Correlation Between Hyster-Yale Materials and Sinotruk (Hong
Can any of the company-specific risk be diversified away by investing in both Hyster-Yale Materials and Sinotruk (Hong 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 Hyster-Yale Materials and Sinotruk (Hong into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Hyster Yale Materials Handling and Sinotruk Limited, you can compare the effects of market volatilities on Hyster-Yale Materials and Sinotruk (Hong 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 Hyster-Yale Materials with a short position of Sinotruk (Hong. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hyster-Yale Materials and Sinotruk (Hong.
Diversification Opportunities for Hyster-Yale Materials and Sinotruk (Hong
0.24 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Hyster-Yale and Sinotruk is 0.24. Overlapping area represents the amount of risk that can be diversified away by holding Hyster Yale Materials Handling and Sinotruk Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sinotruk Limited and Hyster-Yale Materials 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 Hyster Yale Materials Handling are associated (or correlated) with Sinotruk (Hong. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sinotruk Limited has no effect on the direction of Hyster-Yale Materials i.e., Hyster-Yale Materials and Sinotruk (Hong go up and down completely randomly.
Pair Corralation between Hyster-Yale Materials and Sinotruk (Hong
Assuming the 90 days trading horizon Hyster Yale Materials Handling is expected to under-perform the Sinotruk (Hong. In addition to that, Hyster-Yale Materials is 1.37 times more volatile than Sinotruk Limited. It trades about -0.17 of its total potential returns per unit of risk. Sinotruk Limited is currently generating about 0.12 per unit of volatility. If you would invest 254.00 in Sinotruk Limited on August 25, 2024 and sell it today you would earn a total of 18.00 from holding Sinotruk Limited or generate 7.09% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hyster Yale Materials Handling vs. Sinotruk Limited
Performance |
| Timeline |
| Hyster Yale Materials |
| Sinotruk Limited |
Hyster-Yale Materials and Sinotruk (Hong Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hyster-Yale Materials and Sinotruk (Hong
The main advantage of trading using opposite Hyster-Yale Materials and Sinotruk (Hong positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hyster-Yale Materials position performs unexpectedly, Sinotruk (Hong 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 Sinotruk (Hong will offset losses from the drop in Sinotruk (Hong's long position.| Hyster-Yale Materials vs. KION Group AG | Hyster-Yale Materials vs. Sinotruk Limited | Hyster-Yale Materials vs. Superior Plus Corp | Hyster-Yale Materials vs. NMI Holdings |
| Sinotruk (Hong vs. CN MODERN DAIRY | Sinotruk (Hong vs. Unity Software | Sinotruk (Hong vs. CONAGRA FOODS | Sinotruk (Hong vs. Check Point Software |
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 Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
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