Correlation Between NYSE Composite and Uxin
Can any of the company-specific risk be diversified away by investing in both NYSE Composite and Uxin 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 NYSE Composite and Uxin into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between NYSE Composite and Uxin, you can compare the effects of market volatilities on NYSE Composite and Uxin 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 NYSE Composite with a short position of Uxin. Check out your portfolio center. Please also check ongoing floating volatility patterns of NYSE Composite and Uxin.
Diversification Opportunities for NYSE Composite and Uxin
0.69 | Correlation Coefficient |
Poor diversification
The 3 months correlation between NYSE and Uxin is 0.69. Overlapping area represents the amount of risk that can be diversified away by holding NYSE Composite and Uxin in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Uxin and NYSE Composite 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 NYSE Composite are associated (or correlated) with Uxin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Uxin has no effect on the direction of NYSE Composite i.e., NYSE Composite and Uxin go up and down completely randomly.
Pair Corralation between NYSE Composite and Uxin
Assuming the 90 days trading horizon NYSE Composite is expected to generate 0.08 times more return on investment than Uxin. However, NYSE Composite is 12.32 times less risky than Uxin. It trades about 0.11 of its potential returns per unit of risk. Uxin is currently generating about -0.01 per unit of risk. If you would invest 1,550,264 in NYSE Composite on August 31, 2024 and sell it today you would earn a total of 476,940 from holding NYSE Composite or generate 30.77% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
NYSE Composite vs. Uxin
Performance |
| Timeline |
NYSE Composite and Uxin Volatility Contrast
Predicted Return Density |
| Returns |
NYSE Composite
Pair trading matchups for NYSE Composite
Uxin
Pair trading matchups for Uxin
Pair Trading with NYSE Composite and Uxin
The main advantage of trading using opposite NYSE Composite and Uxin positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if NYSE Composite position performs unexpectedly, Uxin 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 Uxin will offset losses from the drop in Uxin's long position.| NYSE Composite vs. Nextplat Corp | NYSE Composite vs. Qualys Inc | NYSE Composite vs. Cadence Design Systems | NYSE Composite vs. Asure Software |
| Uxin vs. Kingsway Financial Services | Uxin vs. KAR Auction Services | Uxin vs. Cango Inc | Uxin vs. Vroom 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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Other Complementary Tools
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Bonds Directory Find actively traded corporate debentures issued by US companies |