Correlation Between Oxurion NV and Zhejiang Expressway
Can any of the company-specific risk be diversified away by investing in both Oxurion NV and Zhejiang Expressway 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 Oxurion NV and Zhejiang Expressway into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oxurion NV and Zhejiang Expressway Co, you can compare the effects of market volatilities on Oxurion NV and Zhejiang Expressway 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 Oxurion NV with a short position of Zhejiang Expressway. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oxurion NV and Zhejiang Expressway.
Diversification Opportunities for Oxurion NV and Zhejiang Expressway
-0.59 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Oxurion and Zhejiang is -0.59. Overlapping area represents the amount of risk that can be diversified away by holding Oxurion NV and Zhejiang Expressway Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Zhejiang Expressway and Oxurion NV 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 Oxurion NV are associated (or correlated) with Zhejiang Expressway. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Zhejiang Expressway has no effect on the direction of Oxurion NV i.e., Oxurion NV and Zhejiang Expressway go up and down completely randomly.
Pair Corralation between Oxurion NV and Zhejiang Expressway
Assuming the 90 days horizon Oxurion NV is expected to generate 5.74 times more return on investment than Zhejiang Expressway. However, Oxurion NV is 5.74 times more volatile than Zhejiang Expressway Co. It trades about 0.06 of its potential returns per unit of risk. Zhejiang Expressway Co is currently generating about 0.06 per unit of risk. If you would invest 17,400 in Oxurion NV on August 28, 2024 and sell it today you would lose (17,372) from holding Oxurion NV or give up 99.84% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 96.83% |
| Values | Daily Returns |
Oxurion NV vs. Zhejiang Expressway Co
Performance |
| Timeline |
| Oxurion NV |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Zhejiang Expressway |
Oxurion NV and Zhejiang Expressway Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oxurion NV and Zhejiang Expressway
The main advantage of trading using opposite Oxurion NV and Zhejiang Expressway positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oxurion NV position performs unexpectedly, Zhejiang Expressway 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 Zhejiang Expressway will offset losses from the drop in Zhejiang Expressway's long position.| Oxurion NV vs. TITANIUM TRANSPORTGROUP | Oxurion NV vs. Broadcom | Oxurion NV vs. Nishi Nippon Railroad Co | Oxurion NV vs. COPLAND ROAD CAPITAL |
| Zhejiang Expressway vs. Apple Inc | Zhejiang Expressway vs. Apple Inc | Zhejiang Expressway vs. Apple Inc | Zhejiang Expressway vs. Apple 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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Other Complementary Tools
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios |