Correlation Between Shenzhen Fortune and Chengdu B
Specify exactly 2 symbols:
By analyzing existing cross correlation between Shenzhen Fortune Trend and Chengdu B ray Media, you can compare the effects of market volatilities on Shenzhen Fortune and Chengdu B 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 Shenzhen Fortune with a short position of Chengdu B. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shenzhen Fortune and Chengdu B.
Diversification Opportunities for Shenzhen Fortune and Chengdu B
0.94 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Shenzhen and Chengdu is 0.94. Overlapping area represents the amount of risk that can be diversified away by holding Shenzhen Fortune Trend and Chengdu B ray Media in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Chengdu B ray and Shenzhen Fortune 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 Shenzhen Fortune Trend are associated (or correlated) with Chengdu B. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Chengdu B ray has no effect on the direction of Shenzhen Fortune i.e., Shenzhen Fortune and Chengdu B go up and down completely randomly.
Pair Corralation between Shenzhen Fortune and Chengdu B
Assuming the 90 days trading horizon Shenzhen Fortune Trend is expected to generate 2.14 times more return on investment than Chengdu B. However, Shenzhen Fortune is 2.14 times more volatile than Chengdu B ray Media. It trades about 0.13 of its potential returns per unit of risk. Chengdu B ray Media is currently generating about 0.09 per unit of risk. If you would invest 15,280 in Shenzhen Fortune Trend on September 1, 2024 and sell it today you would earn a total of 2,343 from holding Shenzhen Fortune Trend or generate 15.33% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 95.65% |
| Values | Daily Returns |
Shenzhen Fortune Trend vs. Chengdu B ray Media
Performance |
| Timeline |
| Shenzhen Fortune Trend |
| Chengdu B ray |
Shenzhen Fortune and Chengdu B Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Shenzhen Fortune and Chengdu B
The main advantage of trading using opposite Shenzhen Fortune and Chengdu B positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shenzhen Fortune position performs unexpectedly, Chengdu B 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 Chengdu B will offset losses from the drop in Chengdu B's long position.| Shenzhen Fortune vs. Ming Yang Smart | Shenzhen Fortune vs. 159681 | Shenzhen Fortune vs. 159005 | Shenzhen Fortune vs. Loctek Ergonomic Technology |
| Chengdu B vs. Cambricon Technologies Corp | Chengdu B vs. Loongson Technology Corp | Chengdu B vs. Shenzhen Fortune Trend | Chengdu B vs. Chongqing Road Bridge |
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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Fundamental Analysis View fundamental data based on most recent published financial statements |