Correlation Between Dongjiang Environmental and Fandom Sports

Can any of the company-specific risk be diversified away by investing in both Dongjiang Environmental and Fandom 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 Dongjiang Environmental and Fandom Sports into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Dongjiang Environmental and Fandom Sports Media, you can compare the effects of market volatilities on Dongjiang Environmental and Fandom 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 Dongjiang Environmental with a short position of Fandom Sports. Check out your portfolio center. Please also check ongoing floating volatility patterns of Dongjiang Environmental and Fandom Sports.

Diversification Opportunities for Dongjiang Environmental and Fandom Sports

0.0

Correlation Coefficient

Dongjiang Environmental  Fandom Sports

Pay attention - limited upside

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

Pair Corralation between Dongjiang Environmental and Fandom Sports

If you would invest  52.00  in Dongjiang Environmental on September 7, 2025 and sell it today you would earn a total of  0.00  from holding Dongjiang Environmental or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	98.46%
Values	Daily Returns

Dongjiang Environmental  vs.  Fandom Sports Media

Dongjiang Environmental

Risk-Adjusted Performance

Weakest

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

Fandom Sports Media

Risk-Adjusted Performance

Weakest

Over the last 90 days Fandom Sports Media has generated negative risk-adjusted returns adding no value to investors with long positions. Despite weak performance in the last few months, the Stock's basic indicators remain nearly stable which may send shares a bit higher in January 2026. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Pair Trading with Dongjiang Environmental and Fandom Sports

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

The idea behind Dongjiang Environmental and Fandom Sports Media 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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.