Correlation Between Xinjiang Baodi and Jiahe Foods
Specify exactly 2 symbols:
By analyzing existing cross correlation between Xinjiang Baodi Mining and Jiahe Foods Industry, you can compare the effects of market volatilities on Xinjiang Baodi and Jiahe Foods 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 Xinjiang Baodi with a short position of Jiahe Foods. Check out your portfolio center. Please also check ongoing floating volatility patterns of Xinjiang Baodi and Jiahe Foods.
Diversification Opportunities for Xinjiang Baodi and Jiahe Foods
0.5 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Xinjiang and Jiahe is 0.5. Overlapping area represents the amount of risk that can be diversified away by holding Xinjiang Baodi Mining and Jiahe Foods Industry in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jiahe Foods Industry and Xinjiang Baodi 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 Xinjiang Baodi Mining are associated (or correlated) with Jiahe Foods. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jiahe Foods Industry has no effect on the direction of Xinjiang Baodi i.e., Xinjiang Baodi and Jiahe Foods go up and down completely randomly.
Pair Corralation between Xinjiang Baodi and Jiahe Foods
Assuming the 90 days trading horizon Xinjiang Baodi Mining is expected to generate 0.77 times more return on investment than Jiahe Foods. However, Xinjiang Baodi Mining is 1.31 times less risky than Jiahe Foods. It trades about -0.07 of its potential returns per unit of risk. Jiahe Foods Industry is currently generating about -0.15 per unit of risk. If you would invest 671.00 in Xinjiang Baodi Mining on October 30, 2024 and sell it today you would lose (51.00) from holding Xinjiang Baodi Mining or give up 7.6% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Xinjiang Baodi Mining vs. Jiahe Foods Industry
Performance |
| Timeline |
| Xinjiang Baodi Mining |
| Jiahe Foods Industry |
Xinjiang Baodi and Jiahe Foods Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Xinjiang Baodi and Jiahe Foods
The main advantage of trading using opposite Xinjiang Baodi and Jiahe Foods positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Xinjiang Baodi position performs unexpectedly, Jiahe Foods 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 Jiahe Foods will offset losses from the drop in Jiahe Foods' long position.| Xinjiang Baodi vs. Haima Automobile Group | Xinjiang Baodi vs. Nuode Investment Co | Xinjiang Baodi vs. Zoje Resources Investment | Xinjiang Baodi vs. Jiangsu Xinri E Vehicle |
| Jiahe Foods vs. Allwin Telecommunication Co | Jiahe Foods vs. Markor International Home | Jiahe Foods vs. Luolai Home Textile | Jiahe Foods vs. Shandong Homey Aquatic |
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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
Other Complementary Tools
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world |