Correlation Between Hubei Geoway and Nanjing Putian
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hubei Geoway Investment and Nanjing Putian Telecommunications, you can compare the effects of market volatilities on Hubei Geoway and Nanjing Putian 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 Hubei Geoway with a short position of Nanjing Putian. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hubei Geoway and Nanjing Putian.
Diversification Opportunities for Hubei Geoway and Nanjing Putian
0.23 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Hubei and Nanjing is 0.23. Overlapping area represents the amount of risk that can be diversified away by holding Hubei Geoway Investment and Nanjing Putian Telecommunicati in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nanjing Putian Telec and Hubei Geoway 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 Hubei Geoway Investment are associated (or correlated) with Nanjing Putian. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nanjing Putian Telec has no effect on the direction of Hubei Geoway i.e., Hubei Geoway and Nanjing Putian go up and down completely randomly.
Pair Corralation between Hubei Geoway and Nanjing Putian
Assuming the 90 days trading horizon Hubei Geoway is expected to generate 25.2 times less return on investment than Nanjing Putian. But when comparing it to its historical volatility, Hubei Geoway Investment is 1.48 times less risky than Nanjing Putian. It trades about 0.03 of its potential returns per unit of risk. Nanjing Putian Telecommunications is currently generating about 0.45 of returns per unit of risk over similar time horizon. If you would invest 197.00 in Nanjing Putian Telecommunications on August 25, 2024 and sell it today you would earn a total of 240.00 from holding Nanjing Putian Telecommunications or generate 121.83% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hubei Geoway Investment vs. Nanjing Putian Telecommunicati
Performance |
| Timeline |
| Hubei Geoway Investment |
| Nanjing Putian Telec |
Hubei Geoway and Nanjing Putian Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hubei Geoway and Nanjing Putian
The main advantage of trading using opposite Hubei Geoway and Nanjing Putian positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hubei Geoway position performs unexpectedly, Nanjing Putian 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 Nanjing Putian will offset losses from the drop in Nanjing Putian's long position.| Hubei Geoway vs. Zijin Mining Group | Hubei Geoway vs. Wanhua Chemical Group | Hubei Geoway vs. Baoshan Iron Steel | Hubei Geoway vs. Shandong Gold Mining |
| Nanjing Putian vs. Shenzhen MYS Environmental | Nanjing Putian vs. AVIC Fund Management | Nanjing Putian vs. Shenzhen Bingchuan Network | Nanjing Putian vs. Penghua Shenzhen Energy |
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 Watchlist Optimization module to optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm.
Other Complementary Tools
| CEOs Directory Screen CEOs from public companies around the world | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |