Correlation Between Capri Holdings and Sinomach General
Specify exactly 2 symbols:
By analyzing existing cross correlation between Capri Holdings and Sinomach General Machinery, you can compare the effects of market volatilities on Capri Holdings and Sinomach General 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 Capri Holdings with a short position of Sinomach General. Check out your portfolio center. Please also check ongoing floating volatility patterns of Capri Holdings and Sinomach General.
Diversification Opportunities for Capri Holdings and Sinomach General
-0.7 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Capri and Sinomach is -0.7. Overlapping area represents the amount of risk that can be diversified away by holding Capri Holdings and Sinomach General Machinery in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sinomach General Mac and Capri Holdings 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 Capri Holdings are associated (or correlated) with Sinomach General. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sinomach General Mac has no effect on the direction of Capri Holdings i.e., Capri Holdings and Sinomach General go up and down completely randomly.
Pair Corralation between Capri Holdings and Sinomach General
Given the investment horizon of 90 days Capri Holdings is expected to under-perform the Sinomach General. In addition to that, Capri Holdings is 1.24 times more volatile than Sinomach General Machinery. It trades about -0.06 of its total potential returns per unit of risk. Sinomach General Machinery is currently generating about 0.07 per unit of volatility. If you would invest 1,194 in Sinomach General Machinery on September 1, 2024 and sell it today you would earn a total of 465.00 from holding Sinomach General Machinery or generate 38.94% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 96.28% |
| Values | Daily Returns |
Capri Holdings vs. Sinomach General Machinery
Performance |
| Timeline |
| Capri Holdings |
| Sinomach General Mac |
Capri Holdings and Sinomach General Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Capri Holdings and Sinomach General
The main advantage of trading using opposite Capri Holdings and Sinomach General positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Capri Holdings position performs unexpectedly, Sinomach General 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 Sinomach General will offset losses from the drop in Sinomach General's long position.| Capri Holdings vs. Movado Group | Capri Holdings vs. Signet Jewelers | Capri Holdings vs. Lanvin Group Holdings | Capri Holdings vs. TheRealReal |
| Sinomach General vs. Everjoy Health Group | Sinomach General vs. FSPG Hi Tech Co | Sinomach General vs. Sichuan Jinshi Technology | Sinomach General vs. Guangdong Shenglu Telecommunication |
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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Other Complementary Tools
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity |