Correlation Between Clean Energy and CHINA TONTINE
Can any of the company-specific risk be diversified away by investing in both Clean Energy and CHINA TONTINE 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 Clean Energy and CHINA TONTINE into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Clean Energy Fuels and CHINA TONTINE WINES, you can compare the effects of market volatilities on Clean Energy and CHINA TONTINE 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 Clean Energy with a short position of CHINA TONTINE. Check out your portfolio center. Please also check ongoing floating volatility patterns of Clean Energy and CHINA TONTINE.
Diversification Opportunities for Clean Energy and CHINA TONTINE
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Clean and CHINA is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Clean Energy Fuels and CHINA TONTINE WINES in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CHINA TONTINE WINES and Clean Energy 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 Clean Energy Fuels are associated (or correlated) with CHINA TONTINE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CHINA TONTINE WINES has no effect on the direction of Clean Energy i.e., Clean Energy and CHINA TONTINE go up and down completely randomly.
Pair Corralation between Clean Energy and CHINA TONTINE
If you would invest 322.00 in Clean Energy Fuels on September 4, 2024 and sell it today you would lose (31.00) from holding Clean Energy Fuels or give up 9.63% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 99.6% |
| Values | Daily Returns |
Clean Energy Fuels vs. CHINA TONTINE WINES
Performance |
| Timeline |
| Clean Energy Fuels |
| CHINA TONTINE WINES |
Clean Energy and CHINA TONTINE Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Clean Energy and CHINA TONTINE
The main advantage of trading using opposite Clean Energy and CHINA TONTINE positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Clean Energy position performs unexpectedly, CHINA TONTINE 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 CHINA TONTINE will offset losses from the drop in CHINA TONTINE's long position.| Clean Energy vs. Marathon Petroleum Corp | Clean Energy vs. Neste Oyj | Clean Energy vs. ENEOS Holdings | Clean Energy vs. PTT OILRETBUS FOR BA10 |
| CHINA TONTINE vs. Data3 Limited | CHINA TONTINE vs. DATAGROUP SE | CHINA TONTINE vs. Clean Energy Fuels | CHINA TONTINE vs. GALENA MINING LTD |
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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Other Complementary Tools
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum |