Correlation Between China Construction and Kunwu Jiuding
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Construction Bank and Kunwu Jiuding Investment, you can compare the effects of market volatilities on China Construction and Kunwu Jiuding 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 China Construction with a short position of Kunwu Jiuding. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Construction and Kunwu Jiuding.
Diversification Opportunities for China Construction and Kunwu Jiuding
-0.61 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between China and Kunwu is -0.61. Overlapping area represents the amount of risk that can be diversified away by holding China Construction Bank and Kunwu Jiuding Investment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kunwu Jiuding Investment and China Construction 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 China Construction Bank are associated (or correlated) with Kunwu Jiuding. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kunwu Jiuding Investment has no effect on the direction of China Construction i.e., China Construction and Kunwu Jiuding go up and down completely randomly.
Pair Corralation between China Construction and Kunwu Jiuding
Assuming the 90 days trading horizon China Construction Bank is expected to generate 0.37 times more return on investment than Kunwu Jiuding. However, China Construction Bank is 2.67 times less risky than Kunwu Jiuding. It trades about 0.1 of its potential returns per unit of risk. Kunwu Jiuding Investment is currently generating about -0.11 per unit of risk. If you would invest 800.00 in China Construction Bank on November 6, 2024 and sell it today you would earn a total of 54.00 from holding China Construction Bank or generate 6.75% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
China Construction Bank vs. Kunwu Jiuding Investment
Performance |
| Timeline |
| China Construction Bank |
| Kunwu Jiuding Investment |
China Construction and Kunwu Jiuding Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with China Construction and Kunwu Jiuding
The main advantage of trading using opposite China Construction and Kunwu Jiuding positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Construction position performs unexpectedly, Kunwu Jiuding 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 Kunwu Jiuding will offset losses from the drop in Kunwu Jiuding's long position.| China Construction vs. Nantong JiangTian Chemical | China Construction vs. Soyea Technology Co | China Construction vs. Hubei Forbon Technology | China Construction vs. Xilong Chemical Co |
| Kunwu Jiuding vs. Semiconductor Manufacturing Intl | Kunwu Jiuding vs. Suzhou Oriental Semiconductor | Kunwu Jiuding vs. Sportsoul Co Ltd | Kunwu Jiuding vs. Lander Sports Development |
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 Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.
Other Complementary Tools
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. |