Correlation Between Anji Foodstuff and Zoy Home
Specify exactly 2 symbols:
By analyzing existing cross correlation between Anji Foodstuff Co and Zoy Home Furnishing, you can compare the effects of market volatilities on Anji Foodstuff and Zoy Home 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 Zoy Home. Check out your portfolio center. Please also check ongoing floating volatility patterns of Anji Foodstuff and Zoy Home.
Diversification Opportunities for Anji Foodstuff and Zoy Home
0.88 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Anji and Zoy is 0.88. Overlapping area represents the amount of risk that can be diversified away by holding Anji Foodstuff Co and Zoy Home Furnishing in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Zoy Home Furnishing 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 Zoy Home. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Zoy Home Furnishing has no effect on the direction of Anji Foodstuff i.e., Anji Foodstuff and Zoy Home go up and down completely randomly.
Pair Corralation between Anji Foodstuff and Zoy Home
Assuming the 90 days trading horizon Anji Foodstuff Co is expected to under-perform the Zoy Home. But the stock apears to be less risky and, when comparing its historical volatility, Anji Foodstuff Co is 1.23 times less risky than Zoy Home. The stock trades about -0.36 of its potential returns per unit of risk. The Zoy Home Furnishing is currently generating about -0.21 of returns per unit of risk over similar time horizon. If you would invest 1,246 in Zoy Home Furnishing on October 14, 2024 and sell it today you would lose (238.00) from holding Zoy Home Furnishing or give up 19.1% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Anji Foodstuff Co vs. Zoy Home Furnishing
Performance |
| Timeline |
| Anji Foodstuff |
| Zoy Home Furnishing |
Anji Foodstuff and Zoy Home Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Anji Foodstuff and Zoy Home
The main advantage of trading using opposite Anji Foodstuff and Zoy Home positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Anji Foodstuff position performs unexpectedly, Zoy Home 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 Zoy Home will offset losses from the drop in Zoy Home's long position.| Anji Foodstuff vs. Central Plains Environment | Anji Foodstuff vs. Beijing Shunxin Agriculture | Anji Foodstuff vs. Qingdao Foods Co | Anji Foodstuff vs. Guangdong Wens Foodstuff |
| Zoy Home vs. Jiajia Food Group | Zoy Home vs. Wuhan Yangtze Communication | Zoy Home vs. Zhongyin Babi Food | Zoy Home vs. Telling Telecommunication Holding |
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 Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
Other Complementary Tools
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities |