Correlation Between Beijing Roborock and Shenzhen Worldunion
Specify exactly 2 symbols:
By analyzing existing cross correlation between Beijing Roborock Technology and Shenzhen Worldunion Properties, you can compare the effects of market volatilities on Beijing Roborock and Shenzhen Worldunion 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 Beijing Roborock with a short position of Shenzhen Worldunion. Check out your portfolio center. Please also check ongoing floating volatility patterns of Beijing Roborock and Shenzhen Worldunion.
Diversification Opportunities for Beijing Roborock and Shenzhen Worldunion
-0.09 | Correlation Coefficient |
Good diversification
The 3 months correlation between Beijing and Shenzhen is -0.09. Overlapping area represents the amount of risk that can be diversified away by holding Beijing Roborock Technology and Shenzhen Worldunion Properties in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shenzhen Worldunion and Beijing Roborock 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 Beijing Roborock Technology are associated (or correlated) with Shenzhen Worldunion. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shenzhen Worldunion has no effect on the direction of Beijing Roborock i.e., Beijing Roborock and Shenzhen Worldunion go up and down completely randomly.
Pair Corralation between Beijing Roborock and Shenzhen Worldunion
Assuming the 90 days trading horizon Beijing Roborock Technology is expected to under-perform the Shenzhen Worldunion. But the stock apears to be less risky and, when comparing its historical volatility, Beijing Roborock Technology is 1.06 times less risky than Shenzhen Worldunion. The stock trades about 0.0 of its potential returns per unit of risk. The Shenzhen Worldunion Properties is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 268.00 in Shenzhen Worldunion Properties on September 2, 2024 and sell it today you would earn a total of 47.00 from holding Shenzhen Worldunion Properties or generate 17.54% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Beijing Roborock Technology vs. Shenzhen Worldunion Properties
Performance |
| Timeline |
| Beijing Roborock Tec |
| Shenzhen Worldunion |
Beijing Roborock and Shenzhen Worldunion Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Beijing Roborock and Shenzhen Worldunion
The main advantage of trading using opposite Beijing Roborock and Shenzhen Worldunion positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Beijing Roborock position performs unexpectedly, Shenzhen Worldunion 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 Shenzhen Worldunion will offset losses from the drop in Shenzhen Worldunion's long position.The idea behind Beijing Roborock Technology and Shenzhen Worldunion Properties pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
| Shenzhen Worldunion vs. Easyhome New Retail | Shenzhen Worldunion vs. Hubei Geoway Investment | Shenzhen Worldunion vs. Guangzhou Seagull Kitchen | Shenzhen Worldunion vs. China World Trade |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Other Complementary Tools
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance |