Correlation Between Jahen Household and Hainan Airlines
Specify exactly 2 symbols:
By analyzing existing cross correlation between Jahen Household Products and Hainan Airlines Co, you can compare the effects of market volatilities on Jahen Household and Hainan Airlines 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 Jahen Household with a short position of Hainan Airlines. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jahen Household and Hainan Airlines.
Diversification Opportunities for Jahen Household and Hainan Airlines
0.8 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Jahen and Hainan is 0.8. Overlapping area represents the amount of risk that can be diversified away by holding Jahen Household Products and Hainan Airlines Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hainan Airlines and Jahen Household 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 Jahen Household Products are associated (or correlated) with Hainan Airlines. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hainan Airlines has no effect on the direction of Jahen Household i.e., Jahen Household and Hainan Airlines go up and down completely randomly.
Pair Corralation between Jahen Household and Hainan Airlines
Assuming the 90 days trading horizon Jahen Household Products is expected to under-perform the Hainan Airlines. In addition to that, Jahen Household is 1.39 times more volatile than Hainan Airlines Co. It trades about -0.02 of its total potential returns per unit of risk. Hainan Airlines Co is currently generating about 0.04 per unit of volatility. If you would invest 146.00 in Hainan Airlines Co on September 1, 2024 and sell it today you would earn a total of 28.00 from holding Hainan Airlines Co or generate 19.18% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 99.62% |
| Values | Daily Returns |
Jahen Household Products vs. Hainan Airlines Co
Performance |
| Timeline |
| Jahen Household Products |
| Hainan Airlines |
Jahen Household and Hainan Airlines Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jahen Household and Hainan Airlines
The main advantage of trading using opposite Jahen Household and Hainan Airlines positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jahen Household position performs unexpectedly, Hainan Airlines 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 Hainan Airlines will offset losses from the drop in Hainan Airlines' long position.| Jahen Household vs. Zijin Mining Group | Jahen Household vs. Wanhua Chemical Group | Jahen Household vs. Baoshan Iron Steel | Jahen Household vs. Shandong Gold Mining |
| Hainan Airlines vs. Linewell Software Co | Hainan Airlines vs. HanS Laser Tech | Hainan Airlines vs. Guangzhou KingTeller Technology | Hainan Airlines vs. Fujian Anjoy Foods |
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 Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
Other Complementary Tools
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Stocks Directory Find actively traded stocks across global markets | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |