Correlation Between Hainan Mining and Nanjing Putian
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hainan Mining Co and Nanjing Putian Telecommunications, you can compare the effects of market volatilities on Hainan Mining and Nanjing Putian 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 Hainan Mining with a short position of Nanjing Putian. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hainan Mining and Nanjing Putian.
Diversification Opportunities for Hainan Mining and Nanjing Putian
0.37 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Hainan and Nanjing is 0.37. Overlapping area represents the amount of risk that can be diversified away by holding Hainan Mining Co and Nanjing Putian Telecommunicati in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nanjing Putian Telec and Hainan Mining 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 Hainan Mining Co are associated (or correlated) with Nanjing Putian. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nanjing Putian Telec has no effect on the direction of Hainan Mining i.e., Hainan Mining and Nanjing Putian go up and down completely randomly.
Pair Corralation between Hainan Mining and Nanjing Putian
Assuming the 90 days trading horizon Hainan Mining is expected to generate 26.93 times less return on investment than Nanjing Putian. But when comparing it to its historical volatility, Hainan Mining Co is 1.6 times less risky than Nanjing Putian. It trades about 0.0 of its potential returns per unit of risk. Nanjing Putian Telecommunications is currently generating about 0.02 of returns per unit of risk over similar time horizon. If you would invest 352.00 in Nanjing Putian Telecommunications on November 28, 2024 and sell it today you would earn a total of 32.00 from holding Nanjing Putian Telecommunications or generate 9.09% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hainan Mining Co vs. Nanjing Putian Telecommunicati
Performance |
| Timeline |
| Hainan Mining |
| Nanjing Putian Telec |
Hainan Mining and Nanjing Putian Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hainan Mining and Nanjing Putian
The main advantage of trading using opposite Hainan Mining and Nanjing Putian positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hainan Mining position performs unexpectedly, Nanjing Putian 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 Nanjing Putian will offset losses from the drop in Nanjing Putian's long position.| Hainan Mining vs. Penyao Environmental Protection | Hainan Mining vs. Changjiang Jinggong Steel | Hainan Mining vs. Tibet Huayu Mining | Hainan Mining vs. Guangdong Jingyi Metal |
| Nanjing Putian vs. PetroChina Co Ltd | Nanjing Putian vs. Industrial and Commercial | Nanjing Putian vs. China Petroleum Chemical | Nanjing Putian vs. China Construction Bank |
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 Content Syndication module to quickly integrate customizable finance content to your own investment portal.
Other Complementary Tools
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years |