Correlation Between Shanghai Broadband and Oppein Home
Specify exactly 2 symbols:
By analyzing existing cross correlation between Shanghai Broadband Technology and Oppein Home Group, you can compare the effects of market volatilities on Shanghai Broadband and Oppein Home 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 Shanghai Broadband with a short position of Oppein Home. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shanghai Broadband and Oppein Home.
Diversification Opportunities for Shanghai Broadband and Oppein Home
0.79 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Shanghai and Oppein is 0.79. Overlapping area represents the amount of risk that can be diversified away by holding Shanghai Broadband Technology and Oppein Home Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Oppein Home Group and Shanghai Broadband 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 Shanghai Broadband Technology are associated (or correlated) with Oppein Home. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Oppein Home Group has no effect on the direction of Shanghai Broadband i.e., Shanghai Broadband and Oppein Home go up and down completely randomly.
Pair Corralation between Shanghai Broadband and Oppein Home
Assuming the 90 days trading horizon Shanghai Broadband Technology is expected to generate 0.98 times more return on investment than Oppein Home. However, Shanghai Broadband Technology is 1.02 times less risky than Oppein Home. It trades about 0.11 of its potential returns per unit of risk. Oppein Home Group is currently generating about 0.06 per unit of risk. If you would invest 365.00 in Shanghai Broadband Technology on September 13, 2024 and sell it today you would earn a total of 20.00 from holding Shanghai Broadband Technology or generate 5.48% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Shanghai Broadband Technology vs. Oppein Home Group
Performance |
| Timeline |
| Shanghai Broadband |
| Oppein Home Group |
Shanghai Broadband and Oppein Home Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Shanghai Broadband and Oppein Home
The main advantage of trading using opposite Shanghai Broadband and Oppein Home positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shanghai Broadband position performs unexpectedly, Oppein Home 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 Oppein Home will offset losses from the drop in Oppein Home's long position.| Shanghai Broadband vs. Zijin Mining Group | Shanghai Broadband vs. Wanhua Chemical Group | Shanghai Broadband vs. Baoshan Iron Steel | Shanghai Broadband vs. Shandong Gold Mining |
| Oppein Home vs. TongFu Microelectronics Co | Oppein Home vs. Hangzhou Weiguang Electronic | Oppein Home vs. Xinya Electronic Co | Oppein Home vs. Integrated Electronic Systems |
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 Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
Other Complementary Tools
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes |