Correlation Between CICC Fund and Huatian Hotel
Specify exactly 2 symbols:
By analyzing existing cross correlation between CICC Fund Management and Huatian Hotel Group, you can compare the effects of market volatilities on CICC Fund and Huatian Hotel 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 Huatian Hotel. Check out your portfolio center. Please also check ongoing floating volatility patterns of CICC Fund and Huatian Hotel.
Diversification Opportunities for CICC Fund and Huatian Hotel
-0.54 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between CICC and Huatian is -0.54. Overlapping area represents the amount of risk that can be diversified away by holding CICC Fund Management and Huatian Hotel Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Huatian Hotel Group 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 Huatian Hotel. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Huatian Hotel Group has no effect on the direction of CICC Fund i.e., CICC Fund and Huatian Hotel go up and down completely randomly.
Pair Corralation between CICC Fund and Huatian Hotel
Assuming the 90 days trading horizon CICC Fund Management is expected to generate 0.27 times more return on investment than Huatian Hotel. However, CICC Fund Management is 3.72 times less risky than Huatian Hotel. It trades about 0.22 of its potential returns per unit of risk. Huatian Hotel Group is currently generating about -0.16 per unit of risk. If you would invest 379.00 in CICC Fund Management on November 3, 2024 and sell it today you would earn a total of 11.00 from holding CICC Fund Management or generate 2.9% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
CICC Fund Management vs. Huatian Hotel Group
Performance |
| Timeline |
| CICC Fund Management |
| Huatian Hotel Group |
CICC Fund and Huatian Hotel Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CICC Fund and Huatian Hotel
The main advantage of trading using opposite CICC Fund and Huatian Hotel positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CICC Fund position performs unexpectedly, Huatian Hotel 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 Huatian Hotel will offset losses from the drop in Huatian Hotel'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 |
| Huatian Hotel vs. Ming Yang Smart | Huatian Hotel vs. 159681 | Huatian Hotel vs. 159005 | Huatian Hotel vs. Loctek Ergonomic Technology |
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 Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency |