Correlation Between Elbit Imaging and Fangdd Network
Can any of the company-specific risk be diversified away by investing in both Elbit Imaging and Fangdd Network at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Elbit Imaging and Fangdd Network into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Elbit Imaging and Fangdd Network Group, you can compare the effects of market volatilities on Elbit Imaging and Fangdd Network 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 Elbit Imaging with a short position of Fangdd Network. Check out your portfolio center. Please also check ongoing floating volatility patterns of Elbit Imaging and Fangdd Network.
Diversification Opportunities for Elbit Imaging and Fangdd Network
0.27 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Elbit and Fangdd is 0.27. Overlapping area represents the amount of risk that can be diversified away by holding Elbit Imaging and Fangdd Network Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Fangdd Network Group and Elbit Imaging 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 Elbit Imaging are associated (or correlated) with Fangdd Network. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Fangdd Network Group has no effect on the direction of Elbit Imaging i.e., Elbit Imaging and Fangdd Network go up and down completely randomly.
Pair Corralation between Elbit Imaging and Fangdd Network
If you would invest 55.00 in Fangdd Network Group on February 28, 2024 and sell it today you would earn a total of 50.00 from holding Fangdd Network Group or generate 90.91% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Very Weak |
Accuracy | 1.56% |
Values | Daily Returns |
Elbit Imaging vs. Fangdd Network Group
Performance |
Timeline |
Elbit Imaging |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Fangdd Network Group |
Elbit Imaging and Fangdd Network Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Elbit Imaging and Fangdd Network
The main advantage of trading using opposite Elbit Imaging and Fangdd Network positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Elbit Imaging position performs unexpectedly, Fangdd Network 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 Fangdd Network will offset losses from the drop in Fangdd Network's long position.Elbit Imaging vs. Edwards Lifesciences Corp | Elbit Imaging vs. Medtronic PLC | Elbit Imaging vs. Abbott Laboratories | Elbit Imaging vs. Boston Scientific Corp |
Fangdd Network vs. MDJM | Fangdd Network vs. Southcorp Capital | Fangdd Network vs. Frp Holdings Ord | Fangdd Network vs. Ucommune International |
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 Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.
Other Complementary Tools
Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
Bonds Directory Find actively traded corporate debentures issued by US companies | |
Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |