Correlation Between PetroChina and Monalisa Group
Specify exactly 2 symbols:
By analyzing existing cross correlation between PetroChina Co Ltd and Monalisa Group Co, you can compare the effects of market volatilities on PetroChina and Monalisa Group 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 PetroChina with a short position of Monalisa Group. Check out your portfolio center. Please also check ongoing floating volatility patterns of PetroChina and Monalisa Group.
Diversification Opportunities for PetroChina and Monalisa Group
0.08 | Correlation Coefficient |
Significant diversification
The 3 months correlation between PetroChina and Monalisa is 0.08. Overlapping area represents the amount of risk that can be diversified away by holding PetroChina Co Ltd and Monalisa Group Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Monalisa Group and PetroChina 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 PetroChina Co Ltd are associated (or correlated) with Monalisa Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Monalisa Group has no effect on the direction of PetroChina i.e., PetroChina and Monalisa Group go up and down completely randomly.
Pair Corralation between PetroChina and Monalisa Group
Assuming the 90 days trading horizon PetroChina Co Ltd is expected to under-perform the Monalisa Group. But the stock apears to be less risky and, when comparing its historical volatility, PetroChina Co Ltd is 1.74 times less risky than Monalisa Group. The stock trades about -0.03 of its potential returns per unit of risk. The Monalisa Group Co is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 888.00 in Monalisa Group Co on September 1, 2024 and sell it today you would earn a total of 7.00 from holding Monalisa Group Co or generate 0.79% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 95.65% |
| Values | Daily Returns |
PetroChina Co Ltd vs. Monalisa Group Co
Performance |
| Timeline |
| PetroChina |
| Monalisa Group |
PetroChina and Monalisa Group Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with PetroChina and Monalisa Group
The main advantage of trading using opposite PetroChina and Monalisa Group positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PetroChina position performs unexpectedly, Monalisa Group 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 Monalisa Group will offset losses from the drop in Monalisa Group's long position.| PetroChina vs. Dongjiang Environmental Co | PetroChina vs. Tonghua Grape Wine | PetroChina vs. Dezhan HealthCare Co | PetroChina vs. Guangdong Liantai Environmental |
| Monalisa Group vs. Industrial and Commercial | Monalisa Group vs. Agricultural Bank of | Monalisa Group vs. China Construction Bank | Monalisa Group 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 Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Other Complementary Tools
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data |