Correlation Between China Shuifa and Concord New

Can any of the company-specific risk be diversified away by investing in both China Shuifa and Concord New 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 Shuifa and Concord New into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between China Shuifa Singyes and Concord New Energy, you can compare the effects of market volatilities on China Shuifa and Concord New 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 Shuifa with a short position of Concord New. Check out your portfolio center. Please also check ongoing floating volatility patterns of China Shuifa and Concord New.

Diversification Opportunities for China Shuifa and Concord New

0.0

Correlation Coefficient

China Shuifa  Concord New

Pay attention - limited upside

The 3 months correlation between China and Concord is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding China Shuifa Singyes and Concord New Energy in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Concord New Energy and China Shuifa 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 Shuifa Singyes are associated (or correlated) with Concord New. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Concord New Energy has no effect on the direction of China Shuifa i.e., China Shuifa and Concord New go up and down completely randomly.

Pair Corralation between China Shuifa and Concord New

If you would invest  3.00  in China Shuifa Singyes on July 10, 2025 and sell it today you would earn a total of  0.00  from holding China Shuifa Singyes or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	98.41%
Values	Daily Returns

China Shuifa Singyes  vs.  Concord New Energy

China Shuifa Singyes

Risk-Adjusted Performance

Weakest

Over the last 90 days China Shuifa Singyes has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable basic indicators, China Shuifa is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.

Concord New Energy

Risk-Adjusted Performance

Weakest

Over the last 90 days Concord New Energy has generated negative risk-adjusted returns adding no value to investors with long positions. Despite unsteady performance in the last few months, the Stock's basic indicators remain nearly stable which may send shares a bit higher in November 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Pair Trading with China Shuifa and Concord New

The main advantage of trading using opposite China Shuifa and Concord New positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if China Shuifa position performs unexpectedly, Concord New 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 Concord New will offset losses from the drop in Concord New's long position.

The idea behind China Shuifa Singyes and Concord New Energy pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..