Correlation Between Sino Medical and Poly Real
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By analyzing existing cross correlation between Sino Medical Sciences and Poly Real Estate, you can compare the effects of market volatilities on Sino Medical and Poly Real 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 Sino Medical with a short position of Poly Real. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sino Medical and Poly Real.
Diversification Opportunities for Sino Medical and Poly Real
0.79 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Sino and Poly is 0.79. Overlapping area represents the amount of risk that can be diversified away by holding Sino Medical Sciences and Poly Real Estate in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Poly Real Estate and Sino Medical 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 Sino Medical Sciences are associated (or correlated) with Poly Real. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Poly Real Estate has no effect on the direction of Sino Medical i.e., Sino Medical and Poly Real go up and down completely randomly.
Pair Corralation between Sino Medical and Poly Real
Assuming the 90 days trading horizon Sino Medical Sciences is expected to generate 2.46 times more return on investment than Poly Real. However, Sino Medical is 2.46 times more volatile than Poly Real Estate. It trades about -0.01 of its potential returns per unit of risk. Poly Real Estate is currently generating about -0.21 per unit of risk. If you would invest 1,083 in Sino Medical Sciences on August 25, 2024 and sell it today you would lose (37.00) from holding Sino Medical Sciences or give up 3.42% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Sino Medical Sciences vs. Poly Real Estate
Performance |
| Timeline |
| Sino Medical Sciences |
| Poly Real Estate |
Sino Medical and Poly Real Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Sino Medical and Poly Real
The main advantage of trading using opposite Sino Medical and Poly Real positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sino Medical position performs unexpectedly, Poly Real 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 Poly Real will offset losses from the drop in Poly Real's long position.| Sino Medical vs. Bank of China | Sino Medical vs. Kweichow Moutai Co | Sino Medical vs. PetroChina Co Ltd | Sino Medical vs. Bank of Communications |
| Poly Real vs. Peoples Insurance of | Poly Real vs. Shandong Longquan Pipeline | Poly Real vs. Sino Medical Sciences | Poly Real vs. XinJiang GuoTong Pipeline |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
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