Correlation Between Sino Land and Coeur Mining
Can any of the company-specific risk be diversified away by investing in both Sino Land and Coeur 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 Sino Land and Coeur Mining into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Sino Land and Coeur Mining, you can compare the effects of market volatilities on Sino Land and Coeur 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 Sino Land with a short position of Coeur Mining. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sino Land and Coeur Mining.
Diversification Opportunities for Sino Land and Coeur Mining
-0.42 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Sino and Coeur is -0.42. Overlapping area represents the amount of risk that can be diversified away by holding Sino Land and Coeur Mining in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Coeur Mining and Sino Land 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 Sino Land are associated (or correlated) with Coeur Mining. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Coeur Mining has no effect on the direction of Sino Land i.e., Sino Land and Coeur Mining go up and down completely randomly.
Pair Corralation between Sino Land and Coeur Mining
Assuming the 90 days horizon Sino Land is expected to generate 1.41 times more return on investment than Coeur Mining. However, Sino Land is 1.41 times more volatile than Coeur Mining. It trades about 0.04 of its potential returns per unit of risk. Coeur Mining is currently generating about 0.05 per unit of risk. If you would invest 92.00 in Sino Land on August 28, 2024 and sell it today you would earn a total of 1.00 from holding Sino Land or generate 1.09% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Sino Land vs. Coeur Mining
Performance |
| Timeline |
| Sino Land |
| Coeur Mining |
Sino Land and Coeur Mining Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Sino Land and Coeur Mining
The main advantage of trading using opposite Sino Land and Coeur Mining positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sino Land position performs unexpectedly, Coeur 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 Coeur Mining will offset losses from the drop in Coeur Mining's long position.| Sino Land vs. Lendlease Group | Sino Land vs. KENEDIX OFFICE INV | Sino Land vs. 24SEVENOFFICE GROUP AB | Sino Land vs. VARIOUS EATERIES LS |
| Coeur Mining vs. Superior Plus Corp | Coeur Mining vs. NMI Holdings | Coeur Mining vs. Origin Agritech | Coeur Mining vs. SIVERS SEMICONDUCTORS AB |
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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
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