Correlation Between Changjiang Publishing and Kunwu Jiuding
Specify exactly 2 symbols:
By analyzing existing cross correlation between Changjiang Publishing Media and Kunwu Jiuding Investment, you can compare the effects of market volatilities on Changjiang Publishing and Kunwu Jiuding 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 Changjiang Publishing with a short position of Kunwu Jiuding. Check out your portfolio center. Please also check ongoing floating volatility patterns of Changjiang Publishing and Kunwu Jiuding.
Diversification Opportunities for Changjiang Publishing and Kunwu Jiuding
0.3 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Changjiang and Kunwu is 0.3. Overlapping area represents the amount of risk that can be diversified away by holding Changjiang Publishing Media and Kunwu Jiuding Investment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kunwu Jiuding Investment and Changjiang Publishing 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 Changjiang Publishing Media are associated (or correlated) with Kunwu Jiuding. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kunwu Jiuding Investment has no effect on the direction of Changjiang Publishing i.e., Changjiang Publishing and Kunwu Jiuding go up and down completely randomly.
Pair Corralation between Changjiang Publishing and Kunwu Jiuding
Assuming the 90 days trading horizon Changjiang Publishing Media is expected to under-perform the Kunwu Jiuding. But the stock apears to be less risky and, when comparing its historical volatility, Changjiang Publishing Media is 1.52 times less risky than Kunwu Jiuding. The stock trades about -0.03 of its potential returns per unit of risk. The Kunwu Jiuding Investment is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 1,369 in Kunwu Jiuding Investment on August 29, 2024 and sell it today you would earn a total of 220.00 from holding Kunwu Jiuding Investment or generate 16.07% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Changjiang Publishing Media vs. Kunwu Jiuding Investment
Performance |
| Timeline |
| Changjiang Publishing |
| Kunwu Jiuding Investment |
Changjiang Publishing and Kunwu Jiuding Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Changjiang Publishing and Kunwu Jiuding
The main advantage of trading using opposite Changjiang Publishing and Kunwu Jiuding positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Changjiang Publishing position performs unexpectedly, Kunwu Jiuding 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 Kunwu Jiuding will offset losses from the drop in Kunwu Jiuding's long position.| Changjiang Publishing vs. China State Construction | Changjiang Publishing vs. Huafa Industrial Co | Changjiang Publishing vs. China International Capital | Changjiang Publishing vs. Kweichow Moutai Co |
| Kunwu Jiuding vs. Shenzhen Clou Electronics | Kunwu Jiuding vs. Sichuan Hebang Biotechnology | Kunwu Jiuding vs. Semiconductor Manufacturing Electronics | Kunwu Jiuding vs. Shenzhen Bioeasy Biotechnology |
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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
Other Complementary Tools
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Stocks Directory Find actively traded stocks across global markets |