Correlation Between Sinofibers Technology and China World
Specify exactly 2 symbols:
By analyzing existing cross correlation between Sinofibers Technology Co and China World Trade, you can compare the effects of market volatilities on Sinofibers Technology and China World 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 Sinofibers Technology with a short position of China World. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sinofibers Technology and China World.
Diversification Opportunities for Sinofibers Technology and China World
-0.13 | Correlation Coefficient |
Good diversification
The 3 months correlation between Sinofibers and China is -0.13. Overlapping area represents the amount of risk that can be diversified away by holding Sinofibers Technology Co and China World Trade in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China World Trade and Sinofibers Technology 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 Sinofibers Technology Co are associated (or correlated) with China World. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China World Trade has no effect on the direction of Sinofibers Technology i.e., Sinofibers Technology and China World go up and down completely randomly.
Pair Corralation between Sinofibers Technology and China World
Assuming the 90 days trading horizon Sinofibers Technology Co is expected to generate 2.04 times more return on investment than China World. However, Sinofibers Technology is 2.04 times more volatile than China World Trade. It trades about 0.03 of its potential returns per unit of risk. China World Trade is currently generating about -0.1 per unit of risk. If you would invest 2,675 in Sinofibers Technology Co on October 18, 2024 and sell it today you would earn a total of 19.00 from holding Sinofibers Technology Co or generate 0.71% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Sinofibers Technology Co vs. China World Trade
Performance |
| Timeline |
| Sinofibers Technology |
| China World Trade |
Sinofibers Technology and China World Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Sinofibers Technology and China World
The main advantage of trading using opposite Sinofibers Technology and China World positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sinofibers Technology position performs unexpectedly, China World 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 China World will offset losses from the drop in China World's long position.| Sinofibers Technology vs. Shanghai Rongtai Health | Sinofibers Technology vs. Time Publishing and | Sinofibers Technology vs. De Rucci Healthy | Sinofibers Technology vs. Xinhua Winshare Publishing |
| China World vs. Ningbo Fangzheng Automobile | China World vs. Guangdong Wens Foodstuff | China World vs. Eastroc Beverage Group | China World vs. Anhui Jianghuai Automobile |
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 Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.
Other Complementary Tools
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges |