Correlation Between Shanghai Rightongene and Xiamen Jihong
Specify exactly 2 symbols:
By analyzing existing cross correlation between Shanghai Rightongene Biotechnology and Xiamen Jihong Package, you can compare the effects of market volatilities on Shanghai Rightongene and Xiamen Jihong 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 Shanghai Rightongene with a short position of Xiamen Jihong. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shanghai Rightongene and Xiamen Jihong.
Diversification Opportunities for Shanghai Rightongene and Xiamen Jihong
0.78 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Shanghai and Xiamen is 0.78. Overlapping area represents the amount of risk that can be diversified away by holding Shanghai Rightongene Biotechno and Xiamen Jihong Package in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xiamen Jihong Package and Shanghai Rightongene 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 Shanghai Rightongene Biotechnology are associated (or correlated) with Xiamen Jihong. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xiamen Jihong Package has no effect on the direction of Shanghai Rightongene i.e., Shanghai Rightongene and Xiamen Jihong go up and down completely randomly.
Pair Corralation between Shanghai Rightongene and Xiamen Jihong
Assuming the 90 days trading horizon Shanghai Rightongene Biotechnology is expected to generate 0.84 times more return on investment than Xiamen Jihong. However, Shanghai Rightongene Biotechnology is 1.19 times less risky than Xiamen Jihong. It trades about 0.15 of its potential returns per unit of risk. Xiamen Jihong Package is currently generating about 0.04 per unit of risk. If you would invest 1,844 in Shanghai Rightongene Biotechnology on November 1, 2024 and sell it today you would earn a total of 115.00 from holding Shanghai Rightongene Biotechnology or generate 6.24% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Shanghai Rightongene Biotechno vs. Xiamen Jihong Package
Performance |
| Timeline |
| Shanghai Rightongene |
| Xiamen Jihong Package |
Shanghai Rightongene and Xiamen Jihong Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Shanghai Rightongene and Xiamen Jihong
The main advantage of trading using opposite Shanghai Rightongene and Xiamen Jihong positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shanghai Rightongene position performs unexpectedly, Xiamen Jihong 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 Xiamen Jihong will offset losses from the drop in Xiamen Jihong's long position.| Shanghai Rightongene vs. Advanced Technology Materials | Shanghai Rightongene vs. Harvest Fund Management | Shanghai Rightongene vs. Western Metal Materials | Shanghai Rightongene vs. Suzhou Xingye Material |
| Xiamen Jihong vs. Shanghai Rightongene Biotechnology | Xiamen Jihong vs. Wuhan Hvsen Biotechnology | Xiamen Jihong vs. China World Trade | Xiamen Jihong vs. Tibet Huayu Mining |
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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
Other Complementary Tools
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| 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 | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Money Managers Screen money managers from public funds and ETFs managed around the world |