Correlation Between Xinya Electronic and Ningxia Building
Specify exactly 2 symbols:
By analyzing existing cross correlation between Xinya Electronic Co and Ningxia Building Materials, you can compare the effects of market volatilities on Xinya Electronic and Ningxia Building 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 Xinya Electronic with a short position of Ningxia Building. Check out your portfolio center. Please also check ongoing floating volatility patterns of Xinya Electronic and Ningxia Building.
Diversification Opportunities for Xinya Electronic and Ningxia Building
0.43 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Xinya and Ningxia is 0.43. Overlapping area represents the amount of risk that can be diversified away by holding Xinya Electronic Co and Ningxia Building Materials in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ningxia Building Mat and Xinya Electronic 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 Xinya Electronic Co are associated (or correlated) with Ningxia Building. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ningxia Building Mat has no effect on the direction of Xinya Electronic i.e., Xinya Electronic and Ningxia Building go up and down completely randomly.
Pair Corralation between Xinya Electronic and Ningxia Building
Assuming the 90 days trading horizon Xinya Electronic Co is expected to generate 1.09 times more return on investment than Ningxia Building. However, Xinya Electronic is 1.09 times more volatile than Ningxia Building Materials. It trades about 0.04 of its potential returns per unit of risk. Ningxia Building Materials is currently generating about 0.0 per unit of risk. If you would invest 1,098 in Xinya Electronic Co on October 16, 2024 and sell it today you would earn a total of 342.00 from holding Xinya Electronic Co or generate 31.15% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Xinya Electronic Co vs. Ningxia Building Materials
Performance |
| Timeline |
| Xinya Electronic |
| Ningxia Building Mat |
Xinya Electronic and Ningxia Building Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Xinya Electronic and Ningxia Building
The main advantage of trading using opposite Xinya Electronic and Ningxia Building positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Xinya Electronic position performs unexpectedly, Ningxia Building 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 Ningxia Building will offset losses from the drop in Ningxia Building's long position.| Xinya Electronic vs. Shandong Iron and | Xinya Electronic vs. Sino Platinum Metals Co | Xinya Electronic vs. Eit Environmental Development | Xinya Electronic vs. Shenzhen MYS Environmental |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Stocks Directory Find actively traded stocks across global markets | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios |