Correlation Between Kweichow Moutai and Jiangsu Bioperfectus
Specify exactly 2 symbols:
By analyzing existing cross correlation between Kweichow Moutai Co and Jiangsu Bioperfectus Technologies, you can compare the effects of market volatilities on Kweichow Moutai and Jiangsu Bioperfectus 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 Kweichow Moutai with a short position of Jiangsu Bioperfectus. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kweichow Moutai and Jiangsu Bioperfectus.
Diversification Opportunities for Kweichow Moutai and Jiangsu Bioperfectus
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Kweichow and Jiangsu is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding Kweichow Moutai Co and Jiangsu Bioperfectus Technolog in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jiangsu Bioperfectus and Kweichow Moutai 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 Kweichow Moutai Co are associated (or correlated) with Jiangsu Bioperfectus. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jiangsu Bioperfectus has no effect on the direction of Kweichow Moutai i.e., Kweichow Moutai and Jiangsu Bioperfectus go up and down completely randomly.
Pair Corralation between Kweichow Moutai and Jiangsu Bioperfectus
Assuming the 90 days trading horizon Kweichow Moutai Co is expected to generate 0.55 times more return on investment than Jiangsu Bioperfectus. However, Kweichow Moutai Co is 1.82 times less risky than Jiangsu Bioperfectus. It trades about -0.11 of its potential returns per unit of risk. Jiangsu Bioperfectus Technologies is currently generating about -0.1 per unit of risk. If you would invest 156,500 in Kweichow Moutai Co on August 27, 2024 and sell it today you would lose (5,718) from holding Kweichow Moutai Co or give up 3.65% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kweichow Moutai Co vs. Jiangsu Bioperfectus Technolog
Performance |
| Timeline |
| Kweichow Moutai |
| Jiangsu Bioperfectus |
Kweichow Moutai and Jiangsu Bioperfectus Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kweichow Moutai and Jiangsu Bioperfectus
The main advantage of trading using opposite Kweichow Moutai and Jiangsu Bioperfectus positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kweichow Moutai position performs unexpectedly, Jiangsu Bioperfectus 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 Jiangsu Bioperfectus will offset losses from the drop in Jiangsu Bioperfectus' long position.| Kweichow Moutai vs. 360 Security Technology | Kweichow Moutai vs. Dezhan HealthCare Co | Kweichow Moutai vs. Youngy Health Co | Kweichow Moutai vs. Mingchen Health 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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Other Complementary Tools
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges |