Correlation Between HOB Biotech and Zhejiang Kingland
Specify exactly 2 symbols:
By analyzing existing cross correlation between HOB Biotech Group and Zhejiang Kingland Pipeline, you can compare the effects of market volatilities on HOB Biotech and Zhejiang Kingland 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 HOB Biotech with a short position of Zhejiang Kingland. Check out your portfolio center. Please also check ongoing floating volatility patterns of HOB Biotech and Zhejiang Kingland.
Diversification Opportunities for HOB Biotech and Zhejiang Kingland
0.42 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between HOB and Zhejiang is 0.42. Overlapping area represents the amount of risk that can be diversified away by holding HOB Biotech Group and Zhejiang Kingland Pipeline in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Zhejiang Kingland and HOB Biotech 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 HOB Biotech Group are associated (or correlated) with Zhejiang Kingland. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Zhejiang Kingland has no effect on the direction of HOB Biotech i.e., HOB Biotech and Zhejiang Kingland go up and down completely randomly.
Pair Corralation between HOB Biotech and Zhejiang Kingland
Assuming the 90 days trading horizon HOB Biotech Group is expected to under-perform the Zhejiang Kingland. In addition to that, HOB Biotech is 4.16 times more volatile than Zhejiang Kingland Pipeline. It trades about -0.17 of its total potential returns per unit of risk. Zhejiang Kingland Pipeline is currently generating about -0.05 per unit of volatility. If you would invest 624.00 in Zhejiang Kingland Pipeline on September 19, 2024 and sell it today you would lose (12.00) from holding Zhejiang Kingland Pipeline or give up 1.92% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
HOB Biotech Group vs. Zhejiang Kingland Pipeline
Performance |
| Timeline |
| HOB Biotech Group |
| Zhejiang Kingland |
HOB Biotech and Zhejiang Kingland Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HOB Biotech and Zhejiang Kingland
The main advantage of trading using opposite HOB Biotech and Zhejiang Kingland positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HOB Biotech position performs unexpectedly, Zhejiang Kingland 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 Zhejiang Kingland will offset losses from the drop in Zhejiang Kingland's long position.| HOB Biotech vs. Industrial and Commercial | HOB Biotech vs. Kweichow Moutai Co | HOB Biotech vs. Agricultural Bank of | HOB Biotech vs. China Mobile Limited |
| Zhejiang Kingland vs. Jiangsu Zhongtian Technology | Zhejiang Kingland vs. Andon Health Co | Zhejiang Kingland vs. CITIC Securities Co | Zhejiang Kingland vs. Zoy Home Furnishing |
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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
Other Complementary Tools
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges |