Correlation Between Ming Yang and Yes Optoelectronics
Specify exactly 2 symbols:
By analyzing existing cross correlation between Ming Yang Smart and Yes Optoelectronics Co, you can compare the effects of market volatilities on Ming Yang and Yes Optoelectronics 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 Ming Yang with a short position of Yes Optoelectronics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ming Yang and Yes Optoelectronics.
Diversification Opportunities for Ming Yang and Yes Optoelectronics
0.78 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Ming and Yes is 0.78. Overlapping area represents the amount of risk that can be diversified away by holding Ming Yang Smart and Yes Optoelectronics Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Yes Optoelectronics and Ming Yang 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 Ming Yang Smart are associated (or correlated) with Yes Optoelectronics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Yes Optoelectronics has no effect on the direction of Ming Yang i.e., Ming Yang and Yes Optoelectronics go up and down completely randomly.
Pair Corralation between Ming Yang and Yes Optoelectronics
Assuming the 90 days trading horizon Ming Yang Smart is expected to generate 1.27 times more return on investment than Yes Optoelectronics. However, Ming Yang is 1.27 times more volatile than Yes Optoelectronics Co. It trades about 0.05 of its potential returns per unit of risk. Yes Optoelectronics Co is currently generating about 0.03 per unit of risk. If you would invest 1,275 in Ming Yang Smart on September 25, 2024 and sell it today you would earn a total of 31.00 from holding Ming Yang Smart or generate 2.43% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Ming Yang Smart vs. Yes Optoelectronics Co
Performance |
| Timeline |
| Ming Yang Smart |
| Yes Optoelectronics |
Ming Yang and Yes Optoelectronics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ming Yang and Yes Optoelectronics
The main advantage of trading using opposite Ming Yang and Yes Optoelectronics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ming Yang position performs unexpectedly, Yes Optoelectronics 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 Yes Optoelectronics will offset losses from the drop in Yes Optoelectronics' long position.| Ming Yang vs. Chengdu Xinzhu RoadBridge | Ming Yang vs. MayAir Technology Co | Ming Yang vs. Longjian Road Bridge | Ming Yang vs. Jinsanjiang Silicon Material |
| Yes Optoelectronics vs. Industrial and Commercial | Yes Optoelectronics vs. China Construction Bank | Yes Optoelectronics vs. Agricultural Bank of | Yes Optoelectronics 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 Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.
Other Complementary Tools
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated |