Correlation Between Tianjin Silvery and Shenzhen United
Specify exactly 2 symbols:
By analyzing existing cross correlation between Tianjin Silvery Dragon and Shenzhen United Winners, you can compare the effects of market volatilities on Tianjin Silvery and Shenzhen United 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 Tianjin Silvery with a short position of Shenzhen United. Check out your portfolio center. Please also check ongoing floating volatility patterns of Tianjin Silvery and Shenzhen United.
Diversification Opportunities for Tianjin Silvery and Shenzhen United
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Tianjin and Shenzhen is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding Tianjin Silvery Dragon and Shenzhen United Winners in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shenzhen United Winners and Tianjin Silvery 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 Tianjin Silvery Dragon are associated (or correlated) with Shenzhen United. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shenzhen United Winners has no effect on the direction of Tianjin Silvery i.e., Tianjin Silvery and Shenzhen United go up and down completely randomly.
Pair Corralation between Tianjin Silvery and Shenzhen United
Assuming the 90 days trading horizon Tianjin Silvery Dragon is expected to generate 1.66 times more return on investment than Shenzhen United. However, Tianjin Silvery is 1.66 times more volatile than Shenzhen United Winners. It trades about 0.15 of its potential returns per unit of risk. Shenzhen United Winners is currently generating about -0.53 per unit of risk. If you would invest 609.00 in Tianjin Silvery Dragon on October 3, 2024 and sell it today you would earn a total of 67.00 from holding Tianjin Silvery Dragon or generate 11.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Significant |
Accuracy | 100.0% |
Values | Daily Returns |
Tianjin Silvery Dragon vs. Shenzhen United Winners
Performance |
Timeline |
Tianjin Silvery Dragon |
Shenzhen United Winners |
Tianjin Silvery and Shenzhen United Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Tianjin Silvery and Shenzhen United
The main advantage of trading using opposite Tianjin Silvery and Shenzhen United positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Tianjin Silvery position performs unexpectedly, Shenzhen United 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 Shenzhen United will offset losses from the drop in Shenzhen United's long position.Tianjin Silvery vs. Guilin Seamild Foods | Tianjin Silvery vs. Juneyao Airlines | Tianjin Silvery vs. Suzhou Weizhixiang Food | Tianjin Silvery vs. XinJiang GuoTong Pipeline |
Shenzhen United vs. Kweichow Moutai Co | Shenzhen United vs. NAURA Technology Group | Shenzhen United vs. Zhejiang Orient Gene | Shenzhen United vs. APT Medical |
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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.
Other Complementary Tools
Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
Money Managers Screen money managers from public funds and ETFs managed around the world | |
Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules |