Correlation Between Cicc Fund and Zhejiang Construction
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By analyzing existing cross correlation between Cicc Fund Management and Zhejiang Construction Investment, you can compare the effects of market volatilities on Cicc Fund and Zhejiang Construction 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 Cicc Fund with a short position of Zhejiang Construction. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cicc Fund and Zhejiang Construction.
Diversification Opportunities for Cicc Fund and Zhejiang Construction
-0.79 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Cicc and Zhejiang is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding Cicc Fund Management and Zhejiang Construction Investme in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Zhejiang Construction and Cicc Fund 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 Cicc Fund Management are associated (or correlated) with Zhejiang Construction. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Zhejiang Construction has no effect on the direction of Cicc Fund i.e., Cicc Fund and Zhejiang Construction go up and down completely randomly.
Pair Corralation between Cicc Fund and Zhejiang Construction
Assuming the 90 days trading horizon Cicc Fund Management is expected to generate 0.55 times more return on investment than Zhejiang Construction. However, Cicc Fund Management is 1.82 times less risky than Zhejiang Construction. It trades about 0.29 of its potential returns per unit of risk. Zhejiang Construction Investment is currently generating about -0.26 per unit of risk. If you would invest 235.00 in Cicc Fund Management on October 30, 2024 and sell it today you would earn a total of 13.00 from holding Cicc Fund Management or generate 5.53% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Cicc Fund Management vs. Zhejiang Construction Investme
Performance |
| Timeline |
| Cicc Fund Management |
| Zhejiang Construction |
Cicc Fund and Zhejiang Construction Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Cicc Fund and Zhejiang Construction
The main advantage of trading using opposite Cicc Fund and Zhejiang Construction positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cicc Fund position performs unexpectedly, Zhejiang Construction 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 Construction will offset losses from the drop in Zhejiang Construction's long position.| Cicc Fund vs. Industrial and Commercial | Cicc Fund vs. Kweichow Moutai Co | Cicc Fund vs. Agricultural Bank of | Cicc Fund vs. China Mobile Limited |
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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.
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