Correlation Between Hoshine Silicon and Dongguan Aohai
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hoshine Silicon Ind and Dongguan Aohai Technology, you can compare the effects of market volatilities on Hoshine Silicon and Dongguan Aohai 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 Hoshine Silicon with a short position of Dongguan Aohai. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hoshine Silicon and Dongguan Aohai.
Diversification Opportunities for Hoshine Silicon and Dongguan Aohai
0.04 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Hoshine and Dongguan is 0.04. Overlapping area represents the amount of risk that can be diversified away by holding Hoshine Silicon Ind and Dongguan Aohai Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dongguan Aohai Technology and Hoshine Silicon 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 Hoshine Silicon Ind are associated (or correlated) with Dongguan Aohai. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dongguan Aohai Technology has no effect on the direction of Hoshine Silicon i.e., Hoshine Silicon and Dongguan Aohai go up and down completely randomly.
Pair Corralation between Hoshine Silicon and Dongguan Aohai
Assuming the 90 days trading horizon Hoshine Silicon Ind is expected to under-perform the Dongguan Aohai. But the stock apears to be less risky and, when comparing its historical volatility, Hoshine Silicon Ind is 1.35 times less risky than Dongguan Aohai. The stock trades about -0.04 of its potential returns per unit of risk. The Dongguan Aohai Technology is currently generating about 0.02 of returns per unit of risk over similar time horizon. If you would invest 3,571 in Dongguan Aohai Technology on October 15, 2024 and sell it today you would earn a total of 231.00 from holding Dongguan Aohai Technology or generate 6.47% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hoshine Silicon Ind vs. Dongguan Aohai Technology
Performance |
| Timeline |
| Hoshine Silicon Ind |
| Dongguan Aohai Technology |
Hoshine Silicon and Dongguan Aohai Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hoshine Silicon and Dongguan Aohai
The main advantage of trading using opposite Hoshine Silicon and Dongguan Aohai positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hoshine Silicon position performs unexpectedly, Dongguan Aohai 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 Dongguan Aohai will offset losses from the drop in Dongguan Aohai's long position.| Hoshine Silicon vs. Beijing YanDong MicroElectronic | Hoshine Silicon vs. Duzhe Publishing Media | Hoshine Silicon vs. Hengdian Entertainment Co | Hoshine Silicon vs. Guangdong Jinma Entertainment |
| Dongguan Aohai vs. Shanghai Broadband Technology | Dongguan Aohai vs. Dazhong Transportation Group | Dongguan Aohai vs. Yingde Greatchem Chemicals | Dongguan Aohai vs. Chongqing Road Bridge |
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 Portfolio Dashboard module to portfolio dashboard that provides centralized access to all your investments.
Other Complementary Tools
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. |