Correlation Between Fujian Nanwang and Zhejiang Yayi
Specify exactly 2 symbols:
By analyzing existing cross correlation between Fujian Nanwang Environment and Zhejiang Yayi Metal, you can compare the effects of market volatilities on Fujian Nanwang and Zhejiang Yayi 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 Fujian Nanwang with a short position of Zhejiang Yayi. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fujian Nanwang and Zhejiang Yayi.
Diversification Opportunities for Fujian Nanwang and Zhejiang Yayi
0.95 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Fujian and Zhejiang is 0.95. Overlapping area represents the amount of risk that can be diversified away by holding Fujian Nanwang Environment and Zhejiang Yayi Metal in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Zhejiang Yayi Metal and Fujian Nanwang 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 Fujian Nanwang Environment are associated (or correlated) with Zhejiang Yayi. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Zhejiang Yayi Metal has no effect on the direction of Fujian Nanwang i.e., Fujian Nanwang and Zhejiang Yayi go up and down completely randomly.
Pair Corralation between Fujian Nanwang and Zhejiang Yayi
Assuming the 90 days trading horizon Fujian Nanwang Environment is expected to under-perform the Zhejiang Yayi. But the stock apears to be less risky and, when comparing its historical volatility, Fujian Nanwang Environment is 1.45 times less risky than Zhejiang Yayi. The stock trades about -0.02 of its potential returns per unit of risk. The Zhejiang Yayi Metal is currently generating about 0.0 of returns per unit of risk over similar time horizon. If you would invest 3,196 in Zhejiang Yayi Metal on September 2, 2024 and sell it today you would lose (523.00) from holding Zhejiang Yayi Metal or give up 16.36% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Fujian Nanwang Environment vs. Zhejiang Yayi Metal
Performance |
| Timeline |
| Fujian Nanwang Envir |
| Zhejiang Yayi Metal |
Fujian Nanwang and Zhejiang Yayi Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Fujian Nanwang and Zhejiang Yayi
The main advantage of trading using opposite Fujian Nanwang and Zhejiang Yayi positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fujian Nanwang position performs unexpectedly, Zhejiang Yayi 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 Zhejiang Yayi will offset losses from the drop in Zhejiang Yayi's long position.| Fujian Nanwang vs. Zijin Mining Group | Fujian Nanwang vs. Wanhua Chemical Group | Fujian Nanwang vs. Baoshan Iron Steel | Fujian Nanwang vs. Shandong Gold Mining |
| Zhejiang Yayi vs. Zoje Resources Investment | Zhejiang Yayi vs. Luyin Investment Group | Zhejiang Yayi vs. Hefei Metalforming Mach | Zhejiang Yayi vs. Shanghai Material Trading |
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 Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.
Other Complementary Tools
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios |