Correlation Between Guangzhou Restaurants and Bank of Suzhou
Specify exactly 2 symbols:
By analyzing existing cross correlation between Guangzhou Restaurants Group and Bank of Suzhou, you can compare the effects of market volatilities on Guangzhou Restaurants and Bank of Suzhou 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 Guangzhou Restaurants with a short position of Bank of Suzhou. Check out your portfolio center. Please also check ongoing floating volatility patterns of Guangzhou Restaurants and Bank of Suzhou.
Diversification Opportunities for Guangzhou Restaurants and Bank of Suzhou
0.54 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Guangzhou and Bank is 0.54. Overlapping area represents the amount of risk that can be diversified away by holding Guangzhou Restaurants Group and Bank of Suzhou in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bank of Suzhou and Guangzhou Restaurants 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 Guangzhou Restaurants Group are associated (or correlated) with Bank of Suzhou. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bank of Suzhou has no effect on the direction of Guangzhou Restaurants i.e., Guangzhou Restaurants and Bank of Suzhou go up and down completely randomly.
Pair Corralation between Guangzhou Restaurants and Bank of Suzhou
Assuming the 90 days trading horizon Guangzhou Restaurants Group is expected to generate 1.01 times more return on investment than Bank of Suzhou. However, Guangzhou Restaurants is 1.01 times more volatile than Bank of Suzhou. It trades about 0.04 of its potential returns per unit of risk. Bank of Suzhou is currently generating about -0.22 per unit of risk. If you would invest 1,530 in Guangzhou Restaurants Group on November 30, 2024 and sell it today you would earn a total of 9.00 from holding Guangzhou Restaurants Group or generate 0.59% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Weak |
Accuracy | 100.0% |
Values | Daily Returns |
Guangzhou Restaurants Group vs. Bank of Suzhou
Performance |
Timeline |
Guangzhou Restaurants |
Bank of Suzhou |
Guangzhou Restaurants and Bank of Suzhou Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Guangzhou Restaurants and Bank of Suzhou
The main advantage of trading using opposite Guangzhou Restaurants and Bank of Suzhou positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Guangzhou Restaurants position performs unexpectedly, Bank of Suzhou 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 Bank of Suzhou will offset losses from the drop in Bank of Suzhou's long position.Guangzhou Restaurants vs. Aba Chemicals Corp | ||
Guangzhou Restaurants vs. Dynagreen Environmental Protection | ||
Guangzhou Restaurants vs. Miracll Chemicals Co | ||
Guangzhou Restaurants vs. Bengang Steel Plates |
Bank of Suzhou vs. Sportsoul Co Ltd | ||
Bank of Suzhou vs. Shengtak New Material | ||
Bank of Suzhou vs. Heilongjiang Transport Development | ||
Bank of Suzhou vs. China Sports Industry |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
Bonds Directory Find actively traded corporate debentures issued by US companies | |
Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital |