Correlation Between CSSC Offshore and China Railway
Specify exactly 2 symbols:
By analyzing existing cross correlation between CSSC Offshore Marine and China Railway Construction, you can compare the effects of market volatilities on CSSC Offshore and China Railway 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 CSSC Offshore with a short position of China Railway. Check out your portfolio center. Please also check ongoing floating volatility patterns of CSSC Offshore and China Railway.
Diversification Opportunities for CSSC Offshore and China Railway
0.49 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between CSSC and China is 0.49. Overlapping area represents the amount of risk that can be diversified away by holding CSSC Offshore Marine and China Railway Construction in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China Railway Constr and CSSC Offshore 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 CSSC Offshore Marine are associated (or correlated) with China Railway. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China Railway Constr has no effect on the direction of CSSC Offshore i.e., CSSC Offshore and China Railway go up and down completely randomly.
Pair Corralation between CSSC Offshore and China Railway
Assuming the 90 days trading horizon CSSC Offshore is expected to generate 6.39 times less return on investment than China Railway. But when comparing it to its historical volatility, CSSC Offshore Marine is 1.08 times less risky than China Railway. It trades about 0.04 of its potential returns per unit of risk. China Railway Construction is currently generating about 0.21 of returns per unit of risk over similar time horizon. If you would invest 340.00 in China Railway Construction on September 2, 2024 and sell it today you would earn a total of 136.00 from holding China Railway Construction or generate 40.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
CSSC Offshore Marine vs. China Railway Construction
Performance |
| Timeline |
| CSSC Offshore Marine |
| China Railway Constr |
CSSC Offshore and China Railway Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CSSC Offshore and China Railway
The main advantage of trading using opposite CSSC Offshore and China Railway positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CSSC Offshore position performs unexpectedly, China Railway 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 Railway will offset losses from the drop in China Railway's long position.| CSSC Offshore vs. Industrial and Commercial | CSSC Offshore vs. China Construction Bank | CSSC Offshore vs. Bank of China | CSSC Offshore vs. Agricultural Bank of |
| China Railway vs. New China Life | China Railway vs. Ming Yang Smart | China Railway vs. 159681 | China Railway vs. 159005 |
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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal |