Correlation Between GRINM Semiconductor and China Securities
Specify exactly 2 symbols:
By analyzing existing cross correlation between GRINM Semiconductor Materials and China Securities 800, you can compare the effects of market volatilities on GRINM Semiconductor and China Securities 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 GRINM Semiconductor with a short position of China Securities. Check out your portfolio center. Please also check ongoing floating volatility patterns of GRINM Semiconductor and China Securities.
Diversification Opportunities for GRINM Semiconductor and China Securities
0.98 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between GRINM and China is 0.98. Overlapping area represents the amount of risk that can be diversified away by holding GRINM Semiconductor Materials and China Securities 800 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China Securities 800 and GRINM Semiconductor 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 GRINM Semiconductor Materials are associated (or correlated) with China Securities. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China Securities 800 has no effect on the direction of GRINM Semiconductor i.e., GRINM Semiconductor and China Securities go up and down completely randomly.
Pair Corralation between GRINM Semiconductor and China Securities
Assuming the 90 days trading horizon GRINM Semiconductor Materials is expected to generate 2.53 times more return on investment than China Securities. However, GRINM Semiconductor is 2.53 times more volatile than China Securities 800. It trades about 0.01 of its potential returns per unit of risk. China Securities 800 is currently generating about 0.01 per unit of risk. If you would invest 1,345 in GRINM Semiconductor Materials on September 12, 2024 and sell it today you would lose (105.00) from holding GRINM Semiconductor Materials or give up 7.81% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
GRINM Semiconductor Materials vs. China Securities 800
Performance |
| Timeline |
GRINM Semiconductor and China Securities Volatility Contrast
Predicted Return Density |
| Returns |
GRINM Semiconductor Materials
Pair trading matchups for GRINM Semiconductor
China Securities 800
Pair trading matchups for China Securities
Pair Trading with GRINM Semiconductor and China Securities
The main advantage of trading using opposite GRINM Semiconductor and China Securities positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GRINM Semiconductor position performs unexpectedly, China Securities 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 China Securities will offset losses from the drop in China Securities' long position.| GRINM Semiconductor vs. Gansu Jiu Steel | GRINM Semiconductor vs. Shandong Mining Machinery | GRINM Semiconductor vs. Aba Chemicals Corp | GRINM Semiconductor vs. BlueFocus Communication Group |
| China Securities vs. Ningxia Building Materials | China Securities vs. Western Metal Materials | China Securities vs. Ningbo Bohui Chemical | China Securities vs. Hengerda New Materials |
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 Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.
Other Complementary Tools
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Transaction History View history of all your transactions and understand their impact on performance |