Pair Correlation Between Fossil and Vipshop Holdings

This module allows you to analyze existing cross correlation between Fossil Group Inc and Vipshop Holdings Limited. You can compare the effects of market volatilities on Fossil and Vipshop Holdings 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 Fossil with a short position of Vipshop Holdings. See also your portfolio center. Please also check ongoing floating volatility patterns of Fossil and Vipshop Holdings.
Investment Horizon     30 Days    Login   to change
Symbolsvs
 Fossil Group Inc  vs   Vipshop Holdings Limited
 Performance (%) 
      Timeline 

Pair Volatility

Given the investment horizon of 30 days, Fossil Group Inc is expected to generate 0.51 times more return on investment than Vipshop Holdings. However, Fossil Group Inc is 1.97 times less risky than Vipshop Holdings. It trades about 0.08 of its potential returns per unit of risk. Vipshop Holdings Limited is currently generating about 0.02 per unit of risk. If you would invest  888  in Fossil Group Inc on September 22, 2017 and sell it today you would earn a total of  33  from holding Fossil Group Inc or generate 3.72% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Fossil and Vipshop Holdings
0.58

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthWeak
Accuracy3.92%
ValuesDaily Returns

Diversification

Very weak diversification

Overlapping area represents the amount of risk that can be diversified away by holding Fossil Group Inc and Vipshop Holdings Limited in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Vipshop Holdings Limited and Fossil 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 Fossil Group Inc are associated (or correlated) with Vipshop Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Vipshop Holdings Limited has no effect on the direction of Fossil i.e. Fossil and Vipshop Holdings go up and down completely randomly.

Comparative Volatility

 Predicted Return Density 
      Returns 

Fossil Group Inc

  
5 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Fossil Group Inc are ranked lower than 5 (%) of all global equities and portfolios over the last 30 days.

Vipshop Holdings Limited

  
1 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Vipshop Holdings Limited are ranked lower than 1 (%) of all global equities and portfolios over the last 30 days.