Correlation Between Niutech Environment and Kuangda Technology
Specify exactly 2 symbols:
By analyzing existing cross correlation between Niutech Environment Technology and Kuangda Technology Group, you can compare the effects of market volatilities on Niutech Environment and Kuangda Technology 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 Niutech Environment with a short position of Kuangda Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Niutech Environment and Kuangda Technology.
Diversification Opportunities for Niutech Environment and Kuangda Technology
0.96 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Niutech and Kuangda is 0.96. Overlapping area represents the amount of risk that can be diversified away by holding Niutech Environment Technology and Kuangda Technology Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kuangda Technology and Niutech Environment 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 Niutech Environment Technology are associated (or correlated) with Kuangda Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kuangda Technology has no effect on the direction of Niutech Environment i.e., Niutech Environment and Kuangda Technology go up and down completely randomly.
Pair Corralation between Niutech Environment and Kuangda Technology
Assuming the 90 days trading horizon Niutech Environment is expected to generate 19.55 times less return on investment than Kuangda Technology. In addition to that, Niutech Environment is 1.11 times more volatile than Kuangda Technology Group. It trades about 0.0 of its total potential returns per unit of risk. Kuangda Technology Group is currently generating about 0.05 per unit of volatility. If you would invest 459.00 in Kuangda Technology Group on September 3, 2024 and sell it today you would earn a total of 70.00 from holding Kuangda Technology Group or generate 15.25% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Niutech Environment Technology vs. Kuangda Technology Group
Performance |
| Timeline |
| Niutech Environment |
| Kuangda Technology |
Niutech Environment and Kuangda Technology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Niutech Environment and Kuangda Technology
The main advantage of trading using opposite Niutech Environment and Kuangda Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Niutech Environment position performs unexpectedly, Kuangda Technology 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 Kuangda Technology will offset losses from the drop in Kuangda Technology's long position.| Niutech Environment vs. Cultural Investment Holdings | Niutech Environment vs. Gome Telecom Equipment | Niutech Environment vs. Bus Online Co | Niutech Environment vs. Holitech Technology Co |
| Kuangda Technology vs. PetroChina Co Ltd | Kuangda Technology vs. China Mobile Limited | Kuangda Technology vs. Industrial and Commercial | Kuangda Technology vs. China Life Insurance |
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 Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.
Other Complementary Tools
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Stocks Directory Find actively traded stocks across global markets | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |