Correlation Between Xinjiang Communications and Autek China
Specify exactly 2 symbols:
By analyzing existing cross correlation between Xinjiang Communications Construction and Autek China, you can compare the effects of market volatilities on Xinjiang Communications and Autek China 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 Xinjiang Communications with a short position of Autek China. Check out your portfolio center. Please also check ongoing floating volatility patterns of Xinjiang Communications and Autek China.
Diversification Opportunities for Xinjiang Communications and Autek China
0.86 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Xinjiang and Autek is 0.86. Overlapping area represents the amount of risk that can be diversified away by holding Xinjiang Communications Constr and Autek China in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Autek China and Xinjiang Communications 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 Xinjiang Communications Construction are associated (or correlated) with Autek China. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Autek China has no effect on the direction of Xinjiang Communications i.e., Xinjiang Communications and Autek China go up and down completely randomly.
Pair Corralation between Xinjiang Communications and Autek China
Assuming the 90 days trading horizon Xinjiang Communications Construction is expected to generate 1.09 times more return on investment than Autek China. However, Xinjiang Communications is 1.09 times more volatile than Autek China. It trades about 0.02 of its potential returns per unit of risk. Autek China is currently generating about -0.02 per unit of risk. If you would invest 1,269 in Xinjiang Communications Construction on September 4, 2024 and sell it today you would earn a total of 16.00 from holding Xinjiang Communications Construction or generate 1.26% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Xinjiang Communications Constr vs. Autek China
Performance |
| Timeline |
| Xinjiang Communications |
| Autek China |
Xinjiang Communications and Autek China Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Xinjiang Communications and Autek China
The main advantage of trading using opposite Xinjiang Communications and Autek China positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Xinjiang Communications position performs unexpectedly, Autek China 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 Autek China will offset losses from the drop in Autek China's long position.| Xinjiang Communications vs. China Life Insurance | Xinjiang Communications vs. Cinda Securities Co | Xinjiang Communications vs. Piotech Inc A | Xinjiang Communications vs. Dongxing Sec Co |
| Autek China vs. Dalian Zeus Entertainment | Autek China vs. Beijing Bashi Media | Autek China vs. Dazhong Transportation Group | Autek China vs. Shanghai Broadband 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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Bonds Directory Find actively traded corporate debentures issued by US companies |