Correlation Between Sanbo Hospital and By Health
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By analyzing existing cross correlation between Sanbo Hospital Management and By health, you can compare the effects of market volatilities on Sanbo Hospital and By Health 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 Sanbo Hospital with a short position of By Health. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sanbo Hospital and By Health.
Diversification Opportunities for Sanbo Hospital and By Health
0.8 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Sanbo and 300146 is 0.8. Overlapping area represents the amount of risk that can be diversified away by holding Sanbo Hospital Management and By health in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on By health and Sanbo Hospital 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 Sanbo Hospital Management are associated (or correlated) with By Health. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of By health has no effect on the direction of Sanbo Hospital i.e., Sanbo Hospital and By Health go up and down completely randomly.
Pair Corralation between Sanbo Hospital and By Health
Assuming the 90 days trading horizon Sanbo Hospital Management is expected to generate 2.12 times more return on investment than By Health. However, Sanbo Hospital is 2.12 times more volatile than By health. It trades about 0.05 of its potential returns per unit of risk. By health is currently generating about -0.04 per unit of risk. If you would invest 2,960 in Sanbo Hospital Management on August 29, 2024 and sell it today you would earn a total of 1,735 from holding Sanbo Hospital Management or generate 58.61% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 80.29% |
| Values | Daily Returns |
Sanbo Hospital Management vs. By health
Performance |
| Timeline |
| Sanbo Hospital Management |
| By health |
Sanbo Hospital and By Health Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Sanbo Hospital and By Health
The main advantage of trading using opposite Sanbo Hospital and By Health positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sanbo Hospital position performs unexpectedly, By Health 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 By Health will offset losses from the drop in By Health's long position.| Sanbo Hospital vs. Industrial and Commercial | Sanbo Hospital vs. China Construction Bank | Sanbo Hospital vs. Agricultural Bank of | Sanbo Hospital vs. Bank of China |
| By Health vs. PetroChina Co Ltd | By Health vs. China Mobile Limited | By Health vs. Ping An Insurance | By Health vs. China Petroleum Chemical |
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 Latest Portfolios module to quick portfolio dashboard that showcases your latest portfolios.
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