Correlation Between GALENA MINING and CHINA EAST
Can any of the company-specific risk be diversified away by investing in both GALENA MINING and CHINA EAST 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 GALENA MINING and CHINA EAST into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between GALENA MINING LTD and CHINA EAST ED, you can compare the effects of market volatilities on GALENA MINING and CHINA EAST 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 GALENA MINING with a short position of CHINA EAST. Check out your portfolio center. Please also check ongoing floating volatility patterns of GALENA MINING and CHINA EAST.
Diversification Opportunities for GALENA MINING and CHINA EAST
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between GALENA and CHINA is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding GALENA MINING LTD and CHINA EAST ED in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CHINA EAST ED and GALENA MINING 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 GALENA MINING LTD are associated (or correlated) with CHINA EAST. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CHINA EAST ED has no effect on the direction of GALENA MINING i.e., GALENA MINING and CHINA EAST go up and down completely randomly.
Pair Corralation between GALENA MINING and CHINA EAST
If you would invest 30.00 in CHINA EAST ED on November 6, 2024 and sell it today you would earn a total of 0.00 from holding CHINA EAST ED or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
GALENA MINING LTD vs. CHINA EAST ED
Performance |
| Timeline |
| GALENA MINING LTD |
| CHINA EAST ED |
GALENA MINING and CHINA EAST Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GALENA MINING and CHINA EAST
The main advantage of trading using opposite GALENA MINING and CHINA EAST positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GALENA MINING position performs unexpectedly, CHINA EAST 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 CHINA EAST will offset losses from the drop in CHINA EAST's long position.| GALENA MINING vs. PLANT VEDA FOODS | GALENA MINING vs. COFCO Joycome Foods | GALENA MINING vs. Caseys General Stores | GALENA MINING vs. RETAIL FOOD GROUP |
| CHINA EAST vs. EPSILON HEALTHCARE LTD | CHINA EAST vs. MPH Health Care | CHINA EAST vs. Planet Fitness | CHINA EAST vs. National Health Investors |
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 Content Syndication module to quickly integrate customizable finance content to your own investment portal.
Other Complementary Tools
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Stocks Directory Find actively traded stocks across global markets | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals |