Correlation Between Fujian Anjoy and Nanjing Putian
Specify exactly 2 symbols:
By analyzing existing cross correlation between Fujian Anjoy Foods and Nanjing Putian Telecommunications, you can compare the effects of market volatilities on Fujian Anjoy and Nanjing Putian 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 Fujian Anjoy with a short position of Nanjing Putian. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fujian Anjoy and Nanjing Putian.
Diversification Opportunities for Fujian Anjoy and Nanjing Putian
0.56 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Fujian and Nanjing is 0.56. Overlapping area represents the amount of risk that can be diversified away by holding Fujian Anjoy Foods and Nanjing Putian Telecommunicati in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nanjing Putian Telec and Fujian Anjoy 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 Fujian Anjoy Foods are associated (or correlated) with Nanjing Putian. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nanjing Putian Telec has no effect on the direction of Fujian Anjoy i.e., Fujian Anjoy and Nanjing Putian go up and down completely randomly.
Pair Corralation between Fujian Anjoy and Nanjing Putian
Assuming the 90 days trading horizon Fujian Anjoy is expected to generate 2.97 times less return on investment than Nanjing Putian. But when comparing it to its historical volatility, Fujian Anjoy Foods is 1.28 times less risky than Nanjing Putian. It trades about 0.14 of its potential returns per unit of risk. Nanjing Putian Telecommunications is currently generating about 0.33 of returns per unit of risk over similar time horizon. If you would invest 192.00 in Nanjing Putian Telecommunications on September 13, 2024 and sell it today you would earn a total of 244.00 from holding Nanjing Putian Telecommunications or generate 127.08% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Weak |
Accuracy | 100.0% |
Values | Daily Returns |
Fujian Anjoy Foods vs. Nanjing Putian Telecommunicati
Performance |
Timeline |
Fujian Anjoy Foods |
Nanjing Putian Telec |
Fujian Anjoy and Nanjing Putian Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Fujian Anjoy and Nanjing Putian
The main advantage of trading using opposite Fujian Anjoy and Nanjing Putian positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fujian Anjoy position performs unexpectedly, Nanjing Putian 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 Nanjing Putian will offset losses from the drop in Nanjing Putian's long position.Fujian Anjoy vs. Nanjing Putian Telecommunications | Fujian Anjoy vs. Tianjin Realty Development | Fujian Anjoy vs. Kangyue Technology Co | Fujian Anjoy vs. Shenzhen Hifuture Electric |
Nanjing Putian vs. Industrial and Commercial | Nanjing Putian vs. China Construction Bank | Nanjing Putian vs. Bank of China | Nanjing Putian 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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
CEOs Directory Screen CEOs from public companies around the world | |
Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments |