Correlation Between Jiangsu Pacific and HengFeng Information
Specify exactly 2 symbols:
By analyzing existing cross correlation between Jiangsu Pacific Quartz and HengFeng Information Technology, you can compare the effects of market volatilities on Jiangsu Pacific and HengFeng 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 Jiangsu Pacific with a short position of HengFeng Information. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jiangsu Pacific and HengFeng Information.
Diversification Opportunities for Jiangsu Pacific and HengFeng Information
0.88 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Jiangsu and HengFeng is 0.88. Overlapping area represents the amount of risk that can be diversified away by holding Jiangsu Pacific Quartz and HengFeng Information Technolog in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on HengFeng Information and Jiangsu Pacific 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 Jiangsu Pacific Quartz are associated (or correlated) with HengFeng Information. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HengFeng Information has no effect on the direction of Jiangsu Pacific i.e., Jiangsu Pacific and HengFeng Information go up and down completely randomly.
Pair Corralation between Jiangsu Pacific and HengFeng Information
Assuming the 90 days trading horizon Jiangsu Pacific Quartz is expected to generate 0.46 times more return on investment than HengFeng Information. However, Jiangsu Pacific Quartz is 2.16 times less risky than HengFeng Information. It trades about -0.01 of its potential returns per unit of risk. HengFeng Information Technology is currently generating about -0.02 per unit of risk. If you would invest 2,917 in Jiangsu Pacific Quartz on September 25, 2024 and sell it today you would lose (16.00) from holding Jiangsu Pacific Quartz or give up 0.55% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Strong |
Accuracy | 100.0% |
Values | Daily Returns |
Jiangsu Pacific Quartz vs. HengFeng Information Technolog
Performance |
Timeline |
Jiangsu Pacific Quartz |
HengFeng Information |
Jiangsu Pacific and HengFeng Information Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Jiangsu Pacific and HengFeng Information
The main advantage of trading using opposite Jiangsu Pacific and HengFeng Information positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jiangsu Pacific position performs unexpectedly, HengFeng 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 HengFeng Information will offset losses from the drop in HengFeng Information's long position.Jiangsu Pacific vs. Ming Yang Smart | Jiangsu Pacific vs. 159681 | Jiangsu Pacific vs. 159005 | Jiangsu Pacific vs. Loctek Ergonomic Technology |
HengFeng Information vs. Kweichow Moutai Co | HengFeng Information vs. Shenzhen Mindray Bio Medical | HengFeng Information vs. Jiangsu Pacific Quartz | HengFeng Information vs. G bits Network Technology |
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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
Other Complementary Tools
Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
Equity Valuation Check real value of public entities based on technical and fundamental data |