Correlation Between Servyou Software and Jilin Chemical
Specify exactly 2 symbols:
By analyzing existing cross correlation between Servyou Software Group and Jilin Chemical Fibre, you can compare the effects of market volatilities on Servyou Software and Jilin Chemical 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 Servyou Software with a short position of Jilin Chemical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Servyou Software and Jilin Chemical.
Diversification Opportunities for Servyou Software and Jilin Chemical
0.7 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Servyou and Jilin is 0.7. Overlapping area represents the amount of risk that can be diversified away by holding Servyou Software Group and Jilin Chemical Fibre in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jilin Chemical Fibre and Servyou Software 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 Servyou Software Group are associated (or correlated) with Jilin Chemical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jilin Chemical Fibre has no effect on the direction of Servyou Software i.e., Servyou Software and Jilin Chemical go up and down completely randomly.
Pair Corralation between Servyou Software and Jilin Chemical
Assuming the 90 days trading horizon Servyou Software Group is expected to generate 1.14 times more return on investment than Jilin Chemical. However, Servyou Software is 1.14 times more volatile than Jilin Chemical Fibre. It trades about -0.01 of its potential returns per unit of risk. Jilin Chemical Fibre is currently generating about -0.02 per unit of risk. If you would invest 3,998 in Servyou Software Group on October 16, 2024 and sell it today you would lose (1,267) from holding Servyou Software Group or give up 31.69% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Servyou Software Group vs. Jilin Chemical Fibre
Performance |
| Timeline |
| Servyou Software |
| Jilin Chemical Fibre |
Servyou Software and Jilin Chemical Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Servyou Software and Jilin Chemical
The main advantage of trading using opposite Servyou Software and Jilin Chemical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Servyou Software position performs unexpectedly, Jilin Chemical 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 Jilin Chemical will offset losses from the drop in Jilin Chemical's long position.| Servyou Software vs. Zhejiang Publishing Media | Servyou Software vs. Southchip Semiconductor Technology | Servyou Software vs. Thinkon Semiconductor Jinzhou | Servyou Software vs. Southern PublishingMedia Co |
| Jilin Chemical vs. Bingo Software Co | Jilin Chemical vs. Servyou Software Group | Jilin Chemical vs. China National Software | Jilin Chemical vs. Guotai Epoint Software |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Other Complementary Tools
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data |