Correlation Between Yoantion Industrial and Liaoning Chengda
Specify exactly 2 symbols:
By analyzing existing cross correlation between Yoantion Industrial IncLtd and Liaoning Chengda Biotechnology, you can compare the effects of market volatilities on Yoantion Industrial and Liaoning Chengda 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 Yoantion Industrial with a short position of Liaoning Chengda. Check out your portfolio center. Please also check ongoing floating volatility patterns of Yoantion Industrial and Liaoning Chengda.
Diversification Opportunities for Yoantion Industrial and Liaoning Chengda
0.94 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Yoantion and Liaoning is 0.94. Overlapping area represents the amount of risk that can be diversified away by holding Yoantion Industrial IncLtd and Liaoning Chengda Biotechnology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Liaoning Chengda Bio and Yoantion Industrial 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 Yoantion Industrial IncLtd are associated (or correlated) with Liaoning Chengda. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Liaoning Chengda Bio has no effect on the direction of Yoantion Industrial i.e., Yoantion Industrial and Liaoning Chengda go up and down completely randomly.
Pair Corralation between Yoantion Industrial and Liaoning Chengda
Assuming the 90 days trading horizon Yoantion Industrial IncLtd is expected to generate 2.06 times more return on investment than Liaoning Chengda. However, Yoantion Industrial is 2.06 times more volatile than Liaoning Chengda Biotechnology. It trades about 0.01 of its potential returns per unit of risk. Liaoning Chengda Biotechnology is currently generating about -0.02 per unit of risk. If you would invest 2,559 in Yoantion Industrial IncLtd on September 3, 2024 and sell it today you would lose (306.00) from holding Yoantion Industrial IncLtd or give up 11.96% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Yoantion Industrial IncLtd vs. Liaoning Chengda Biotechnology
Performance |
| Timeline |
| Yoantion Industrial |
| Liaoning Chengda Bio |
Yoantion Industrial and Liaoning Chengda Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Yoantion Industrial and Liaoning Chengda
The main advantage of trading using opposite Yoantion Industrial and Liaoning Chengda positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Yoantion Industrial position performs unexpectedly, Liaoning Chengda 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 Liaoning Chengda will offset losses from the drop in Liaoning Chengda's long position.| Yoantion Industrial vs. Touchstone International Medical | Yoantion Industrial vs. Cowealth Medical China | Yoantion Industrial vs. GKHT Medical Technology | Yoantion Industrial vs. Bangyan Technology Co |
| Liaoning Chengda vs. Chengdu Kanghua Biological | Liaoning Chengda vs. Beijing Wantai Biological | Liaoning Chengda vs. Suzhou Novoprotein Scientific | Liaoning Chengda vs. Aluminum Corp of |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Other Complementary Tools
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device |