Correlation Between Nisun International and Wah Fu
Can any of the company-specific risk be diversified away by investing in both Nisun International and Wah Fu 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 Nisun International and Wah Fu into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Nisun International Enterprise and Wah Fu Education, you can compare the effects of market volatilities on Nisun International and Wah Fu 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 Nisun International with a short position of Wah Fu. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nisun International and Wah Fu.
Diversification Opportunities for Nisun International and Wah Fu
-0.15 | Correlation Coefficient |
Good diversification
The 3 months correlation between Nisun and Wah is -0.15. Overlapping area represents the amount of risk that can be diversified away by holding Nisun International Enterprise and Wah Fu Education in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Wah Fu Education and Nisun 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 Nisun International Enterprise are associated (or correlated) with Wah Fu. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Wah Fu Education has no effect on the direction of Nisun International i.e., Nisun International and Wah Fu go up and down completely randomly.
Pair Corralation between Nisun International and Wah Fu
Given the investment horizon of 90 days Nisun International Enterprise is expected to under-perform the Wah Fu. In addition to that, Nisun International is 1.77 times more volatile than Wah Fu Education. It trades about -0.04 of its total potential returns per unit of risk. Wah Fu Education is currently generating about 0.03 per unit of volatility. If you would invest 144.00 in Wah Fu Education on June 8, 2025 and sell it today you would earn a total of 4.00 from holding Wah Fu Education or generate 2.78% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Nisun International Enterprise vs. Wah Fu Education
Performance |
| Timeline |
| Nisun International |
| Wah Fu Education |
Nisun International and Wah Fu Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Nisun International and Wah Fu
The main advantage of trading using opposite Nisun International and Wah Fu positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nisun International position performs unexpectedly, Wah Fu 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 Wah Fu will offset losses from the drop in Wah Fu's long position.| Nisun International vs. Eason Technology Limited | Nisun International vs. X Financial Class | Nisun International vs. Sentage Holdings | Nisun International vs. Finance of America |
| Wah Fu vs. Lixiang Education Holding | Wah Fu vs. Four Seasons Education | Wah Fu vs. Jianzhi Education Technology | Wah Fu vs. Elite Education Group |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
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