Correlation Between China Publishing and China Minsheng
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Publishing Media and China Minsheng Banking, you can compare the effects of market volatilities on China Publishing 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 China Publishing with a short position of China Minsheng. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Publishing and China Minsheng.
Diversification Opportunities for China Publishing and China Minsheng
0.79 | Correlation Coefficient |
Poor diversification
The 3 months correlation between China and China is 0.79. Overlapping area represents the amount of risk that can be diversified away by holding China Publishing Media 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 China Publishing 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 Publishing Media 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 China Publishing i.e., China Publishing and China Minsheng go up and down completely randomly.
Pair Corralation between China Publishing and China Minsheng
Assuming the 90 days trading horizon China Publishing Media is expected to generate 2.34 times more return on investment than China Minsheng. However, China Publishing is 2.34 times more volatile than China Minsheng Banking. It trades about 0.2 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 686.00 in China Publishing Media on September 1, 2024 and sell it today you would earn a total of 140.00 from holding China Publishing Media or generate 20.41% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 95.65% |
| Values | Daily Returns |
China Publishing Media vs. China Minsheng Banking
Performance |
| Timeline |
| China Publishing Media |
| China Minsheng Banking |
China Publishing and China Minsheng Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with China Publishing and China Minsheng
The main advantage of trading using opposite China Publishing and China Minsheng positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Publishing 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.| China Publishing vs. Keda Clean Energy | China Publishing vs. Anhui Jianghuai Automobile | China Publishing vs. Qilu Bank Co | China Publishing vs. Nanjing Putian Telecommunications |
| 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
| 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 | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume |