Correlation Between Sinocelltech and Bank of China
Specify exactly 2 symbols:
By analyzing existing cross correlation between Sinocelltech Group and Bank of China, you can compare the effects of market volatilities on Sinocelltech and Bank of China 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 Sinocelltech with a short position of Bank of China. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sinocelltech and Bank of China.
Diversification Opportunities for Sinocelltech and Bank of China
0.29 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Sinocelltech and Bank is 0.29. Overlapping area represents the amount of risk that can be diversified away by holding Sinocelltech Group and Bank of China in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bank of China and Sinocelltech 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 Sinocelltech Group are associated (or correlated) with Bank of China. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bank of China has no effect on the direction of Sinocelltech i.e., Sinocelltech and Bank of China go up and down completely randomly.
Pair Corralation between Sinocelltech and Bank of China
Assuming the 90 days trading horizon Sinocelltech Group is expected to under-perform the Bank of China. In addition to that, Sinocelltech is 3.04 times more volatile than Bank of China. It trades about -0.02 of its total potential returns per unit of risk. Bank of China is currently generating about 0.02 per unit of volatility. If you would invest 500.00 in Bank of China on August 30, 2024 and sell it today you would earn a total of 4.00 from holding Bank of China or generate 0.8% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Sinocelltech Group vs. Bank of China
Performance |
| Timeline |
| Sinocelltech Group |
| Bank of China |
Sinocelltech and Bank of China Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Sinocelltech and Bank of China
The main advantage of trading using opposite Sinocelltech and Bank of China positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sinocelltech position performs unexpectedly, Bank of China 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 Bank of China will offset losses from the drop in Bank of China's long position.| Sinocelltech vs. Industrial and Commercial | Sinocelltech vs. Agricultural Bank of | Sinocelltech vs. China Construction Bank | Sinocelltech vs. Bank of China |
| Bank of China vs. Kuangda Technology Group | Bank of China vs. Olympic Circuit Technology | Bank of China vs. Western Superconducting Tech | Bank of China vs. Sinocelltech 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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
Other Complementary Tools
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Stocks Directory Find actively traded stocks across global markets | |
| Global Correlations Find global opportunities by holding instruments from different markets |