Correlation Between Hainan Mining and Biwin Storage
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hainan Mining Co and Biwin Storage Technology, you can compare the effects of market volatilities on Hainan Mining and Biwin Storage 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 Biwin Storage. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hainan Mining and Biwin Storage.
Diversification Opportunities for Hainan Mining and Biwin Storage
0.2 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Hainan and Biwin is 0.2. Overlapping area represents the amount of risk that can be diversified away by holding Hainan Mining Co and Biwin Storage Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Biwin Storage Technology 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 Biwin Storage. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Biwin Storage Technology has no effect on the direction of Hainan Mining i.e., Hainan Mining and Biwin Storage go up and down completely randomly.
Pair Corralation between Hainan Mining and Biwin Storage
Assuming the 90 days trading horizon Hainan Mining Co is expected to under-perform the Biwin Storage. But the stock apears to be less risky and, when comparing its historical volatility, Hainan Mining Co is 1.72 times less risky than Biwin Storage. The stock trades about -0.34 of its potential returns per unit of risk. The Biwin Storage Technology is currently generating about -0.04 of returns per unit of risk over similar time horizon. If you would invest 6,150 in Biwin Storage Technology on October 17, 2024 and sell it today you would lose (265.00) from holding Biwin Storage Technology or give up 4.31% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hainan Mining Co vs. Biwin Storage Technology
Performance |
| Timeline |
| Hainan Mining |
| Biwin Storage Technology |
Hainan Mining and Biwin Storage Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hainan Mining and Biwin Storage
The main advantage of trading using opposite Hainan Mining and Biwin Storage positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hainan Mining position performs unexpectedly, Biwin Storage 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 Biwin Storage will offset losses from the drop in Biwin Storage's long position.| Hainan Mining vs. King Strong New Material | Hainan Mining vs. Iat Automobile Technology | Hainan Mining vs. Fuda Alloy Materials | Hainan Mining vs. Hangzhou Gaoxin Rubber |
| Biwin Storage vs. Hefei Metalforming Mach | Biwin Storage vs. North Copper Shanxi | Biwin Storage vs. Gem Year Industrial Co | Biwin Storage vs. Hainan Mining 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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Other Complementary Tools
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets |