Correlation Between Industrial and Kuang Chi
Specify exactly 2 symbols:
By analyzing existing cross correlation between Industrial and Commercial and Kuang Chi Technologies, you can compare the effects of market volatilities on Industrial and Kuang Chi 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 Industrial with a short position of Kuang Chi. Check out your portfolio center. Please also check ongoing floating volatility patterns of Industrial and Kuang Chi.
Diversification Opportunities for Industrial and Kuang Chi
0.19 | Correlation Coefficient |
Average diversification
The 3 months correlation between Industrial and Kuang is 0.19. Overlapping area represents the amount of risk that can be diversified away by holding Industrial and Commercial and Kuang Chi Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kuang Chi Technologies and Industrial 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 Industrial and Commercial are associated (or correlated) with Kuang Chi. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kuang Chi Technologies has no effect on the direction of Industrial i.e., Industrial and Kuang Chi go up and down completely randomly.
Pair Corralation between Industrial and Kuang Chi
Assuming the 90 days trading horizon Industrial and Commercial is expected to generate 0.41 times more return on investment than Kuang Chi. However, Industrial and Commercial is 2.43 times less risky than Kuang Chi. It trades about 0.05 of its potential returns per unit of risk. Kuang Chi Technologies is currently generating about -0.06 per unit of risk. If you would invest 653.00 in Industrial and Commercial on October 21, 2024 and sell it today you would earn a total of 8.00 from holding Industrial and Commercial or generate 1.23% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Industrial and Commercial vs. Kuang Chi Technologies
Performance |
| Timeline |
| Industrial and Commercial |
| Kuang Chi Technologies |
Industrial and Kuang Chi Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Industrial and Kuang Chi
The main advantage of trading using opposite Industrial and Kuang Chi positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Industrial position performs unexpectedly, Kuang Chi 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 Kuang Chi will offset losses from the drop in Kuang Chi's long position.| Industrial vs. Shenzhen Silver Basis | Industrial vs. Dezhan HealthCare Co | Industrial vs. De Rucci Healthy | Industrial vs. Humanwell Healthcare Group |
| Kuang Chi vs. Industrial and Commercial | Kuang Chi vs. Agricultural Bank of | Kuang Chi vs. China Construction Bank | Kuang Chi 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 Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.
Other Complementary Tools
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |