Correlation Between Postal Savings and Hunan Tyen
Specify exactly 2 symbols:
By analyzing existing cross correlation between Postal Savings Bank and Hunan Tyen Machinery, you can compare the effects of market volatilities on Postal Savings and Hunan Tyen 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 Postal Savings with a short position of Hunan Tyen. Check out your portfolio center. Please also check ongoing floating volatility patterns of Postal Savings and Hunan Tyen.
Diversification Opportunities for Postal Savings and Hunan Tyen
-0.47 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Postal and Hunan is -0.47. Overlapping area represents the amount of risk that can be diversified away by holding Postal Savings Bank and Hunan Tyen Machinery in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hunan Tyen Machinery and Postal Savings 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 Postal Savings Bank are associated (or correlated) with Hunan Tyen. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hunan Tyen Machinery has no effect on the direction of Postal Savings i.e., Postal Savings and Hunan Tyen go up and down completely randomly.
Pair Corralation between Postal Savings and Hunan Tyen
Assuming the 90 days trading horizon Postal Savings Bank is expected to generate 0.52 times more return on investment than Hunan Tyen. However, Postal Savings Bank is 1.92 times less risky than Hunan Tyen. It trades about 0.03 of its potential returns per unit of risk. Hunan Tyen Machinery is currently generating about 0.01 per unit of risk. If you would invest 465.00 in Postal Savings Bank on October 11, 2024 and sell it today you would earn a total of 80.00 from holding Postal Savings Bank or generate 17.2% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Postal Savings Bank vs. Hunan Tyen Machinery
Performance |
| Timeline |
| Postal Savings Bank |
| Hunan Tyen Machinery |
Postal Savings and Hunan Tyen Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Postal Savings and Hunan Tyen
The main advantage of trading using opposite Postal Savings and Hunan Tyen positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Postal Savings position performs unexpectedly, Hunan Tyen 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 Hunan Tyen will offset losses from the drop in Hunan Tyen's long position.| Postal Savings vs. Industrial and Commercial | Postal Savings vs. China Construction Bank | Postal Savings vs. Agricultural Bank of | Postal Savings vs. Bank of China |
| Hunan Tyen vs. Postal Savings Bank | Hunan Tyen vs. Chengdu Spaceon Electronics | Hunan Tyen vs. Ningbo Tech Bank Co | Hunan Tyen vs. Xiamen Bank Co |
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 Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
Other Complementary Tools
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Transaction History View history of all your transactions and understand their impact on performance |