Correlation Between Kingdee International and ANTA Sports
Can any of the company-specific risk be diversified away by investing in both Kingdee International and ANTA Sports 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 Kingdee International and ANTA Sports into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kingdee International Software and ANTA Sports Products, you can compare the effects of market volatilities on Kingdee International and ANTA Sports 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 Kingdee International with a short position of ANTA Sports. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kingdee International and ANTA Sports.
Diversification Opportunities for Kingdee International and ANTA Sports
0.31 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Kingdee and ANTA is 0.31. Overlapping area represents the amount of risk that can be diversified away by holding Kingdee International Software and ANTA Sports Products in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ANTA Sports Products and Kingdee International 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 Kingdee International Software are associated (or correlated) with ANTA Sports. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ANTA Sports Products has no effect on the direction of Kingdee International i.e., Kingdee International and ANTA Sports go up and down completely randomly.
Pair Corralation between Kingdee International and ANTA Sports
Assuming the 90 days horizon Kingdee International Software is expected to under-perform the ANTA Sports. But the pink sheet apears to be less risky and, when comparing its historical volatility, Kingdee International Software is 1.05 times less risky than ANTA Sports. The pink sheet trades about -0.21 of its potential returns per unit of risk. The ANTA Sports Products is currently generating about -0.04 of returns per unit of risk over similar time horizon. If you would invest 27,758 in ANTA Sports Products on August 30, 2025 and sell it today you would lose (545.00) from holding ANTA Sports Products or give up 1.96% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kingdee International Software vs. ANTA Sports Products
Performance |
| Timeline |
| Kingdee International |
| ANTA Sports Products |
Kingdee International and ANTA Sports Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kingdee International and ANTA Sports
The main advantage of trading using opposite Kingdee International and ANTA Sports positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kingdee International position performs unexpectedly, ANTA Sports 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 ANTA Sports will offset losses from the drop in ANTA Sports' long position.| Kingdee International vs. SAP SE ADR | Kingdee International vs. Salesforce | Kingdee International vs. Shopify | Kingdee International vs. Intuit Inc |
| ANTA Sports vs. Oriental Land Co | ANTA Sports vs. Oriental Land Co | ANTA Sports vs. ANTA Sports Products | ANTA Sports vs. Carnival Plc ADS |
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 Transaction History module to view history of all your transactions and understand their impact on performance.
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