Correlation Between Chainqui Construction and Kee Tai
Can any of the company-specific risk be diversified away by investing in both Chainqui Construction and Kee Tai at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Chainqui Construction and Kee Tai into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Chainqui Construction Development and Kee Tai Properties, you can compare the effects of market volatilities on Chainqui Construction and Kee Tai 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 Chainqui Construction with a short position of Kee Tai. Check out your portfolio center. Please also check ongoing floating volatility patterns of Chainqui Construction and Kee Tai.
Diversification Opportunities for Chainqui Construction and Kee Tai
0.92 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Chainqui and Kee is 0.92. Overlapping area represents the amount of risk that can be diversified away by holding Chainqui Construction Developm and Kee Tai Properties in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kee Tai Properties and Chainqui Construction 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 Chainqui Construction Development are associated (or correlated) with Kee Tai. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kee Tai Properties has no effect on the direction of Chainqui Construction i.e., Chainqui Construction and Kee Tai go up and down completely randomly.
Pair Corralation between Chainqui Construction and Kee Tai
Assuming the 90 days trading horizon Chainqui Construction Development is expected to under-perform the Kee Tai. In addition to that, Chainqui Construction is 1.52 times more volatile than Kee Tai Properties. It trades about -0.08 of its total potential returns per unit of risk. Kee Tai Properties is currently generating about 0.0 per unit of volatility. If you would invest 1,610 in Kee Tai Properties on August 25, 2024 and sell it today you would lose (5.00) from holding Kee Tai Properties or give up 0.31% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Chainqui Construction Developm vs. Kee Tai Properties
Performance |
| Timeline |
| Chainqui Construction |
| Kee Tai Properties |
Chainqui Construction and Kee Tai Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Chainqui Construction and Kee Tai
The main advantage of trading using opposite Chainqui Construction and Kee Tai positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Chainqui Construction position performs unexpectedly, Kee Tai 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 Kee Tai will offset losses from the drop in Kee Tai's long position.| Chainqui Construction vs. Hung Sheng Construction | Chainqui Construction vs. Kee Tai Properties | Chainqui Construction vs. BES Engineering Co | Chainqui Construction vs. Zinwell |
| Kee Tai vs. Chainqui Construction Development | Kee Tai vs. Zinwell | Kee Tai vs. Symtek Automation Asia | Kee Tai vs. CTCI Corp |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Other Complementary Tools
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |