Correlation Between Pintec Technology and Artisan Partners
Can any of the company-specific risk be diversified away by investing in both Pintec Technology and Artisan Partners 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 Pintec Technology and Artisan Partners into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Pintec Technology Holdings and Artisan Partners Asset, you can compare the effects of market volatilities on Pintec Technology and Artisan Partners 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 Pintec Technology with a short position of Artisan Partners. Check out your portfolio center. Please also check ongoing floating volatility patterns of Pintec Technology and Artisan Partners.
Diversification Opportunities for Pintec Technology and Artisan Partners
-0.58 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Pintec and Artisan is -0.58. Overlapping area represents the amount of risk that can be diversified away by holding Pintec Technology Holdings and Artisan Partners Asset in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Artisan Partners Asset and Pintec Technology 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 Pintec Technology Holdings are associated (or correlated) with Artisan Partners. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Artisan Partners Asset has no effect on the direction of Pintec Technology i.e., Pintec Technology and Artisan Partners go up and down completely randomly.
Pair Corralation between Pintec Technology and Artisan Partners
Allowing for the 90-day total investment horizon Pintec Technology is expected to generate 1.76 times less return on investment than Artisan Partners. In addition to that, Pintec Technology is 1.7 times more volatile than Artisan Partners Asset. It trades about 0.02 of its total potential returns per unit of risk. Artisan Partners Asset is currently generating about 0.06 per unit of volatility. If you would invest 3,535 in Artisan Partners Asset on August 28, 2024 and sell it today you would earn a total of 1,259 from holding Artisan Partners Asset or generate 35.62% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 99.72% |
| Values | Daily Returns |
Pintec Technology Holdings vs. Artisan Partners Asset
Performance |
| Timeline |
| Pintec Technology |
| Artisan Partners Asset |
Pintec Technology and Artisan Partners Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Pintec Technology and Artisan Partners
The main advantage of trading using opposite Pintec Technology and Artisan Partners positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Pintec Technology position performs unexpectedly, Artisan Partners 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 Artisan Partners will offset losses from the drop in Artisan Partners' long position.| Pintec Technology vs. Senmiao Technology | Pintec Technology vs. X Financial Class | Pintec Technology vs. Yirendai | Pintec Technology vs. Qudian Inc |
| Artisan Partners vs. Federated Premier Municipal | Artisan Partners vs. Blackrock Muniyield | Artisan Partners vs. Diamond Hill Investment | Artisan Partners vs. NXG NextGen Infrastructure |
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 Bonds Directory module to find actively traded corporate debentures issued by US companies.
Other Complementary Tools
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments |