Correlation Between Suzhou Xingye and Hangzhou Gaoxin
Specify exactly 2 symbols:
By analyzing existing cross correlation between Suzhou Xingye Material and Hangzhou Gaoxin Rubber, you can compare the effects of market volatilities on Suzhou Xingye and Hangzhou Gaoxin 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 Suzhou Xingye with a short position of Hangzhou Gaoxin. Check out your portfolio center. Please also check ongoing floating volatility patterns of Suzhou Xingye and Hangzhou Gaoxin.
Diversification Opportunities for Suzhou Xingye and Hangzhou Gaoxin
0.9 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Suzhou and Hangzhou is 0.9. Overlapping area represents the amount of risk that can be diversified away by holding Suzhou Xingye Material and Hangzhou Gaoxin Rubber in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hangzhou Gaoxin Rubber and Suzhou Xingye 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 Suzhou Xingye Material are associated (or correlated) with Hangzhou Gaoxin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hangzhou Gaoxin Rubber has no effect on the direction of Suzhou Xingye i.e., Suzhou Xingye and Hangzhou Gaoxin go up and down completely randomly.
Pair Corralation between Suzhou Xingye and Hangzhou Gaoxin
Assuming the 90 days trading horizon Suzhou Xingye Material is expected to under-perform the Hangzhou Gaoxin. But the stock apears to be less risky and, when comparing its historical volatility, Suzhou Xingye Material is 1.17 times less risky than Hangzhou Gaoxin. The stock trades about 0.0 of its potential returns per unit of risk. The Hangzhou Gaoxin Rubber is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 939.00 in Hangzhou Gaoxin Rubber on September 1, 2024 and sell it today you would earn a total of 143.00 from holding Hangzhou Gaoxin Rubber or generate 15.23% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Suzhou Xingye Material vs. Hangzhou Gaoxin Rubber
Performance |
| Timeline |
| Suzhou Xingye Material |
| Hangzhou Gaoxin Rubber |
Suzhou Xingye and Hangzhou Gaoxin Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Suzhou Xingye and Hangzhou Gaoxin
The main advantage of trading using opposite Suzhou Xingye and Hangzhou Gaoxin positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Suzhou Xingye position performs unexpectedly, Hangzhou Gaoxin 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 Hangzhou Gaoxin will offset losses from the drop in Hangzhou Gaoxin's long position.| Suzhou Xingye vs. Zijin Mining Group | Suzhou Xingye vs. Wanhua Chemical Group | Suzhou Xingye vs. Baoshan Iron Steel | Suzhou Xingye vs. Shandong Gold Mining |
| Hangzhou Gaoxin vs. Shanghai Yanpu Metal | Hangzhou Gaoxin vs. Ningxia Younglight Chemicals | Hangzhou Gaoxin vs. Dymatic Chemicals | Hangzhou Gaoxin vs. CITIC Metal 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 CEOs Directory module to screen CEOs from public companies around the world.
Other Complementary Tools
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals |