Correlation Between Anhui Transport and Beijing Sanyuan
Specify exactly 2 symbols:
By analyzing existing cross correlation between Anhui Transport Consulting and Beijing Sanyuan Foods, you can compare the effects of market volatilities on Anhui Transport and Beijing Sanyuan 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 Anhui Transport with a short position of Beijing Sanyuan. Check out your portfolio center. Please also check ongoing floating volatility patterns of Anhui Transport and Beijing Sanyuan.
Diversification Opportunities for Anhui Transport and Beijing Sanyuan
0.64 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Anhui and Beijing is 0.64. Overlapping area represents the amount of risk that can be diversified away by holding Anhui Transport Consulting and Beijing Sanyuan Foods in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Beijing Sanyuan Foods and Anhui Transport 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 Anhui Transport Consulting are associated (or correlated) with Beijing Sanyuan. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Beijing Sanyuan Foods has no effect on the direction of Anhui Transport i.e., Anhui Transport and Beijing Sanyuan go up and down completely randomly.
Pair Corralation between Anhui Transport and Beijing Sanyuan
Assuming the 90 days trading horizon Anhui Transport Consulting is expected to under-perform the Beijing Sanyuan. But the stock apears to be less risky and, when comparing its historical volatility, Anhui Transport Consulting is 1.8 times less risky than Beijing Sanyuan. The stock trades about -0.18 of its potential returns per unit of risk. The Beijing Sanyuan Foods is currently generating about -0.07 of returns per unit of risk over similar time horizon. If you would invest 451.00 in Beijing Sanyuan Foods on October 30, 2024 and sell it today you would lose (42.00) from holding Beijing Sanyuan Foods or give up 9.31% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Anhui Transport Consulting vs. Beijing Sanyuan Foods
Performance |
| Timeline |
| Anhui Transport Cons |
| Beijing Sanyuan Foods |
Anhui Transport and Beijing Sanyuan Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Anhui Transport and Beijing Sanyuan
The main advantage of trading using opposite Anhui Transport and Beijing Sanyuan positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Anhui Transport position performs unexpectedly, Beijing Sanyuan 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 Beijing Sanyuan will offset losses from the drop in Beijing Sanyuan's long position.| Anhui Transport vs. Nanjing OLO Home | Anhui Transport vs. Zoy Home Furnishing | Anhui Transport vs. Fiberhome Telecommunication Technologies | Anhui Transport vs. Jiangsu Yanghe Brewery |
| Beijing Sanyuan vs. Shandong Rike Chemical | Beijing Sanyuan vs. Lander Sports Development | Beijing Sanyuan vs. Daoming OpticsChemical Co | Beijing Sanyuan vs. Xilong Chemical 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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Other Complementary Tools
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments |