Correlation Between Soochow Suzhou and Qiming Information
Specify exactly 2 symbols:
By analyzing existing cross correlation between Soochow Suzhou Industrial and Qiming Information Technology, you can compare the effects of market volatilities on Soochow Suzhou and Qiming Information 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 Soochow Suzhou with a short position of Qiming Information. Check out your portfolio center. Please also check ongoing floating volatility patterns of Soochow Suzhou and Qiming Information.
Diversification Opportunities for Soochow Suzhou and Qiming Information
-0.52 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Soochow and Qiming is -0.52. Overlapping area represents the amount of risk that can be diversified away by holding Soochow Suzhou Industrial and Qiming Information Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Qiming Information and Soochow Suzhou 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 Soochow Suzhou Industrial are associated (or correlated) with Qiming Information. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Qiming Information has no effect on the direction of Soochow Suzhou i.e., Soochow Suzhou and Qiming Information go up and down completely randomly.
Pair Corralation between Soochow Suzhou and Qiming Information
Assuming the 90 days trading horizon Soochow Suzhou Industrial is expected to generate 0.24 times more return on investment than Qiming Information. However, Soochow Suzhou Industrial is 4.14 times less risky than Qiming Information. It trades about 0.46 of its potential returns per unit of risk. Qiming Information Technology is currently generating about -0.13 per unit of risk. If you would invest 336.00 in Soochow Suzhou Industrial on October 28, 2024 and sell it today you would earn a total of 25.00 from holding Soochow Suzhou Industrial or generate 7.44% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Soochow Suzhou Industrial vs. Qiming Information Technology
Performance |
| Timeline |
| Soochow Suzhou Industrial |
| Qiming Information |
Soochow Suzhou and Qiming Information Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Soochow Suzhou and Qiming Information
The main advantage of trading using opposite Soochow Suzhou and Qiming Information positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Soochow Suzhou position performs unexpectedly, Qiming Information 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 Qiming Information will offset losses from the drop in Qiming Information's long position.| Soochow Suzhou vs. Industrial and Commercial | Soochow Suzhou vs. Kweichow Moutai Co | Soochow Suzhou vs. Agricultural Bank of | Soochow Suzhou vs. China Mobile Limited |
| Qiming Information vs. Bank of China | Qiming Information vs. Kweichow Moutai Co | Qiming Information vs. PetroChina Co Ltd | Qiming Information vs. Bank of Communications |
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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Other Complementary Tools
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments |