Correlation Between Risesun Real and Bohai Leasing
Specify exactly 2 symbols:
By analyzing existing cross correlation between Risesun Real Estate and Bohai Leasing Co, you can compare the effects of market volatilities on Risesun Real and Bohai Leasing 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 Risesun Real with a short position of Bohai Leasing. Check out your portfolio center. Please also check ongoing floating volatility patterns of Risesun Real and Bohai Leasing.
Diversification Opportunities for Risesun Real and Bohai Leasing
0.91 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Risesun and Bohai is 0.91. Overlapping area represents the amount of risk that can be diversified away by holding Risesun Real Estate and Bohai Leasing Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bohai Leasing and Risesun Real 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 Risesun Real Estate are associated (or correlated) with Bohai Leasing. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bohai Leasing has no effect on the direction of Risesun Real i.e., Risesun Real and Bohai Leasing go up and down completely randomly.
Pair Corralation between Risesun Real and Bohai Leasing
Assuming the 90 days trading horizon Risesun Real is expected to generate 2.11 times less return on investment than Bohai Leasing. In addition to that, Risesun Real is 1.42 times more volatile than Bohai Leasing Co. It trades about 0.02 of its total potential returns per unit of risk. Bohai Leasing Co is currently generating about 0.07 per unit of volatility. If you would invest 215.00 in Bohai Leasing Co on September 30, 2024 and sell it today you would earn a total of 179.00 from holding Bohai Leasing Co or generate 83.26% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Very Strong |
Accuracy | 100.0% |
Values | Daily Returns |
Risesun Real Estate vs. Bohai Leasing Co
Performance |
Timeline |
Risesun Real Estate |
Bohai Leasing |
Risesun Real and Bohai Leasing Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Risesun Real and Bohai Leasing
The main advantage of trading using opposite Risesun Real and Bohai Leasing positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Risesun Real position performs unexpectedly, Bohai Leasing 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 Bohai Leasing will offset losses from the drop in Bohai Leasing's long position.Risesun Real vs. PetroChina Co Ltd | Risesun Real vs. China Mobile Limited | Risesun Real vs. CNOOC Limited | Risesun Real vs. Ping An Insurance |
Bohai Leasing vs. Wuhan Hvsen Biotechnology | Bohai Leasing vs. Beijing Mainstreets Investment | Bohai Leasing vs. Cultural Investment Holdings | Bohai Leasing vs. Liaoning Chengda Biotechnology |
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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |