Correlation Between CHINA TONTINE and NAKED WINES
Can any of the company-specific risk be diversified away by investing in both CHINA TONTINE and NAKED WINES 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 CHINA TONTINE and NAKED WINES into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between CHINA TONTINE WINES and NAKED WINES PLC, you can compare the effects of market volatilities on CHINA TONTINE and NAKED WINES 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 CHINA TONTINE with a short position of NAKED WINES. Check out your portfolio center. Please also check ongoing floating volatility patterns of CHINA TONTINE and NAKED WINES.
Diversification Opportunities for CHINA TONTINE and NAKED WINES
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between CHINA and NAKED is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding CHINA TONTINE WINES and NAKED WINES PLC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on NAKED WINES PLC and CHINA TONTINE 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 CHINA TONTINE WINES are associated (or correlated) with NAKED WINES. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of NAKED WINES PLC has no effect on the direction of CHINA TONTINE i.e., CHINA TONTINE and NAKED WINES go up and down completely randomly.
Pair Corralation between CHINA TONTINE and NAKED WINES
If you would invest 7.00 in CHINA TONTINE WINES on August 17, 2025 and sell it today you would earn a total of 0.00 from holding CHINA TONTINE WINES or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
CHINA TONTINE WINES vs. NAKED WINES PLC
Performance |
| Timeline |
| CHINA TONTINE WINES |
| NAKED WINES PLC |
CHINA TONTINE and NAKED WINES Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CHINA TONTINE and NAKED WINES
The main advantage of trading using opposite CHINA TONTINE and NAKED WINES positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CHINA TONTINE position performs unexpectedly, NAKED WINES 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 NAKED WINES will offset losses from the drop in NAKED WINES's long position.| CHINA TONTINE vs. Universal Health Realty | CHINA TONTINE vs. CeoTronics AG | CHINA TONTINE vs. Garofalo Health Care | CHINA TONTINE vs. CVS Health |
| NAKED WINES vs. DALATA HOTEL | NAKED WINES vs. Scandic Hotels Group | NAKED WINES vs. Meli Hotels International | NAKED WINES vs. Ebro Foods SA |
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 Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |