Correlation Between Allmed Medical and Shandong Sinoglory
Specify exactly 2 symbols:
By analyzing existing cross correlation between Allmed Medical Products and Shandong Sinoglory Health, you can compare the effects of market volatilities on Allmed Medical and Shandong Sinoglory 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 Allmed Medical with a short position of Shandong Sinoglory. Check out your portfolio center. Please also check ongoing floating volatility patterns of Allmed Medical and Shandong Sinoglory.
Diversification Opportunities for Allmed Medical and Shandong Sinoglory
0.91 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Allmed and Shandong is 0.91. Overlapping area represents the amount of risk that can be diversified away by holding Allmed Medical Products and Shandong Sinoglory Health in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shandong Sinoglory Health and Allmed Medical 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 Allmed Medical Products are associated (or correlated) with Shandong Sinoglory. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shandong Sinoglory Health has no effect on the direction of Allmed Medical i.e., Allmed Medical and Shandong Sinoglory go up and down completely randomly.
Pair Corralation between Allmed Medical and Shandong Sinoglory
Assuming the 90 days trading horizon Allmed Medical is expected to generate 1.53 times less return on investment than Shandong Sinoglory. In addition to that, Allmed Medical is 1.85 times more volatile than Shandong Sinoglory Health. It trades about 0.06 of its total potential returns per unit of risk. Shandong Sinoglory Health is currently generating about 0.16 per unit of volatility. If you would invest 1,252 in Shandong Sinoglory Health on September 12, 2024 and sell it today you would earn a total of 78.00 from holding Shandong Sinoglory Health or generate 6.23% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 95.65% |
| Values | Daily Returns |
Allmed Medical Products vs. Shandong Sinoglory Health
Performance |
| Timeline |
| Allmed Medical Products |
| Shandong Sinoglory Health |
Allmed Medical and Shandong Sinoglory Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Allmed Medical and Shandong Sinoglory
The main advantage of trading using opposite Allmed Medical and Shandong Sinoglory positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Allmed Medical position performs unexpectedly, Shandong Sinoglory 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 Shandong Sinoglory will offset losses from the drop in Shandong Sinoglory's long position.| Allmed Medical vs. Cultural Investment Holdings | Allmed Medical vs. Gome Telecom Equipment | Allmed Medical vs. Holitech Technology Co | Allmed Medical vs. Zotye Automobile Co |
| Shandong Sinoglory vs. China Petroleum Chemical | Shandong Sinoglory vs. PetroChina Co Ltd | Shandong Sinoglory vs. China State Construction | Shandong Sinoglory vs. China Railway Group |
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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios |