Correlation Between Oriental Culture and Jeffs Brands
Can any of the company-specific risk be diversified away by investing in both Oriental Culture and Jeffs Brands 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 Oriental Culture and Jeffs Brands into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oriental Culture Holding and Jeffs Brands, you can compare the effects of market volatilities on Oriental Culture and Jeffs Brands 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 Oriental Culture with a short position of Jeffs Brands. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oriental Culture and Jeffs Brands.
Diversification Opportunities for Oriental Culture and Jeffs Brands
0.1 | Correlation Coefficient |
Average diversification
The 3 months correlation between Oriental and Jeffs is 0.1. Overlapping area represents the amount of risk that can be diversified away by holding Oriental Culture Holding and Jeffs Brands in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jeffs Brands and Oriental Culture 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 Oriental Culture Holding are associated (or correlated) with Jeffs Brands. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jeffs Brands has no effect on the direction of Oriental Culture i.e., Oriental Culture and Jeffs Brands go up and down completely randomly.
Pair Corralation between Oriental Culture and Jeffs Brands
Considering the 90-day investment horizon Oriental Culture Holding is expected to under-perform the Jeffs Brands. But the stock apears to be less risky and, when comparing its historical volatility, Oriental Culture Holding is 30.72 times less risky than Jeffs Brands. The stock trades about -0.06 of its potential returns per unit of risk. The Jeffs Brands is currently generating about 0.22 of returns per unit of risk over similar time horizon. If you would invest 29.00 in Jeffs Brands on August 24, 2024 and sell it today you would earn a total of 279.00 from holding Jeffs Brands or generate 962.07% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Oriental Culture Holding vs. Jeffs Brands
Performance |
| Timeline |
| Oriental Culture Holding |
| Jeffs Brands |
Oriental Culture and Jeffs Brands Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oriental Culture and Jeffs Brands
The main advantage of trading using opposite Oriental Culture and Jeffs Brands positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oriental Culture position performs unexpectedly, Jeffs Brands 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 Jeffs Brands will offset losses from the drop in Jeffs Brands' long position.| Oriental Culture vs. Hour Loop | Oriental Culture vs. Jowell Global | Oriental Culture vs. Qurate Retail Series | Oriental Culture vs. Emerge Commerce |
| Jeffs Brands vs. Hour Loop | Jeffs Brands vs. Kidpik Corp | Jeffs Brands vs. MOGU Inc | Jeffs Brands vs. Jowell Global |
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
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios |