Correlation Between Pintec Technology and Carlyle
Can any of the company-specific risk be diversified away by investing in both Pintec Technology and Carlyle 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 Carlyle 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 Carlyle Group, you can compare the effects of market volatilities on Pintec Technology and Carlyle 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 Carlyle. Check out your portfolio center. Please also check ongoing floating volatility patterns of Pintec Technology and Carlyle.
Diversification Opportunities for Pintec Technology and Carlyle
0.11 | Correlation Coefficient |
Average diversification
The 3 months correlation between Pintec and Carlyle is 0.11. Overlapping area represents the amount of risk that can be diversified away by holding Pintec Technology Holdings and Carlyle Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Carlyle Group 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 Carlyle. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Carlyle Group has no effect on the direction of Pintec Technology i.e., Pintec Technology and Carlyle go up and down completely randomly.
Pair Corralation between Pintec Technology and Carlyle
Allowing for the 90-day total investment horizon Pintec Technology Holdings is expected to generate 1.2 times more return on investment than Carlyle. However, Pintec Technology is 1.2 times more volatile than Carlyle Group. It trades about 0.16 of its potential returns per unit of risk. Carlyle Group is currently generating about -0.16 per unit of risk. If you would invest 100.00 in Pintec Technology Holdings on November 18, 2024 and sell it today you would earn a total of 7.00 from holding Pintec Technology Holdings or generate 7.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Pintec Technology Holdings vs. Carlyle Group
Performance |
| Timeline |
| Pintec Technology |
| Carlyle Group |
Pintec Technology and Carlyle Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Pintec Technology and Carlyle
The main advantage of trading using opposite Pintec Technology and Carlyle positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Pintec Technology position performs unexpectedly, Carlyle 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 Carlyle will offset losses from the drop in Carlyle's long position.| Pintec Technology vs. Senmiao Technology | Pintec Technology vs. X Financial Class | Pintec Technology vs. Yirendai | Pintec Technology vs. Qudian Inc |
| Carlyle vs. Horizon Space Acquisition | Carlyle vs. Erayak Power Solution | Carlyle vs. AlphaTime Acquisition Corp | Carlyle vs. Israel Acquisitions Corp |
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 Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios |