Correlation Between Agricultural Bank and Hengerda New
Specify exactly 2 symbols:
By analyzing existing cross correlation between Agricultural Bank of and Hengerda New Materials, you can compare the effects of market volatilities on Agricultural Bank and Hengerda New 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 Agricultural Bank with a short position of Hengerda New. Check out your portfolio center. Please also check ongoing floating volatility patterns of Agricultural Bank and Hengerda New.
Diversification Opportunities for Agricultural Bank and Hengerda New
0.65 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Agricultural and Hengerda is 0.65. Overlapping area represents the amount of risk that can be diversified away by holding Agricultural Bank of and Hengerda New Materials in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hengerda New Materials and Agricultural 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 Agricultural Bank of are associated (or correlated) with Hengerda New. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hengerda New Materials has no effect on the direction of Agricultural Bank i.e., Agricultural Bank and Hengerda New go up and down completely randomly.
Pair Corralation between Agricultural Bank and Hengerda New
Assuming the 90 days trading horizon Agricultural Bank of is expected to generate 0.36 times more return on investment than Hengerda New. However, Agricultural Bank of is 2.76 times less risky than Hengerda New. It trades about 0.1 of its potential returns per unit of risk. Hengerda New Materials is currently generating about 0.0 per unit of risk. If you would invest 342.00 in Agricultural Bank of on September 12, 2024 and sell it today you would earn a total of 163.00 from holding Agricultural Bank of or generate 47.66% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Agricultural Bank of vs. Hengerda New Materials
Performance |
| Timeline |
| Agricultural Bank |
| Hengerda New Materials |
Agricultural Bank and Hengerda New Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Agricultural Bank and Hengerda New
The main advantage of trading using opposite Agricultural Bank and Hengerda New positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Agricultural Bank position performs unexpectedly, Hengerda New 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 Hengerda New will offset losses from the drop in Hengerda New's long position.| Agricultural Bank vs. China Petroleum Chemical | Agricultural Bank vs. PetroChina Co Ltd | Agricultural Bank vs. China Mobile Limited | Agricultural Bank vs. Industrial and Commercial |
| Hengerda New vs. Agricultural Bank of | Hengerda New vs. Industrial and Commercial | Hengerda New vs. Bank of China | Hengerda New vs. PetroChina Co Ltd |
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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
Other Complementary Tools
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world |