Correlation Between Touchstone International and Guangzhou Boji
Specify exactly 2 symbols:
By analyzing existing cross correlation between Touchstone International Medical and Guangzhou Boji Medical, you can compare the effects of market volatilities on Touchstone International and Guangzhou Boji 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 Touchstone International with a short position of Guangzhou Boji. Check out your portfolio center. Please also check ongoing floating volatility patterns of Touchstone International and Guangzhou Boji.
Diversification Opportunities for Touchstone International and Guangzhou Boji
0.97 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Touchstone and Guangzhou is 0.97. Overlapping area represents the amount of risk that can be diversified away by holding Touchstone International Medic and Guangzhou Boji Medical in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Guangzhou Boji Medical and Touchstone International 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 Touchstone International Medical are associated (or correlated) with Guangzhou Boji. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Guangzhou Boji Medical has no effect on the direction of Touchstone International i.e., Touchstone International and Guangzhou Boji go up and down completely randomly.
Pair Corralation between Touchstone International and Guangzhou Boji
Assuming the 90 days trading horizon Touchstone International Medical is expected to generate 0.84 times more return on investment than Guangzhou Boji. However, Touchstone International Medical is 1.19 times less risky than Guangzhou Boji. It trades about 0.0 of its potential returns per unit of risk. Guangzhou Boji Medical is currently generating about -0.14 per unit of risk. If you would invest 1,932 in Touchstone International Medical on August 28, 2024 and sell it today you would lose (15.00) from holding Touchstone International Medical or give up 0.78% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Touchstone International Medic vs. Guangzhou Boji Medical
Performance |
| Timeline |
| Touchstone International |
| Guangzhou Boji Medical |
Touchstone International and Guangzhou Boji Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Touchstone International and Guangzhou Boji
The main advantage of trading using opposite Touchstone International and Guangzhou Boji positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Touchstone International position performs unexpectedly, Guangzhou Boji 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 Guangzhou Boji will offset losses from the drop in Guangzhou Boji's long position.| Touchstone International vs. Bank of China | Touchstone International vs. Kweichow Moutai Co | Touchstone International vs. PetroChina Co Ltd | Touchstone International vs. Bank of Communications |
| Guangzhou Boji vs. Ming Yang Smart | Guangzhou Boji vs. 159681 | Guangzhou Boji vs. 159005 | Guangzhou Boji vs. Loctek Ergonomic Technology |
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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Other Complementary Tools
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges |