Correlation Between Zhejiang Yayi and CITIC Metal
Specify exactly 2 symbols:
By analyzing existing cross correlation between Zhejiang Yayi Metal and CITIC Metal Co, you can compare the effects of market volatilities on Zhejiang Yayi and CITIC Metal 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 Zhejiang Yayi with a short position of CITIC Metal. Check out your portfolio center. Please also check ongoing floating volatility patterns of Zhejiang Yayi and CITIC Metal.
Diversification Opportunities for Zhejiang Yayi and CITIC Metal
0.74 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Zhejiang and CITIC is 0.74. Overlapping area represents the amount of risk that can be diversified away by holding Zhejiang Yayi Metal and CITIC Metal Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CITIC Metal and Zhejiang Yayi 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 Zhejiang Yayi Metal are associated (or correlated) with CITIC Metal. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CITIC Metal has no effect on the direction of Zhejiang Yayi i.e., Zhejiang Yayi and CITIC Metal go up and down completely randomly.
Pair Corralation between Zhejiang Yayi and CITIC Metal
Assuming the 90 days trading horizon Zhejiang Yayi Metal is expected to generate 1.43 times more return on investment than CITIC Metal. However, Zhejiang Yayi is 1.43 times more volatile than CITIC Metal Co. It trades about 0.01 of its potential returns per unit of risk. CITIC Metal Co is currently generating about -0.02 per unit of risk. If you would invest 2,904 in Zhejiang Yayi Metal on November 19, 2024 and sell it today you would lose (505.00) from holding Zhejiang Yayi Metal or give up 17.39% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 94.12% |
| Values | Daily Returns |
Zhejiang Yayi Metal vs. CITIC Metal Co
Performance |
| Timeline |
| Zhejiang Yayi Metal |
| CITIC Metal |
Zhejiang Yayi and CITIC Metal Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Zhejiang Yayi and CITIC Metal
The main advantage of trading using opposite Zhejiang Yayi and CITIC Metal positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Zhejiang Yayi position performs unexpectedly, CITIC Metal 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 CITIC Metal will offset losses from the drop in CITIC Metal's long position.| Zhejiang Yayi vs. Shenzhen Bioeasy Biotechnology | Zhejiang Yayi vs. Dymatic Chemicals | Zhejiang Yayi vs. Ningbo MedicalSystem Biotechnology | Zhejiang Yayi vs. Shanghai Rightongene Biotechnology |
| CITIC Metal vs. Allgens Medical Technology | CITIC Metal vs. Guangdong Liantai Environmental | CITIC Metal vs. Guolin Environmental Tech | CITIC Metal vs. Qiaoyin Environmental Tech |
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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
Other Complementary Tools
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities |