Correlation Between China Sports and GRG Banking
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Sports Industry and GRG Banking Equipment, you can compare the effects of market volatilities on China Sports and GRG Banking 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 Sports with a short position of GRG Banking. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Sports and GRG Banking.
Diversification Opportunities for China Sports and GRG Banking
0.52 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between China and GRG is 0.52. Overlapping area represents the amount of risk that can be diversified away by holding China Sports Industry and GRG Banking Equipment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GRG Banking Equipment and China Sports 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 Sports Industry are associated (or correlated) with GRG Banking. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GRG Banking Equipment has no effect on the direction of China Sports i.e., China Sports and GRG Banking go up and down completely randomly.
Pair Corralation between China Sports and GRG Banking
Assuming the 90 days trading horizon China Sports Industry is expected to generate 1.76 times more return on investment than GRG Banking. However, China Sports is 1.76 times more volatile than GRG Banking Equipment. It trades about -0.21 of its potential returns per unit of risk. GRG Banking Equipment is currently generating about -0.44 per unit of risk. If you would invest 891.00 in China Sports Industry on October 12, 2024 and sell it today you would lose (133.00) from holding China Sports Industry or give up 14.93% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
China Sports Industry vs. GRG Banking Equipment
Performance |
| Timeline |
| China Sports Industry |
| GRG Banking Equipment |
China Sports and GRG Banking Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with China Sports and GRG Banking
The main advantage of trading using opposite China Sports and GRG Banking positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Sports position performs unexpectedly, GRG Banking 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 GRG Banking will offset losses from the drop in GRG Banking's long position.| China Sports vs. Sanbo Hospital Management | China Sports vs. Goodwill E Health | China Sports vs. Heren Health Co | China Sports vs. Sinofibers Technology Co |
| GRG Banking vs. Sunwave Communications Co | GRG Banking vs. China Sports Industry | GRG Banking vs. Shanghai Yaoji Playing | GRG Banking vs. Guangzhou Dongfang Hotel |
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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |