Correlation Between Anji Foodstuff and Youyou Foods
Specify exactly 2 symbols:
By analyzing existing cross correlation between Anji Foodstuff Co and Youyou Foods Co, you can compare the effects of market volatilities on Anji Foodstuff and Youyou Foods 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 Youyou Foods. Check out your portfolio center. Please also check ongoing floating volatility patterns of Anji Foodstuff and Youyou Foods.
Diversification Opportunities for Anji Foodstuff and Youyou Foods
0.58 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Anji and Youyou is 0.58. Overlapping area represents the amount of risk that can be diversified away by holding Anji Foodstuff Co and Youyou Foods Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Youyou Foods 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 Youyou Foods. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Youyou Foods has no effect on the direction of Anji Foodstuff i.e., Anji Foodstuff and Youyou Foods go up and down completely randomly.
Pair Corralation between Anji Foodstuff and Youyou Foods
Assuming the 90 days trading horizon Anji Foodstuff Co is expected to under-perform the Youyou Foods. In addition to that, Anji Foodstuff is 1.15 times more volatile than Youyou Foods Co. It trades about -0.09 of its total potential returns per unit of risk. Youyou Foods Co is currently generating about -0.07 per unit of volatility. If you would invest 1,017 in Youyou Foods Co on October 20, 2024 and sell it today you would lose (54.00) from holding Youyou Foods Co or give up 5.31% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Anji Foodstuff Co vs. Youyou Foods Co
Performance |
| Timeline |
| Anji Foodstuff |
| Youyou Foods |
Anji Foodstuff and Youyou Foods Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Anji Foodstuff and Youyou Foods
The main advantage of trading using opposite Anji Foodstuff and Youyou Foods positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Anji Foodstuff position performs unexpectedly, Youyou Foods 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 Youyou Foods will offset losses from the drop in Youyou Foods' long position.| Anji Foodstuff vs. Kweichow Moutai Co | Anji Foodstuff vs. NAURA Technology Group | Anji Foodstuff vs. Zhejiang Orient Gene | Anji Foodstuff vs. APT Medical |
| Youyou Foods vs. Hefei Metalforming Mach | Youyou Foods vs. China Minmetals Rare | Youyou Foods vs. Shandong Sinoglory Health | Youyou Foods vs. Ye Chiu Metal |
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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. |