Correlation Between Threes Company and Xinxiang Chemical
Specify exactly 2 symbols:
By analyzing existing cross correlation between Threes Company Media and Xinxiang Chemical Fiber, you can compare the effects of market volatilities on Threes Company and Xinxiang Chemical 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 Threes Company with a short position of Xinxiang Chemical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Threes Company and Xinxiang Chemical.
Diversification Opportunities for Threes Company and Xinxiang Chemical
0.72 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Threes and Xinxiang is 0.72. Overlapping area represents the amount of risk that can be diversified away by holding Threes Company Media and Xinxiang Chemical Fiber in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xinxiang Chemical Fiber and Threes Company 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 Threes Company Media are associated (or correlated) with Xinxiang Chemical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xinxiang Chemical Fiber has no effect on the direction of Threes Company i.e., Threes Company and Xinxiang Chemical go up and down completely randomly.
Pair Corralation between Threes Company and Xinxiang Chemical
Assuming the 90 days trading horizon Threes Company Media is expected to under-perform the Xinxiang Chemical. In addition to that, Threes Company is 1.04 times more volatile than Xinxiang Chemical Fiber. It trades about -0.33 of its total potential returns per unit of risk. Xinxiang Chemical Fiber is currently generating about -0.2 per unit of volatility. If you would invest 458.00 in Xinxiang Chemical Fiber on October 11, 2024 and sell it today you would lose (73.00) from holding Xinxiang Chemical Fiber or give up 15.94% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Threes Company Media vs. Xinxiang Chemical Fiber
Performance |
| Timeline |
| Threes Company |
| Xinxiang Chemical Fiber |
Threes Company and Xinxiang Chemical Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Threes Company and Xinxiang Chemical
The main advantage of trading using opposite Threes Company and Xinxiang Chemical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Threes Company position performs unexpectedly, Xinxiang Chemical 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 Xinxiang Chemical will offset losses from the drop in Xinxiang Chemical's long position.| Threes Company vs. XinJiang GuoTong Pipeline | Threes Company vs. Quectel Wireless Solutions | Threes Company vs. Aier Eye Hospital | Threes Company vs. Nanjing Putian Telecommunications |
| Xinxiang Chemical vs. Threes Company Media | Xinxiang Chemical vs. Hengdian Entertainment Co | Xinxiang Chemical vs. China Publishing Media | Xinxiang Chemical vs. Yingde Greatchem Chemicals |
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
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume |