Correlation Between Fuzhou Rockchip and Yunnan Jianzhijia
Specify exactly 2 symbols:
By analyzing existing cross correlation between Fuzhou Rockchip Electronics and Yunnan Jianzhijia Health Chain, you can compare the effects of market volatilities on Fuzhou Rockchip and Yunnan Jianzhijia 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 Fuzhou Rockchip with a short position of Yunnan Jianzhijia. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fuzhou Rockchip and Yunnan Jianzhijia.
Diversification Opportunities for Fuzhou Rockchip and Yunnan Jianzhijia
-0.29 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Fuzhou and Yunnan is -0.29. Overlapping area represents the amount of risk that can be diversified away by holding Fuzhou Rockchip Electronics and Yunnan Jianzhijia Health Chain in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Yunnan Jianzhijia and Fuzhou Rockchip 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 Fuzhou Rockchip Electronics are associated (or correlated) with Yunnan Jianzhijia. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Yunnan Jianzhijia has no effect on the direction of Fuzhou Rockchip i.e., Fuzhou Rockchip and Yunnan Jianzhijia go up and down completely randomly.
Pair Corralation between Fuzhou Rockchip and Yunnan Jianzhijia
Assuming the 90 days trading horizon Fuzhou Rockchip Electronics is expected to generate 1.12 times more return on investment than Yunnan Jianzhijia. However, Fuzhou Rockchip is 1.12 times more volatile than Yunnan Jianzhijia Health Chain. It trades about 0.04 of its potential returns per unit of risk. Yunnan Jianzhijia Health Chain is currently generating about -0.05 per unit of risk. If you would invest 7,758 in Fuzhou Rockchip Electronics on October 16, 2024 and sell it today you would earn a total of 4,342 from holding Fuzhou Rockchip Electronics or generate 55.97% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Fuzhou Rockchip Electronics vs. Yunnan Jianzhijia Health Chain
Performance |
| Timeline |
| Fuzhou Rockchip Elec |
| Yunnan Jianzhijia |
Fuzhou Rockchip and Yunnan Jianzhijia Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Fuzhou Rockchip and Yunnan Jianzhijia
The main advantage of trading using opposite Fuzhou Rockchip and Yunnan Jianzhijia positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fuzhou Rockchip position performs unexpectedly, Yunnan Jianzhijia 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 Yunnan Jianzhijia will offset losses from the drop in Yunnan Jianzhijia's long position.| Fuzhou Rockchip vs. Jointo Energy Investment | Fuzhou Rockchip vs. Tieling Newcity Investment | Fuzhou Rockchip vs. Jiangnan Mould Plastic | Fuzhou Rockchip vs. Luyin Investment Group |
| Yunnan Jianzhijia vs. Shandong Hongchuang Aluminum | Yunnan Jianzhijia vs. Jiaozuo Wanfang Aluminum | Yunnan Jianzhijia vs. CITIC Metal Co | Yunnan Jianzhijia vs. Fuzhou Rockchip Electronics |
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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.
Other Complementary Tools
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Stocks Directory Find actively traded stocks across global markets |