Correlation Between FSPG Hi and AVCON Information
Specify exactly 2 symbols:
By analyzing existing cross correlation between FSPG Hi Tech Co and AVCON Information Tech, you can compare the effects of market volatilities on FSPG Hi and AVCON Information 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 FSPG Hi with a short position of AVCON Information. Check out your portfolio center. Please also check ongoing floating volatility patterns of FSPG Hi and AVCON Information.
Diversification Opportunities for FSPG Hi and AVCON Information
0.81 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between FSPG and AVCON is 0.81. Overlapping area represents the amount of risk that can be diversified away by holding FSPG Hi Tech Co and AVCON Information Tech in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AVCON Information Tech and FSPG Hi 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 FSPG Hi Tech Co are associated (or correlated) with AVCON Information. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AVCON Information Tech has no effect on the direction of FSPG Hi i.e., FSPG Hi and AVCON Information go up and down completely randomly.
Pair Corralation between FSPG Hi and AVCON Information
Assuming the 90 days trading horizon FSPG Hi Tech Co is expected to generate 0.69 times more return on investment than AVCON Information. However, FSPG Hi Tech Co is 1.44 times less risky than AVCON Information. It trades about 0.05 of its potential returns per unit of risk. AVCON Information Tech is currently generating about 0.03 per unit of risk. If you would invest 429.00 in FSPG Hi Tech Co on September 20, 2024 and sell it today you would earn a total of 225.00 from holding FSPG Hi Tech Co or generate 52.45% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Strong |
Accuracy | 99.79% |
Values | Daily Returns |
FSPG Hi Tech Co vs. AVCON Information Tech
Performance |
Timeline |
FSPG Hi Tech |
AVCON Information Tech |
FSPG Hi and AVCON Information Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with FSPG Hi and AVCON Information
The main advantage of trading using opposite FSPG Hi and AVCON Information positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if FSPG Hi position performs unexpectedly, AVCON Information 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 AVCON Information will offset losses from the drop in AVCON Information's long position.FSPG Hi vs. Zijin Mining Group | FSPG Hi vs. Wanhua Chemical Group | FSPG Hi vs. Baoshan Iron Steel | FSPG Hi vs. Shandong Gold Mining |
AVCON Information vs. Industrial and Commercial | AVCON Information vs. China Construction Bank | AVCON Information vs. Bank of China | AVCON Information vs. Agricultural Bank of |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
Bonds Directory Find actively traded corporate debentures issued by US companies | |
My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon |