Correlation Between Hainan Mining and Hangzhou Minsheng
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hainan Mining Co and Hangzhou Minsheng Healthcare, you can compare the effects of market volatilities on Hainan Mining and Hangzhou 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 Hainan Mining with a short position of Hangzhou Minsheng. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hainan Mining and Hangzhou Minsheng.
Diversification Opportunities for Hainan Mining and Hangzhou Minsheng
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Hainan and Hangzhou is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding Hainan Mining Co and Hangzhou Minsheng Healthcare in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hangzhou Minsheng 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 Hangzhou Minsheng. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hangzhou Minsheng has no effect on the direction of Hainan Mining i.e., Hainan Mining and Hangzhou Minsheng go up and down completely randomly.
Pair Corralation between Hainan Mining and Hangzhou Minsheng
Assuming the 90 days trading horizon Hainan Mining Co is expected to under-perform the Hangzhou Minsheng. But the stock apears to be less risky and, when comparing its historical volatility, Hainan Mining Co is 1.09 times less risky than Hangzhou Minsheng. The stock trades about -0.32 of its potential returns per unit of risk. The Hangzhou Minsheng Healthcare is currently generating about -0.27 of returns per unit of risk over similar time horizon. If you would invest 1,390 in Hangzhou Minsheng Healthcare on October 12, 2024 and sell it today you would lose (180.00) from holding Hangzhou Minsheng Healthcare or give up 12.95% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hainan Mining Co vs. Hangzhou Minsheng Healthcare
Performance |
| Timeline |
| Hainan Mining |
| Hangzhou Minsheng |
Hainan Mining and Hangzhou Minsheng Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hainan Mining and Hangzhou Minsheng
The main advantage of trading using opposite Hainan Mining and Hangzhou Minsheng positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hainan Mining position performs unexpectedly, Hangzhou 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 Hangzhou Minsheng will offset losses from the drop in Hangzhou Minsheng's long position.| Hainan Mining vs. Guangxi Wuzhou Communications | Hainan Mining vs. Anhui Huilong Agricultural | Hainan Mining vs. Fiberhome Telecommunication Technologies | Hainan Mining vs. Dongfeng Automobile Co |
| Hangzhou Minsheng vs. Ningbo Jintian Copper | Hangzhou Minsheng vs. Hainan Mining Co | Hangzhou Minsheng vs. Shanghai Yanpu Metal | Hangzhou Minsheng vs. MayAir Technology Co |
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
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities |