Correlation Between 36Kr Holdings and TuanChe ADR
Can any of the company-specific risk be diversified away by investing in both 36Kr Holdings and TuanChe ADR 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 36Kr Holdings and TuanChe ADR into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between 36Kr Holdings and TuanChe ADR, you can compare the effects of market volatilities on 36Kr Holdings and TuanChe ADR 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 36Kr Holdings with a short position of TuanChe ADR. Check out your portfolio center. Please also check ongoing floating volatility patterns of 36Kr Holdings and TuanChe ADR.
Diversification Opportunities for 36Kr Holdings and TuanChe ADR
0.61 | Correlation Coefficient |
Poor diversification
The 3 months correlation between 36Kr and TuanChe is 0.61. Overlapping area represents the amount of risk that can be diversified away by holding 36Kr Holdings and TuanChe ADR in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on TuanChe ADR and 36Kr Holdings 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 36Kr Holdings are associated (or correlated) with TuanChe ADR. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of TuanChe ADR has no effect on the direction of 36Kr Holdings i.e., 36Kr Holdings and TuanChe ADR go up and down completely randomly.
Pair Corralation between 36Kr Holdings and TuanChe ADR
Given the investment horizon of 90 days 36Kr Holdings is expected to under-perform the TuanChe ADR. But the stock apears to be less risky and, when comparing its historical volatility, 36Kr Holdings is 1.36 times less risky than TuanChe ADR. The stock trades about -0.01 of its potential returns per unit of risk. The TuanChe ADR is currently generating about 0.08 of returns per unit of risk over similar time horizon. If you would invest 57.00 in TuanChe ADR on May 2, 2025 and sell it today you would earn a total of 11.00 from holding TuanChe ADR or generate 19.3% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
36Kr Holdings vs. TuanChe ADR
Performance |
| Timeline |
| 36Kr Holdings |
| TuanChe ADR |
36Kr Holdings and TuanChe ADR Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with 36Kr Holdings and TuanChe ADR
The main advantage of trading using opposite 36Kr Holdings and TuanChe ADR positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if 36Kr Holdings position performs unexpectedly, TuanChe ADR 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 TuanChe ADR will offset losses from the drop in TuanChe ADR's long position.| 36Kr Holdings vs. Yunji Inc | 36Kr Holdings vs. Fangdd Network Group | 36Kr Holdings vs. Huize Holding | 36Kr Holdings vs. MOGU Inc |
| TuanChe ADR vs. 36Kr Holdings | TuanChe ADR vs. Metalpha Technology Holding | TuanChe ADR vs. Asset Entities Class | TuanChe ADR vs. Locafy |
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.
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