Correlation Between Generationome Properties and Ucommune International
Can any of the company-specific risk be diversified away by investing in both Generationome Properties and Ucommune International 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 Generationome Properties and Ucommune International into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Generationome Properties and Ucommune International, you can compare the effects of market volatilities on Generationome Properties and Ucommune International 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 Generationome Properties with a short position of Ucommune International. Check out your portfolio center. Please also check ongoing floating volatility patterns of Generationome Properties and Ucommune International.
Diversification Opportunities for Generationome Properties and Ucommune International
0.81 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Generationome and Ucommune is 0.81. Overlapping area represents the amount of risk that can be diversified away by holding Generationome Properties and Ucommune International in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ucommune International and Generationome Properties 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 Generationome Properties are associated (or correlated) with Ucommune International. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ucommune International has no effect on the direction of Generationome Properties i.e., Generationome Properties and Ucommune International go up and down completely randomly.
Pair Corralation between Generationome Properties and Ucommune International
Given the investment horizon of 90 days Generationome Properties is expected to under-perform the Ucommune International. In addition to that, Generationome Properties is 1.5 times more volatile than Ucommune International. It trades about -0.08 of its total potential returns per unit of risk. Ucommune International is currently generating about -0.1 per unit of volatility. If you would invest 129.00 in Ucommune International on August 27, 2024 and sell it today you would lose (6.00) from holding Ucommune International or give up 4.65% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Generationome Properties vs. Ucommune International
Performance |
| Timeline |
| Generationome Properties |
| Ucommune International |
Generationome Properties and Ucommune International Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Generationome Properties and Ucommune International
The main advantage of trading using opposite Generationome Properties and Ucommune International positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Generationome Properties position performs unexpectedly, Ucommune International 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 Ucommune International will offset losses from the drop in Ucommune International's long position.| Generationome Properties vs. One Liberty Properties | Generationome Properties vs. Modiv Inc | Generationome Properties vs. Armada Hflr Pr | Generationome Properties vs. Presidio Property Trust |
| Ucommune International vs. MDJM | Ucommune International vs. New Concept Energy | Ucommune International vs. Fangdd Network Group | Ucommune International vs. Avalon GloboCare Corp |
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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Other Complementary Tools
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. |