Correlation Between Anji Foodstuff and XinJiang GuoTong
Specify exactly 2 symbols:
By analyzing existing cross correlation between Anji Foodstuff Co and XinJiang GuoTong Pipeline, you can compare the effects of market volatilities on Anji Foodstuff and XinJiang GuoTong 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 Anji Foodstuff with a short position of XinJiang GuoTong. Check out your portfolio center. Please also check ongoing floating volatility patterns of Anji Foodstuff and XinJiang GuoTong.
Diversification Opportunities for Anji Foodstuff and XinJiang GuoTong
0.74 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Anji and XinJiang is 0.74. Overlapping area represents the amount of risk that can be diversified away by holding Anji Foodstuff Co and XinJiang GuoTong Pipeline in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on XinJiang GuoTong Pipeline and Anji Foodstuff 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 Anji Foodstuff Co are associated (or correlated) with XinJiang GuoTong. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of XinJiang GuoTong Pipeline has no effect on the direction of Anji Foodstuff i.e., Anji Foodstuff and XinJiang GuoTong go up and down completely randomly.
Pair Corralation between Anji Foodstuff and XinJiang GuoTong
Assuming the 90 days trading horizon Anji Foodstuff Co is expected to under-perform the XinJiang GuoTong. But the stock apears to be less risky and, when comparing its historical volatility, Anji Foodstuff Co is 1.22 times less risky than XinJiang GuoTong. The stock trades about -0.28 of its potential returns per unit of risk. The XinJiang GuoTong Pipeline is currently generating about -0.11 of returns per unit of risk over similar time horizon. If you would invest 957.00 in XinJiang GuoTong Pipeline on October 12, 2024 and sell it today you would lose (137.00) from holding XinJiang GuoTong Pipeline or give up 14.32% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Anji Foodstuff Co vs. XinJiang GuoTong Pipeline
Performance |
| Timeline |
| Anji Foodstuff |
| XinJiang GuoTong Pipeline |
Anji Foodstuff and XinJiang GuoTong Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Anji Foodstuff and XinJiang GuoTong
The main advantage of trading using opposite Anji Foodstuff and XinJiang GuoTong positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Anji Foodstuff position performs unexpectedly, XinJiang GuoTong 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 XinJiang GuoTong will offset losses from the drop in XinJiang GuoTong's long position.| Anji Foodstuff vs. Vats Liquor Chain | Anji Foodstuff vs. Jiugui Liquor Co | Anji Foodstuff vs. Guocheng Mining Co | Anji Foodstuff vs. JCHX Mining Management |
| XinJiang GuoTong vs. Sichuan Teway Food | XinJiang GuoTong vs. TongFu Microelectronics Co | XinJiang GuoTong vs. Shanghai Ziyan Foods | XinJiang GuoTong vs. Anji Foodstuff 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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Other Complementary Tools
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities |