Correlation Between Jiangsu Pacific and SI TECH
Specify exactly 2 symbols:
By analyzing existing cross correlation between Jiangsu Pacific Quartz and SI TECH Information Technology, you can compare the effects of market volatilities on Jiangsu Pacific and SI TECH 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 Jiangsu Pacific with a short position of SI TECH. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jiangsu Pacific and SI TECH.
Diversification Opportunities for Jiangsu Pacific and SI TECH
0.77 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Jiangsu and 300608 is 0.77. Overlapping area represents the amount of risk that can be diversified away by holding Jiangsu Pacific Quartz and SI TECH Information Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SI TECH Information and Jiangsu Pacific 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 Jiangsu Pacific Quartz are associated (or correlated) with SI TECH. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SI TECH Information has no effect on the direction of Jiangsu Pacific i.e., Jiangsu Pacific and SI TECH go up and down completely randomly.
Pair Corralation between Jiangsu Pacific and SI TECH
Assuming the 90 days trading horizon Jiangsu Pacific Quartz is expected to under-perform the SI TECH. But the stock apears to be less risky and, when comparing its historical volatility, Jiangsu Pacific Quartz is 1.29 times less risky than SI TECH. The stock trades about -0.07 of its potential returns per unit of risk. The SI TECH Information Technology is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 861.00 in SI TECH Information Technology on September 28, 2024 and sell it today you would earn a total of 255.00 from holding SI TECH Information Technology or generate 29.62% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jiangsu Pacific Quartz vs. SI TECH Information Technology
Performance |
| Timeline |
| Jiangsu Pacific Quartz |
| SI TECH Information |
Jiangsu Pacific and SI TECH Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jiangsu Pacific and SI TECH
The main advantage of trading using opposite Jiangsu Pacific and SI TECH positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jiangsu Pacific position performs unexpectedly, SI TECH 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 SI TECH will offset losses from the drop in SI TECH's long position.| Jiangsu Pacific vs. Ming Yang Smart | Jiangsu Pacific vs. 159681 | Jiangsu Pacific vs. 159005 | Jiangsu Pacific vs. Loctek Ergonomic Technology |
| SI TECH vs. Kweichow Moutai Co | SI TECH vs. Shenzhen Mindray Bio Medical | SI TECH vs. Jiangsu Pacific Quartz | SI TECH vs. G bits Network Technology |
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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Other Complementary Tools
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios |