Correlation Between Contemporary Amperex and Panda Financial
Specify exactly 2 symbols:
By analyzing existing cross correlation between Contemporary Amperex Technology and Panda Financial Holding, you can compare the effects of market volatilities on Contemporary Amperex and Panda Financial 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 Contemporary Amperex with a short position of Panda Financial. Check out your portfolio center. Please also check ongoing floating volatility patterns of Contemporary Amperex and Panda Financial.
Diversification Opportunities for Contemporary Amperex and Panda Financial
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Contemporary and Panda is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding Contemporary Amperex Technolog and Panda Financial Holding in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Panda Financial Holding and Contemporary Amperex 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 Contemporary Amperex Technology are associated (or correlated) with Panda Financial. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Panda Financial Holding has no effect on the direction of Contemporary Amperex i.e., Contemporary Amperex and Panda Financial go up and down completely randomly.
Pair Corralation between Contemporary Amperex and Panda Financial
Assuming the 90 days trading horizon Contemporary Amperex Technology is expected to under-perform the Panda Financial. But the stock apears to be less risky and, when comparing its historical volatility, Contemporary Amperex Technology is 1.44 times less risky than Panda Financial. The stock trades about -0.04 of its potential returns per unit of risk. The Panda Financial Holding is currently generating about -0.01 of returns per unit of risk over similar time horizon. If you would invest 1,439 in Panda Financial Holding on September 13, 2024 and sell it today you would lose (19.00) from holding Panda Financial Holding or give up 1.32% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Contemporary Amperex Technolog vs. Panda Financial Holding
Performance |
| Timeline |
| Contemporary Amperex |
| Panda Financial Holding |
Contemporary Amperex and Panda Financial Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Contemporary Amperex and Panda Financial
The main advantage of trading using opposite Contemporary Amperex and Panda Financial positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Contemporary Amperex position performs unexpectedly, Panda Financial 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 Panda Financial will offset losses from the drop in Panda Financial's long position.| Contemporary Amperex vs. Hubei Dinglong Chemical | Contemporary Amperex vs. Sino Platinum Metals Co | Contemporary Amperex vs. Hainan Mining Co | Contemporary Amperex vs. Xinjiang Baodi Mining |
| Panda Financial vs. Kweichow Moutai Co | Panda Financial vs. Contemporary Amperex Technology | Panda Financial vs. G bits Network Technology | Panda Financial vs. BYD Co Ltd |
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 Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
Other Complementary Tools
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world |