Correlation Between Sino Platinum and China Eastern
Specify exactly 2 symbols:
By analyzing existing cross correlation between Sino Platinum Metals Co and China Eastern Airlines, you can compare the effects of market volatilities on Sino Platinum and China Eastern 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 Sino Platinum with a short position of China Eastern. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sino Platinum and China Eastern.
Diversification Opportunities for Sino Platinum and China Eastern
0.64 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Sino and China is 0.64. Overlapping area represents the amount of risk that can be diversified away by holding Sino Platinum Metals Co and China Eastern Airlines in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China Eastern Airlines and Sino Platinum 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 Sino Platinum Metals Co are associated (or correlated) with China Eastern. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China Eastern Airlines has no effect on the direction of Sino Platinum i.e., Sino Platinum and China Eastern go up and down completely randomly.
Pair Corralation between Sino Platinum and China Eastern
Assuming the 90 days trading horizon Sino Platinum Metals Co is expected to generate 1.27 times more return on investment than China Eastern. However, Sino Platinum is 1.27 times more volatile than China Eastern Airlines. It trades about 0.0 of its potential returns per unit of risk. China Eastern Airlines is currently generating about -0.01 per unit of risk. If you would invest 1,526 in Sino Platinum Metals Co on September 12, 2024 and sell it today you would lose (107.00) from holding Sino Platinum Metals Co or give up 7.01% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Sino Platinum Metals Co vs. China Eastern Airlines
Performance |
| Timeline |
| Sino Platinum Metals |
| China Eastern Airlines |
Sino Platinum and China Eastern Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Sino Platinum and China Eastern
The main advantage of trading using opposite Sino Platinum and China Eastern positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sino Platinum position performs unexpectedly, China Eastern 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 China Eastern will offset losses from the drop in China Eastern's long position.| Sino Platinum vs. Zijin Mining Group | Sino Platinum vs. Wanhua Chemical Group | Sino Platinum vs. Baoshan Iron Steel | Sino Platinum vs. Rongsheng Petrochemical Co |
| China Eastern vs. Anhui Transport Consulting | China Eastern vs. Suzhou Douson Drilling | China Eastern vs. Chengdu Spaceon Electronics | China Eastern vs. Guangdong Jingyi Metal |
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 Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.
Other Complementary Tools
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing |