Correlation Between Kronos Worldwide and Zijin Mining
Can any of the company-specific risk be diversified away by investing in both Kronos Worldwide and Zijin Mining 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 Kronos Worldwide and Zijin Mining into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kronos Worldwide and Zijin Mining Group, you can compare the effects of market volatilities on Kronos Worldwide and Zijin Mining 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 Kronos Worldwide with a short position of Zijin Mining. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kronos Worldwide and Zijin Mining.
Diversification Opportunities for Kronos Worldwide and Zijin Mining
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Kronos and Zijin is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Kronos Worldwide and Zijin Mining Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Zijin Mining Group and Kronos Worldwide 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 Kronos Worldwide are associated (or correlated) with Zijin Mining. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Zijin Mining Group has no effect on the direction of Kronos Worldwide i.e., Kronos Worldwide and Zijin Mining go up and down completely randomly.
Pair Corralation between Kronos Worldwide and Zijin Mining
If you would invest 97.00 in Zijin Mining Group on December 2, 2024 and sell it today you would earn a total of 78.00 from holding Zijin Mining Group or generate 80.41% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.2% |
| Values | Daily Returns |
Kronos Worldwide vs. Zijin Mining Group
Performance |
| Timeline |
| Kronos Worldwide |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
| Zijin Mining Group |
Kronos Worldwide and Zijin Mining Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kronos Worldwide and Zijin Mining
The main advantage of trading using opposite Kronos Worldwide and Zijin Mining positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kronos Worldwide position performs unexpectedly, Zijin Mining 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 Zijin Mining will offset losses from the drop in Zijin Mining's long position.| Kronos Worldwide vs. Dairy Farm International | Kronos Worldwide vs. Penta Ocean Construction Co | Kronos Worldwide vs. FIH MOBILE | Kronos Worldwide vs. Sumitomo Mitsui Construction |
| Zijin Mining vs. PLANT VEDA FOODS | Zijin Mining vs. GWILLI FOOD | Zijin Mining vs. US Foods Holding | Zijin Mining vs. SMA Solar Technology |
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 Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
Other Complementary Tools
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing |