Industrial Bank Co. It trades about 0.24 of its potential returns per unit of risk. Industrial Bank Co is currently generating about 0.13 per unit of risk. If you would invest 394.00 in Guangzhou Jointas Chemical on September 12, 2024 and sell it today you would earn a total of 208.00 from holding Guangzhou Jointas Chemical or generate 52.79% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Guangzhou Jointas Chemical vs. Industrial Bank Co
Performance |
| Timeline |
| Guangzhou Jointas |
| Industrial Bank |
Guangzhou Jointas and Industrial Bank Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Guangzhou Jointas and Industrial Bank
The main advantage of trading using opposite Guangzhou Jointas and Industrial Bank positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangzhou Jointas position performs unexpectedly, Industrial Bank 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 Bank will offset losses from the drop in Industrial Bank's long position.| Guangzhou Jointas vs. Zijin Mining Group | Guangzhou Jointas vs. Wanhua Chemical Group | Guangzhou Jointas vs. Baoshan Iron Steel | Guangzhou Jointas vs. Shandong Gold Mining |
| Industrial Bank vs. Industrial and Commercial | Industrial Bank vs. China Construction Bank | Industrial Bank vs. Bank of China | Industrial Bank vs. Agricultural Bank of |
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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Other Complementary Tools
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals |