Correlation Between Southern PublishingMedia and China Minsheng
Specify exactly 2 symbols:
By analyzing existing cross correlation between Southern PublishingMedia Co and China Minsheng Banking, you can compare the effects of market volatilities on Southern PublishingMedia and China Minsheng 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 Southern PublishingMedia with a short position of China Minsheng. Check out your portfolio center. Please also check ongoing floating volatility patterns of Southern PublishingMedia and China Minsheng.
Diversification Opportunities for Southern PublishingMedia and China Minsheng
0.85 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Southern and China is 0.85. Overlapping area represents the amount of risk that can be diversified away by holding Southern PublishingMedia Co and China Minsheng Banking in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China Minsheng Banking and Southern PublishingMedia 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 Southern PublishingMedia Co are associated (or correlated) with China Minsheng. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China Minsheng Banking has no effect on the direction of Southern PublishingMedia i.e., Southern PublishingMedia and China Minsheng go up and down completely randomly.
Pair Corralation between Southern PublishingMedia and China Minsheng
Assuming the 90 days trading horizon Southern PublishingMedia Co is expected to generate 1.64 times more return on investment than China Minsheng. However, Southern PublishingMedia is 1.64 times more volatile than China Minsheng Banking. It trades about 0.12 of its potential returns per unit of risk. China Minsheng Banking is currently generating about 0.11 per unit of risk. If you would invest 1,392 in Southern PublishingMedia Co on September 1, 2024 and sell it today you would earn a total of 111.00 from holding Southern PublishingMedia Co or generate 7.97% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 95.65% |
| Values | Daily Returns |
Southern PublishingMedia Co vs. China Minsheng Banking
Performance |
| Timeline |
| Southern PublishingMedia |
| China Minsheng Banking |
Southern PublishingMedia and China Minsheng Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Southern PublishingMedia and China Minsheng
The main advantage of trading using opposite Southern PublishingMedia and China Minsheng positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Southern PublishingMedia position performs unexpectedly, China Minsheng 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 China Minsheng will offset losses from the drop in China Minsheng's long position.The idea behind Southern PublishingMedia Co and China Minsheng Banking pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
| China Minsheng vs. V V Food | China Minsheng vs. Juewei Food Co | China Minsheng vs. 360 Security Technology | China Minsheng vs. Guangdong Xiongsu Technology |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Other Complementary Tools
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Stocks Directory Find actively traded stocks across global markets | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| CEOs Directory Screen CEOs from public companies around the world |