Correlation Between GreenTech Environmental and China Minmetals
Specify exactly 2 symbols:
By analyzing existing cross correlation between GreenTech Environmental Co and China Minmetals Rare, you can compare the effects of market volatilities on GreenTech Environmental and China Minmetals 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 GreenTech Environmental with a short position of China Minmetals. Check out your portfolio center. Please also check ongoing floating volatility patterns of GreenTech Environmental and China Minmetals.
Diversification Opportunities for GreenTech Environmental and China Minmetals
0.87 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between GreenTech and China is 0.87. Overlapping area represents the amount of risk that can be diversified away by holding GreenTech Environmental Co and China Minmetals Rare in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China Minmetals Rare and GreenTech Environmental 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 GreenTech Environmental Co are associated (or correlated) with China Minmetals. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China Minmetals Rare has no effect on the direction of GreenTech Environmental i.e., GreenTech Environmental and China Minmetals go up and down completely randomly.
Pair Corralation between GreenTech Environmental and China Minmetals
Assuming the 90 days trading horizon GreenTech Environmental Co is expected to generate 1.67 times more return on investment than China Minmetals. However, GreenTech Environmental is 1.67 times more volatile than China Minmetals Rare. It trades about 0.19 of its potential returns per unit of risk. China Minmetals Rare is currently generating about -0.1 per unit of risk. If you would invest 1,320 in GreenTech Environmental Co on September 2, 2024 and sell it today you would earn a total of 276.00 from holding GreenTech Environmental Co or generate 20.91% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
GreenTech Environmental Co vs. China Minmetals Rare
Performance |
| Timeline |
| GreenTech Environmental |
| China Minmetals Rare |
GreenTech Environmental and China Minmetals Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GreenTech Environmental and China Minmetals
The main advantage of trading using opposite GreenTech Environmental and China Minmetals positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GreenTech Environmental position performs unexpectedly, China Minmetals 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 Minmetals will offset losses from the drop in China Minmetals' long position.| GreenTech Environmental vs. Lutian Machinery Co | GreenTech Environmental vs. China Longyuan Power | GreenTech Environmental vs. PetroChina Co Ltd | GreenTech Environmental vs. Bank of China |
| China Minmetals vs. Zijin Mining Group | China Minmetals vs. Wanhua Chemical Group | China Minmetals vs. Baoshan Iron Steel | China Minmetals vs. Shandong Gold Mining |
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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance |