Correlation Between Shuhua Sports and Bosera CMSK
Specify exactly 2 symbols:
By analyzing existing cross correlation between Shuhua Sports Co and Bosera CMSK Industrial, you can compare the effects of market volatilities on Shuhua Sports and Bosera CMSK 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 Shuhua Sports with a short position of Bosera CMSK. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shuhua Sports and Bosera CMSK.
Diversification Opportunities for Shuhua Sports and Bosera CMSK
0.24 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Shuhua and Bosera is 0.24. Overlapping area represents the amount of risk that can be diversified away by holding Shuhua Sports Co and Bosera CMSK Industrial in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bosera CMSK Industrial and Shuhua Sports 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 Shuhua Sports Co are associated (or correlated) with Bosera CMSK. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bosera CMSK Industrial has no effect on the direction of Shuhua Sports i.e., Shuhua Sports and Bosera CMSK go up and down completely randomly.
Pair Corralation between Shuhua Sports and Bosera CMSK
Assuming the 90 days trading horizon Shuhua Sports Co is expected to under-perform the Bosera CMSK. In addition to that, Shuhua Sports is 3.63 times more volatile than Bosera CMSK Industrial. It trades about -0.02 of its total potential returns per unit of risk. Bosera CMSK Industrial is currently generating about 0.38 per unit of volatility. If you would invest 194.00 in Bosera CMSK Industrial on November 1, 2024 and sell it today you would earn a total of 30.00 from holding Bosera CMSK Industrial or generate 15.46% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Shuhua Sports Co vs. Bosera CMSK Industrial
Performance |
| Timeline |
| Shuhua Sports |
| Bosera CMSK Industrial |
Shuhua Sports and Bosera CMSK Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Shuhua Sports and Bosera CMSK
The main advantage of trading using opposite Shuhua Sports and Bosera CMSK positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shuhua Sports position performs unexpectedly, Bosera CMSK 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 Bosera CMSK will offset losses from the drop in Bosera CMSK's long position.| Shuhua Sports vs. Ming Yang Smart | Shuhua Sports vs. 159681 | Shuhua Sports vs. 159005 | Shuhua Sports vs. Loctek Ergonomic Technology |
| Bosera CMSK vs. Chengdu Xingrong Investment | Bosera CMSK vs. Maoming Petro Chemical Shihua | Bosera CMSK vs. Lier Chemical Co | Bosera CMSK vs. Beijing Mainstreets Investment |
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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Other Complementary Tools
| Stocks Directory Find actively traded stocks across global markets | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments |