Correlation Between Maccura Biotechnology and Shenwu Energy
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By analyzing existing cross correlation between Maccura Biotechnology Co and Shenwu Energy Saving, you can compare the effects of market volatilities on Maccura Biotechnology and Shenwu Energy 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 Maccura Biotechnology with a short position of Shenwu Energy. Check out your portfolio center. Please also check ongoing floating volatility patterns of Maccura Biotechnology and Shenwu Energy.
Diversification Opportunities for Maccura Biotechnology and Shenwu Energy
0.32 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Maccura and Shenwu is 0.32. Overlapping area represents the amount of risk that can be diversified away by holding Maccura Biotechnology Co and Shenwu Energy Saving in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shenwu Energy Saving and Maccura Biotechnology 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 Maccura Biotechnology Co are associated (or correlated) with Shenwu Energy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shenwu Energy Saving has no effect on the direction of Maccura Biotechnology i.e., Maccura Biotechnology and Shenwu Energy go up and down completely randomly.
Pair Corralation between Maccura Biotechnology and Shenwu Energy
Assuming the 90 days trading horizon Maccura Biotechnology Co is expected to under-perform the Shenwu Energy. But the stock apears to be less risky and, when comparing its historical volatility, Maccura Biotechnology Co is 1.61 times less risky than Shenwu Energy. The stock trades about -0.02 of its potential returns per unit of risk. The Shenwu Energy Saving is currently generating about 0.0 of returns per unit of risk over similar time horizon. If you would invest 465.00 in Shenwu Energy Saving on October 11, 2024 and sell it today you would lose (111.00) from holding Shenwu Energy Saving or give up 23.87% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Maccura Biotechnology Co vs. Shenwu Energy Saving
Performance |
| Timeline |
| Maccura Biotechnology |
| Shenwu Energy Saving |
Maccura Biotechnology and Shenwu Energy Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Maccura Biotechnology and Shenwu Energy
The main advantage of trading using opposite Maccura Biotechnology and Shenwu Energy positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Maccura Biotechnology position performs unexpectedly, Shenwu Energy 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 Shenwu Energy will offset losses from the drop in Shenwu Energy's long position.| Maccura Biotechnology vs. Weichai Heavy Machinery | Maccura Biotechnology vs. Fujian Newland Computer | Maccura Biotechnology vs. Allwin Telecommunication Co | Maccura Biotechnology vs. Suzhou Douson Drilling |
| Shenwu Energy vs. Maccura Biotechnology Co | Shenwu Energy vs. Mingchen Health Co | Shenwu Energy vs. Yunnan Jianzhijia Health Chain | Shenwu Energy vs. Meinian Onehealth Healthcare |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
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