Correlation Between JIAHUA STORES and Nexstar Media
Can any of the company-specific risk be diversified away by investing in both JIAHUA STORES and Nexstar Media at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining JIAHUA STORES and Nexstar Media into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between JIAHUA STORES and Nexstar Media Group, you can compare the effects of market volatilities on JIAHUA STORES and Nexstar Media 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 JIAHUA STORES with a short position of Nexstar Media. Check out your portfolio center. Please also check ongoing floating volatility patterns of JIAHUA STORES and Nexstar Media.
Diversification Opportunities for JIAHUA STORES and Nexstar Media
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between JIAHUA and Nexstar is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding JIAHUA STORES and Nexstar Media Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nexstar Media Group and JIAHUA STORES 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 JIAHUA STORES are associated (or correlated) with Nexstar Media. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nexstar Media Group has no effect on the direction of JIAHUA STORES i.e., JIAHUA STORES and Nexstar Media go up and down completely randomly.
Pair Corralation between JIAHUA STORES and Nexstar Media
If you would invest 1.90 in JIAHUA STORES on October 21, 2024 and sell it today you would earn a total of 0.00 from holding JIAHUA STORES or generate 0.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Flat |
Strength | Insignificant |
Accuracy | 94.12% |
Values | Daily Returns |
JIAHUA STORES vs. Nexstar Media Group
Performance |
Timeline |
JIAHUA STORES |
Nexstar Media Group |
JIAHUA STORES and Nexstar Media Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with JIAHUA STORES and Nexstar Media
The main advantage of trading using opposite JIAHUA STORES and Nexstar Media positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if JIAHUA STORES position performs unexpectedly, Nexstar Media 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 Nexstar Media will offset losses from the drop in Nexstar Media's long position.JIAHUA STORES vs. Altair Engineering | JIAHUA STORES vs. Delta Air Lines | JIAHUA STORES vs. Alaska Air Group | JIAHUA STORES vs. PRECISION DRILLING P |
Nexstar Media vs. BOSTON BEER A | Nexstar Media vs. Commercial Vehicle Group | Nexstar Media vs. CITY OFFICE REIT | Nexstar Media vs. NURAN WIRELESS INC |
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 Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Other Complementary Tools
Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
Money Managers Screen money managers from public funds and ETFs managed around the world | |
Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk |