Correlation Between G Bits and Kangping Technology
Specify exactly 2 symbols:
By analyzing existing cross correlation between G bits Network Technology and Kangping Technology Co, you can compare the effects of market volatilities on G Bits and Kangping Technology 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 G Bits with a short position of Kangping Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of G Bits and Kangping Technology.
Diversification Opportunities for G Bits and Kangping Technology
0.24 | Correlation Coefficient |
Modest diversification
The 3 months correlation between 603444 and Kangping is 0.24. Overlapping area represents the amount of risk that can be diversified away by holding G bits Network Technology and Kangping Technology Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kangping Technology and G Bits 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 G bits Network Technology are associated (or correlated) with Kangping Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kangping Technology has no effect on the direction of G Bits i.e., G Bits and Kangping Technology go up and down completely randomly.
Pair Corralation between G Bits and Kangping Technology
Assuming the 90 days trading horizon G Bits is expected to generate 2.67 times less return on investment than Kangping Technology. But when comparing it to its historical volatility, G bits Network Technology is 1.06 times less risky than Kangping Technology. It trades about 0.04 of its potential returns per unit of risk. Kangping Technology Co is currently generating about 0.11 of returns per unit of risk over similar time horizon. If you would invest 1,770 in Kangping Technology Co on September 26, 2024 and sell it today you would earn a total of 400.00 from holding Kangping Technology Co or generate 22.6% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Very Weak |
Accuracy | 100.0% |
Values | Daily Returns |
G bits Network Technology vs. Kangping Technology Co
Performance |
Timeline |
G bits Network |
Kangping Technology |
G Bits and Kangping Technology Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with G Bits and Kangping Technology
The main advantage of trading using opposite G Bits and Kangping Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if G Bits position performs unexpectedly, Kangping Technology 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 Kangping Technology will offset losses from the drop in Kangping Technology's long position.G Bits vs. Shengda Mining Co | G Bits vs. Tianjin Pengling Rubber | G Bits vs. Tibet Huayu Mining | G Bits vs. Jiangxi Naipu Mining |
Kangping Technology vs. Kweichow Moutai Co | Kangping Technology vs. Contemporary Amperex Technology | Kangping Technology vs. G bits Network Technology | Kangping Technology vs. BYD Co Ltd |
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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.
Other Complementary Tools
Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope |