Correlation Between Goodwill E and Tongling Nonferrous
Specify exactly 2 symbols:
By analyzing existing cross correlation between Goodwill E Health and Tongling Nonferrous Metals, you can compare the effects of market volatilities on Goodwill E and Tongling Nonferrous 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 Goodwill E with a short position of Tongling Nonferrous. Check out your portfolio center. Please also check ongoing floating volatility patterns of Goodwill E and Tongling Nonferrous.
Diversification Opportunities for Goodwill E and Tongling Nonferrous
0.65 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Goodwill and Tongling is 0.65. Overlapping area represents the amount of risk that can be diversified away by holding Goodwill E Health and Tongling Nonferrous Metals in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Tongling Nonferrous and Goodwill E 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 Goodwill E Health are associated (or correlated) with Tongling Nonferrous. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Tongling Nonferrous has no effect on the direction of Goodwill E i.e., Goodwill E and Tongling Nonferrous go up and down completely randomly.
Pair Corralation between Goodwill E and Tongling Nonferrous
Assuming the 90 days trading horizon Goodwill E Health is expected to under-perform the Tongling Nonferrous. In addition to that, Goodwill E is 3.42 times more volatile than Tongling Nonferrous Metals. It trades about -0.03 of its total potential returns per unit of risk. Tongling Nonferrous Metals is currently generating about 0.06 per unit of volatility. If you would invest 323.00 in Tongling Nonferrous Metals on November 1, 2024 and sell it today you would earn a total of 4.00 from holding Tongling Nonferrous Metals or generate 1.24% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Goodwill E Health vs. Tongling Nonferrous Metals
Performance |
| Timeline |
| Goodwill E Health |
| Tongling Nonferrous |
Goodwill E and Tongling Nonferrous Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Goodwill E and Tongling Nonferrous
The main advantage of trading using opposite Goodwill E and Tongling Nonferrous positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Goodwill E position performs unexpectedly, Tongling Nonferrous 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 Tongling Nonferrous will offset losses from the drop in Tongling Nonferrous' long position.| Goodwill E vs. Ligao Foods CoLtd | Goodwill E vs. Jinhui Liquor Co | Goodwill E vs. Jiugui Liquor Co | Goodwill E vs. Anji Foodstuff Co |
| Tongling Nonferrous vs. Jinhui Liquor Co | Tongling Nonferrous vs. Zotye Automobile Co | Tongling Nonferrous vs. Ningbo Fangzheng Automobile | Tongling Nonferrous vs. Haima Automobile Group |
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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
Other Complementary Tools
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| 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 | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years |