Correlation Between Xiamen Bank and Bonree Data
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By analyzing existing cross correlation between Xiamen Bank Co and Bonree Data Technology, you can compare the effects of market volatilities on Xiamen Bank and Bonree Data 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 Xiamen Bank with a short position of Bonree Data. Check out your portfolio center. Please also check ongoing floating volatility patterns of Xiamen Bank and Bonree Data.
Diversification Opportunities for Xiamen Bank and Bonree Data
0.3 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Xiamen and Bonree is 0.3. Overlapping area represents the amount of risk that can be diversified away by holding Xiamen Bank Co and Bonree Data Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bonree Data Technology and Xiamen Bank 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 Xiamen Bank Co are associated (or correlated) with Bonree Data. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bonree Data Technology has no effect on the direction of Xiamen Bank i.e., Xiamen Bank and Bonree Data go up and down completely randomly.
Pair Corralation between Xiamen Bank and Bonree Data
Assuming the 90 days trading horizon Xiamen Bank is expected to generate 5.19 times less return on investment than Bonree Data. But when comparing it to its historical volatility, Xiamen Bank Co is 3.4 times less risky than Bonree Data. It trades about 0.01 of its potential returns per unit of risk. Bonree Data Technology is currently generating about 0.02 of returns per unit of risk over similar time horizon. If you would invest 3,789 in Bonree Data Technology on October 14, 2024 and sell it today you would lose (121.00) from holding Bonree Data Technology or give up 3.19% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Xiamen Bank Co vs. Bonree Data Technology
Performance |
| Timeline |
| Xiamen Bank |
| Bonree Data Technology |
Xiamen Bank and Bonree Data Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Xiamen Bank and Bonree Data
The main advantage of trading using opposite Xiamen Bank and Bonree Data positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Xiamen Bank position performs unexpectedly, Bonree Data 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 Bonree Data will offset losses from the drop in Bonree Data's long position.| Xiamen Bank vs. JiShi Media Co | Xiamen Bank vs. Zhejiang Qianjiang Motorcycle | Xiamen Bank vs. Guangdong Jinma Entertainment | Xiamen Bank vs. Thinkingdom Media Group |
| Bonree Data vs. Xiamen Bank Co | Bonree Data vs. Guangdong Wens Foodstuff | Bonree Data vs. Peoples Insurance of | Bonree Data vs. Shanghai Ziyan Foods |
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 Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.
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