Correlation Between China Railway and Saurer Intelligent
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Railway Group and Saurer Intelligent Technology, you can compare the effects of market volatilities on China Railway and Saurer Intelligent 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 Saurer Intelligent. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Railway and Saurer Intelligent.
Diversification Opportunities for China Railway and Saurer Intelligent
0.28 | Correlation Coefficient |
Modest diversification
The 3 months correlation between China and Saurer is 0.28. Overlapping area represents the amount of risk that can be diversified away by holding China Railway Group and Saurer Intelligent Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Saurer Intelligent 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 Group are associated (or correlated) with Saurer Intelligent. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Saurer Intelligent has no effect on the direction of China Railway i.e., China Railway and Saurer Intelligent go up and down completely randomly.
Pair Corralation between China Railway and Saurer Intelligent
Assuming the 90 days trading horizon China Railway Group is expected to under-perform the Saurer Intelligent. But the stock apears to be less risky and, when comparing its historical volatility, China Railway Group is 3.74 times less risky than Saurer Intelligent. The stock trades about -0.2 of its potential returns per unit of risk. The Saurer Intelligent Technology is currently generating about 0.11 of returns per unit of risk over similar time horizon. If you would invest 239.00 in Saurer Intelligent Technology on November 30, 2024 and sell it today you would earn a total of 39.00 from holding Saurer Intelligent Technology or generate 16.32% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
China Railway Group vs. Saurer Intelligent Technology
Performance |
| Timeline |
| China Railway Group |
| Saurer Intelligent |
China Railway and Saurer Intelligent Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with China Railway and Saurer Intelligent
The main advantage of trading using opposite China Railway and Saurer Intelligent positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Railway position performs unexpectedly, Saurer Intelligent 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 Saurer Intelligent will offset losses from the drop in Saurer Intelligent's long position.| China Railway vs. Anhui Huaren Health | China Railway vs. De Rucci Healthy | China Railway vs. Peoples Insurance of | China Railway vs. Everjoy Health Group |
| Saurer Intelligent vs. Northking Information Technology | Saurer Intelligent vs. Shanghai Ziyan Foods | Saurer Intelligent vs. Anji Foodstuff Co | Saurer Intelligent vs. Eastern Air Logistics |
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 Content Syndication module to quickly integrate customizable finance content to your own investment portal.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |