Correlation Between Eastroc Beverage and Zoy Home
Specify exactly 2 symbols:
By analyzing existing cross correlation between Eastroc Beverage Group and Zoy Home Furnishing, you can compare the effects of market volatilities on Eastroc Beverage and Zoy Home 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 Eastroc Beverage with a short position of Zoy Home. Check out your portfolio center. Please also check ongoing floating volatility patterns of Eastroc Beverage and Zoy Home.
Diversification Opportunities for Eastroc Beverage and Zoy Home
0.2 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Eastroc and Zoy is 0.2. Overlapping area represents the amount of risk that can be diversified away by holding Eastroc Beverage Group and Zoy Home Furnishing in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Zoy Home Furnishing and Eastroc Beverage 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 Eastroc Beverage Group are associated (or correlated) with Zoy Home. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Zoy Home Furnishing has no effect on the direction of Eastroc Beverage i.e., Eastroc Beverage and Zoy Home go up and down completely randomly.
Pair Corralation between Eastroc Beverage and Zoy Home
Assuming the 90 days trading horizon Eastroc Beverage Group is expected to generate 0.36 times more return on investment than Zoy Home. However, Eastroc Beverage Group is 2.8 times less risky than Zoy Home. It trades about 0.31 of its potential returns per unit of risk. Zoy Home Furnishing is currently generating about -0.21 per unit of risk. If you would invest 25,127 in Eastroc Beverage Group on October 14, 2024 and sell it today you would earn a total of 2,569 from holding Eastroc Beverage Group or generate 10.22% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Eastroc Beverage Group vs. Zoy Home Furnishing
Performance |
| Timeline |
| Eastroc Beverage |
| Zoy Home Furnishing |
Eastroc Beverage and Zoy Home Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Eastroc Beverage and Zoy Home
The main advantage of trading using opposite Eastroc Beverage and Zoy Home positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Eastroc Beverage position performs unexpectedly, Zoy Home 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 Zoy Home will offset losses from the drop in Zoy Home's long position.| Eastroc Beverage vs. Emdoor Information Co | Eastroc Beverage vs. Qiming Information Technology | Eastroc Beverage vs. AVCON Information Tech | Eastroc Beverage vs. Zhongfu Information |
| Zoy Home vs. Jiajia Food Group | Zoy Home vs. Wuhan Yangtze Communication | Zoy Home vs. Zhongyin Babi Food | Zoy Home vs. Telling Telecommunication Holding |
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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Other Complementary Tools
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories |