Correlation Between Tianjin Realty and Kangyue Technology
Specify exactly 2 symbols:
By analyzing existing cross correlation between Tianjin Realty Development and Kangyue Technology Co, you can compare the effects of market volatilities on Tianjin Realty and Kangyue Technology 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 Tianjin Realty with a short position of Kangyue Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Tianjin Realty and Kangyue Technology.
Diversification Opportunities for Tianjin Realty and Kangyue Technology
0.16 | Correlation Coefficient |
Average diversification
The 3 months correlation between Tianjin and Kangyue is 0.16. Overlapping area represents the amount of risk that can be diversified away by holding Tianjin Realty Development and Kangyue Technology Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kangyue Technology and Tianjin Realty 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 Tianjin Realty Development are associated (or correlated) with Kangyue Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kangyue Technology has no effect on the direction of Tianjin Realty i.e., Tianjin Realty and Kangyue Technology go up and down completely randomly.
Pair Corralation between Tianjin Realty and Kangyue Technology
Assuming the 90 days trading horizon Tianjin Realty Development is expected to generate 0.71 times more return on investment than Kangyue Technology. However, Tianjin Realty Development is 1.41 times less risky than Kangyue Technology. It trades about 0.13 of its potential returns per unit of risk. Kangyue Technology Co is currently generating about 0.05 per unit of risk. If you would invest 130.00 in Tianjin Realty Development on November 2, 2024 and sell it today you would earn a total of 83.00 from holding Tianjin Realty Development or generate 63.85% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Tianjin Realty Development vs. Kangyue Technology Co
Performance |
| Timeline |
| Tianjin Realty Devel |
| Kangyue Technology |
Tianjin Realty and Kangyue Technology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Tianjin Realty and Kangyue Technology
The main advantage of trading using opposite Tianjin Realty and Kangyue Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Tianjin Realty position performs unexpectedly, Kangyue Technology 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 Kangyue Technology will offset losses from the drop in Kangyue Technology's long position.| Tianjin Realty vs. Guocheng Mining Co | Tianjin Realty vs. Guangdong Jingyi Metal | Tianjin Realty vs. Qingdao Choho Industrial | Tianjin Realty vs. Namchow Food Group |
| Kangyue Technology vs. Shaanxi Energy Investment | Kangyue Technology vs. Jointo Energy Investment | Kangyue Technology vs. Cultural Investment Holdings | Kangyue Technology vs. Guocheng Mining 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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.
Other Complementary Tools
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Stocks Directory Find actively traded stocks across global markets | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| CEOs Directory Screen CEOs from public companies around the world |