Correlation Between Visa and Beijing SuperMap
Specify exactly 2 symbols:
By analyzing existing cross correlation between Visa Class A and Beijing SuperMap Software, you can compare the effects of market volatilities on Visa and Beijing SuperMap 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 Visa with a short position of Beijing SuperMap. Check out your portfolio center. Please also check ongoing floating volatility patterns of Visa and Beijing SuperMap.
Diversification Opportunities for Visa and Beijing SuperMap
0.52 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Visa and Beijing is 0.52. Overlapping area represents the amount of risk that can be diversified away by holding Visa Class A and Beijing SuperMap Software in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Beijing SuperMap Software and Visa 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 Visa Class A are associated (or correlated) with Beijing SuperMap. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Beijing SuperMap Software has no effect on the direction of Visa i.e., Visa and Beijing SuperMap go up and down completely randomly.
Pair Corralation between Visa and Beijing SuperMap
Taking into account the 90-day investment horizon Visa Class A is expected to generate 0.36 times more return on investment than Beijing SuperMap. However, Visa Class A is 2.78 times less risky than Beijing SuperMap. It trades about 0.34 of its potential returns per unit of risk. Beijing SuperMap Software is currently generating about -0.01 per unit of risk. If you would invest 29,018 in Visa Class A on September 2, 2024 and sell it today you would earn a total of 2,490 from holding Visa Class A or generate 8.58% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 95.45% |
| Values | Daily Returns |
Visa Class A vs. Beijing SuperMap Software
Performance |
| Timeline |
| Visa Class A |
| Beijing SuperMap Software |
Visa and Beijing SuperMap Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Visa and Beijing SuperMap
The main advantage of trading using opposite Visa and Beijing SuperMap positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Visa position performs unexpectedly, Beijing SuperMap 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 Beijing SuperMap will offset losses from the drop in Beijing SuperMap's long position.| Visa vs. American Express | Visa vs. PayPal Holdings | Visa vs. Capital One Financial | Visa vs. Upstart Holdings |
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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
Other Complementary Tools
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes |