Correlation Between China Railway and Henan Shuanghui
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Railway Construction and Henan Shuanghui Investment, you can compare the effects of market volatilities on China Railway and Henan Shuanghui 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 China Railway with a short position of Henan Shuanghui. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Railway and Henan Shuanghui.
Diversification Opportunities for China Railway and Henan Shuanghui
-0.03 | Correlation Coefficient |
Good diversification
The 3 months correlation between China and Henan is -0.03. Overlapping area represents the amount of risk that can be diversified away by holding China Railway Construction and Henan Shuanghui Investment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Henan Shuanghui Inve and China Railway 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 China Railway Construction are associated (or correlated) with Henan Shuanghui. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Henan Shuanghui Inve has no effect on the direction of China Railway i.e., China Railway and Henan Shuanghui go up and down completely randomly.
Pair Corralation between China Railway and Henan Shuanghui
Assuming the 90 days trading horizon China Railway Construction is expected to under-perform the Henan Shuanghui. In addition to that, China Railway is 1.34 times more volatile than Henan Shuanghui Investment. It trades about -0.3 of its total potential returns per unit of risk. Henan Shuanghui Investment is currently generating about 0.0 per unit of volatility. If you would invest 2,571 in Henan Shuanghui Investment on October 9, 2024 and sell it today you would lose (4.00) from holding Henan Shuanghui Investment or give up 0.16% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
China Railway Construction vs. Henan Shuanghui Investment
Performance |
| Timeline |
| China Railway Constr |
| Henan Shuanghui Inve |
China Railway and Henan Shuanghui Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with China Railway and Henan Shuanghui
The main advantage of trading using opposite China Railway and Henan Shuanghui positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Railway position performs unexpectedly, Henan Shuanghui 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 Henan Shuanghui will offset losses from the drop in Henan Shuanghui's long position.| China Railway vs. Agricultural Bank of | China Railway vs. Industrial and Commercial | China Railway vs. Bank of China | China Railway vs. PetroChina Co Ltd |
| Henan Shuanghui vs. CIMC Vehicles Co | Henan Shuanghui vs. Chengdu Xinzhu RoadBridge | Henan Shuanghui vs. Fujian Longzhou Transportation | Henan Shuanghui vs. Hainan Haiqi Transportation |
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
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine |