Correlation Between China Asset and Cicc Fund
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Asset Management and Cicc Fund Management, you can compare the effects of market volatilities on China Asset and Cicc Fund 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 China Asset with a short position of Cicc Fund. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Asset and Cicc Fund.
Diversification Opportunities for China Asset and Cicc Fund
0.46 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between China and Cicc is 0.46. Overlapping area represents the amount of risk that can be diversified away by holding China Asset Management and Cicc Fund Management in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cicc Fund Management and China Asset 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 China Asset Management are associated (or correlated) with Cicc Fund. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cicc Fund Management has no effect on the direction of China Asset i.e., China Asset and Cicc Fund go up and down completely randomly.
Pair Corralation between China Asset and Cicc Fund
Assuming the 90 days trading horizon China Asset Management is expected to generate 1.62 times more return on investment than Cicc Fund. However, China Asset is 1.62 times more volatile than Cicc Fund Management. It trades about 0.42 of its potential returns per unit of risk. Cicc Fund Management is currently generating about 0.44 per unit of risk. If you would invest 324.00 in China Asset Management on October 10, 2024 and sell it today you would earn a total of 41.00 from holding China Asset Management or generate 12.65% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
China Asset Management vs. Cicc Fund Management
Performance |
| Timeline |
| China Asset Management |
| Cicc Fund Management |
China Asset and Cicc Fund Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with China Asset and Cicc Fund
The main advantage of trading using opposite China Asset and Cicc Fund positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Asset position performs unexpectedly, Cicc Fund 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 Cicc Fund will offset losses from the drop in Cicc Fund's long position.| China Asset vs. Will Semiconductor Co | China Asset vs. Ingenic Semiconductor | China Asset vs. Guangzhou KingTeller Technology | China Asset vs. Shanghai V Test Semiconductor |
| Cicc Fund vs. Songz Automobile Air | Cicc Fund vs. Xiangyang Automobile Bearing | Cicc Fund vs. Anhui Jianghuai Automobile | Cicc Fund vs. Sinomach Automobile Co |
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 Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |