Correlation Between CITIC Metal and 5I5j Holding
Specify exactly 2 symbols:
By analyzing existing cross correlation between CITIC Metal Co and 5I5j Holding Group, you can compare the effects of market volatilities on CITIC Metal and 5I5j Holding 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 CITIC Metal with a short position of 5I5j Holding. Check out your portfolio center. Please also check ongoing floating volatility patterns of CITIC Metal and 5I5j Holding.
Diversification Opportunities for CITIC Metal and 5I5j Holding
0.85 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between CITIC and 5I5j is 0.85. Overlapping area represents the amount of risk that can be diversified away by holding CITIC Metal Co and 5I5j Holding Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on 5I5j Holding Group and CITIC Metal 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 CITIC Metal Co are associated (or correlated) with 5I5j Holding. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of 5I5j Holding Group has no effect on the direction of CITIC Metal i.e., CITIC Metal and 5I5j Holding go up and down completely randomly.
Pair Corralation between CITIC Metal and 5I5j Holding
Assuming the 90 days trading horizon CITIC Metal Co is expected to generate 0.4 times more return on investment than 5I5j Holding. However, CITIC Metal Co is 2.51 times less risky than 5I5j Holding. It trades about -0.16 of its potential returns per unit of risk. 5I5j Holding Group is currently generating about -0.14 per unit of risk. If you would invest 753.00 in CITIC Metal Co on October 28, 2024 and sell it today you would lose (27.00) from holding CITIC Metal Co or give up 3.59% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
CITIC Metal Co vs. 5I5j Holding Group
Performance |
| Timeline |
| CITIC Metal |
| 5I5j Holding Group |
CITIC Metal and 5I5j Holding Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CITIC Metal and 5I5j Holding
The main advantage of trading using opposite CITIC Metal and 5I5j Holding positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CITIC Metal position performs unexpectedly, 5I5j Holding 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 5I5j Holding will offset losses from the drop in 5I5j Holding's long position.| CITIC Metal vs. Zijin Mining Group | CITIC Metal vs. Wanhua Chemical Group | CITIC Metal vs. Baoshan Iron Steel | CITIC Metal vs. Shandong Gold Mining |
| 5I5j Holding vs. China Aluminum International | 5I5j Holding vs. Shenzhen Bioeasy Biotechnology | 5I5j Holding vs. Guangdong Jingyi Metal | 5I5j Holding vs. CITIC Metal 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 Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Other Complementary Tools
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing |