Correlation Between China Publishing and Lotus Health
Specify exactly 2 symbols:
By analyzing existing cross correlation between China Publishing Media and Lotus Health Group, you can compare the effects of market volatilities on China Publishing and Lotus Health 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 Lotus Health. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Publishing and Lotus Health.
Diversification Opportunities for China Publishing and Lotus Health
0.55 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between China and Lotus is 0.55. Overlapping area represents the amount of risk that can be diversified away by holding China Publishing Media and Lotus Health Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Lotus Health Group 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 Lotus Health. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Lotus Health Group has no effect on the direction of China Publishing i.e., China Publishing and Lotus Health go up and down completely randomly.
Pair Corralation between China Publishing and Lotus Health
Assuming the 90 days trading horizon China Publishing is expected to generate 1.99 times less return on investment than Lotus Health. But when comparing it to its historical volatility, China Publishing Media is 1.2 times less risky than Lotus Health. It trades about 0.09 of its potential returns per unit of risk. Lotus Health Group is currently generating about 0.14 of returns per unit of risk over similar time horizon. If you would invest 299.00 in Lotus Health Group on October 18, 2024 and sell it today you would earn a total of 157.00 from holding Lotus Health Group or generate 52.51% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
China Publishing Media vs. Lotus Health Group
Performance |
| Timeline |
| China Publishing Media |
| Lotus Health Group |
China Publishing and Lotus Health Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with China Publishing and Lotus Health
The main advantage of trading using opposite China Publishing and Lotus Health positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Publishing position performs unexpectedly, Lotus Health 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 Lotus Health will offset losses from the drop in Lotus Health's long position.| China Publishing vs. Yindu Kitchen Equipment | China Publishing vs. Jiangsu Yueda Investment | China Publishing vs. Hubei Geoway Investment | China Publishing vs. Beijing Mainstreets Investment |
| Lotus Health vs. Wasu Media Holding | Lotus Health vs. Southern PublishingMedia Co | Lotus Health vs. Hangzhou Arcvideo Technology | Lotus Health vs. China Publishing Media |
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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
Other Complementary Tools
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity |