Correlation Between BeiGene and Xilinmen Furniture
Specify exactly 2 symbols:
By analyzing existing cross correlation between BeiGene and Xilinmen Furniture Co, you can compare the effects of market volatilities on BeiGene and Xilinmen Furniture 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 BeiGene with a short position of Xilinmen Furniture. Check out your portfolio center. Please also check ongoing floating volatility patterns of BeiGene and Xilinmen Furniture.
Diversification Opportunities for BeiGene and Xilinmen Furniture
0.16 | Correlation Coefficient |
Average diversification
The 3 months correlation between BeiGene and Xilinmen is 0.16. Overlapping area represents the amount of risk that can be diversified away by holding BeiGene and Xilinmen Furniture Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Xilinmen Furniture and BeiGene 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 BeiGene are associated (or correlated) with Xilinmen Furniture. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Xilinmen Furniture has no effect on the direction of BeiGene i.e., BeiGene and Xilinmen Furniture go up and down completely randomly.
Pair Corralation between BeiGene and Xilinmen Furniture
Assuming the 90 days trading horizon BeiGene is expected to generate 1.52 times more return on investment than Xilinmen Furniture. However, BeiGene is 1.52 times more volatile than Xilinmen Furniture Co. It trades about 0.4 of its potential returns per unit of risk. Xilinmen Furniture Co is currently generating about 0.04 per unit of risk. If you would invest 15,935 in BeiGene on November 3, 2024 and sell it today you would earn a total of 3,134 from holding BeiGene or generate 19.67% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
BeiGene vs. Xilinmen Furniture Co
Performance |
| Timeline |
| BeiGene |
| Xilinmen Furniture |
BeiGene and Xilinmen Furniture Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BeiGene and Xilinmen Furniture
The main advantage of trading using opposite BeiGene and Xilinmen Furniture positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BeiGene position performs unexpectedly, Xilinmen Furniture 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 Xilinmen Furniture will offset losses from the drop in Xilinmen Furniture's long position.| BeiGene vs. Tsingtao Brewery Co | BeiGene vs. Beijing Yanjing Brewery | BeiGene vs. Dynagreen Environmental Protection | BeiGene vs. Chongqing Brewery Co |
| Xilinmen Furniture vs. Dymatic Chemicals | Xilinmen Furniture vs. Baoshan Iron Steel | Xilinmen Furniture vs. Hubei Xingfa Chemicals | Xilinmen Furniture vs. Qiaoyin Environmental Tech |
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 Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
Other Complementary Tools
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device |