Correlation Between Huayi Brothers and Lotus Health
Specify exactly 2 symbols:
By analyzing existing cross correlation between Huayi Brothers Media and Lotus Health Group, you can compare the effects of market volatilities on Huayi Brothers and Lotus Health 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 Huayi Brothers with a short position of Lotus Health. Check out your portfolio center. Please also check ongoing floating volatility patterns of Huayi Brothers and Lotus Health.
Diversification Opportunities for Huayi Brothers and Lotus Health
0.35 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Huayi and Lotus is 0.35. Overlapping area represents the amount of risk that can be diversified away by holding Huayi Brothers Media and Lotus Health Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Lotus Health Group and Huayi Brothers 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 Huayi Brothers Media are associated (or correlated) with Lotus Health. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Lotus Health Group has no effect on the direction of Huayi Brothers i.e., Huayi Brothers and Lotus Health go up and down completely randomly.
Pair Corralation between Huayi Brothers and Lotus Health
Assuming the 90 days trading horizon Huayi Brothers Media is expected to under-perform the Lotus Health. But the stock apears to be less risky and, when comparing its historical volatility, Huayi Brothers Media is 1.56 times less risky than Lotus Health. The stock trades about -0.21 of its potential returns per unit of risk. The Lotus Health Group is currently generating about 0.0 of returns per unit of risk over similar time horizon. If you would invest 530.00 in Lotus Health Group on October 30, 2024 and sell it today you would lose (27.00) from holding Lotus Health Group or give up 5.09% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Huayi Brothers Media vs. Lotus Health Group
Performance |
| Timeline |
| Huayi Brothers Media |
| Lotus Health Group |
Huayi Brothers and Lotus Health Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Huayi Brothers and Lotus Health
The main advantage of trading using opposite Huayi Brothers and Lotus Health positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Huayi Brothers position performs unexpectedly, Lotus Health 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 Lotus Health will offset losses from the drop in Lotus Health's long position.| Huayi Brothers vs. Shanghai Broadband Technology | Huayi Brothers vs. Chengdu Xinzhu RoadBridge | Huayi Brothers vs. Zhengping RoadBridge Constr | Huayi Brothers vs. Songz Automobile Air |
| Lotus Health vs. Healthcare Co | Lotus Health vs. Everjoy Health Group | Lotus Health vs. GRG Banking Equipment | Lotus Health vs. Shanghai Rongtai Health |
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 Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
Other Complementary Tools
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Transaction History View history of all your transactions and understand their impact on performance |