Correlation Between Cultural Investment and Kangping Technology
Specify exactly 2 symbols:
By analyzing existing cross correlation between Cultural Investment Holdings and Kangping Technology Co, you can compare the effects of market volatilities on Cultural Investment and Kangping Technology 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 Cultural Investment with a short position of Kangping Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cultural Investment and Kangping Technology.
Diversification Opportunities for Cultural Investment and Kangping Technology
0.76 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Cultural and Kangping is 0.76. Overlapping area represents the amount of risk that can be diversified away by holding Cultural Investment Holdings and Kangping Technology Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kangping Technology and Cultural Investment 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 Cultural Investment Holdings are associated (or correlated) with Kangping Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kangping Technology has no effect on the direction of Cultural Investment i.e., Cultural Investment and Kangping Technology go up and down completely randomly.
Pair Corralation between Cultural Investment and Kangping Technology
Assuming the 90 days trading horizon Cultural Investment Holdings is expected to under-perform the Kangping Technology. In addition to that, Cultural Investment is 1.82 times more volatile than Kangping Technology Co. It trades about -0.03 of its total potential returns per unit of risk. Kangping Technology Co is currently generating about 0.28 per unit of volatility. If you would invest 2,149 in Kangping Technology Co on September 3, 2024 and sell it today you would earn a total of 231.00 from holding Kangping Technology Co or generate 10.75% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Cultural Investment Holdings vs. Kangping Technology Co
Performance |
| Timeline |
| Cultural Investment |
| Kangping Technology |
Cultural Investment and Kangping Technology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Cultural Investment and Kangping Technology
The main advantage of trading using opposite Cultural Investment and Kangping Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cultural Investment position performs unexpectedly, Kangping Technology 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 Kangping Technology will offset losses from the drop in Kangping Technology's long position.| Cultural Investment vs. Anji Foodstuff Co | Cultural Investment vs. Shenzhen Clou Electronics | Cultural Investment vs. Muyuan Foodstuff Co | Cultural Investment vs. Leyard Optoelectronic |
| Kangping Technology vs. Cultural Investment Holdings | Kangping Technology vs. Gome Telecom Equipment | Kangping Technology vs. Bus Online Co | Kangping Technology vs. Holitech Technology 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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
Other Complementary Tools
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets |