Correlation Between Agricultural Bank and EmbedWay TechCorp
Specify exactly 2 symbols:
By analyzing existing cross correlation between Agricultural Bank of and EmbedWay TechCorp, you can compare the effects of market volatilities on Agricultural Bank and EmbedWay TechCorp 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 EmbedWay TechCorp. Check out your portfolio center. Please also check ongoing floating volatility patterns of Agricultural Bank and EmbedWay TechCorp.
Diversification Opportunities for Agricultural Bank and EmbedWay TechCorp
-0.08 | Correlation Coefficient |
Good diversification
The 3 months correlation between Agricultural and EmbedWay is -0.08. Overlapping area represents the amount of risk that can be diversified away by holding Agricultural Bank of and EmbedWay TechCorp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on EmbedWay TechCorp 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 EmbedWay TechCorp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of EmbedWay TechCorp has no effect on the direction of Agricultural Bank i.e., Agricultural Bank and EmbedWay TechCorp go up and down completely randomly.
Pair Corralation between Agricultural Bank and EmbedWay TechCorp
Assuming the 90 days trading horizon Agricultural Bank of is expected to generate 0.54 times more return on investment than EmbedWay TechCorp. However, Agricultural Bank of is 1.86 times less risky than EmbedWay TechCorp. It trades about 0.4 of its potential returns per unit of risk. EmbedWay TechCorp is currently generating about 0.01 per unit of risk. If you would invest 483.00 in Agricultural Bank of on September 28, 2024 and sell it today you would earn a total of 47.00 from holding Agricultural Bank of or generate 9.73% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 95.65% |
| Values | Daily Returns |
Agricultural Bank of vs. EmbedWay TechCorp
Performance |
| Timeline |
| Agricultural Bank |
| EmbedWay TechCorp |
Agricultural Bank and EmbedWay TechCorp Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Agricultural Bank and EmbedWay TechCorp
The main advantage of trading using opposite Agricultural Bank and EmbedWay TechCorp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Agricultural Bank position performs unexpectedly, EmbedWay TechCorp 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 EmbedWay TechCorp will offset losses from the drop in EmbedWay TechCorp's long position.| Agricultural Bank vs. Industrial and Commercial | Agricultural Bank vs. Kweichow Moutai Co | Agricultural Bank vs. China Mobile Limited | Agricultural Bank vs. China Construction Bank |
| EmbedWay TechCorp vs. Industrial and Commercial | EmbedWay TechCorp vs. Agricultural Bank of | EmbedWay TechCorp vs. China Construction Bank | EmbedWay TechCorp vs. Bank of China |
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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
Other Complementary Tools
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account |