Correlation Between TuanChe ADR and CuriosityStream

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

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

Diversification Opportunities for TuanChe ADR and CuriosityStream

0.68

Correlation Coefficient

TuanChe ADR  CuriosityStream

Poor diversification

The 3 months correlation between TuanChe and CuriosityStream is 0.68. Overlapping area represents the amount of risk that can be diversified away by holding TuanChe ADR and CuriosityStream in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CuriosityStream and TuanChe ADR 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 TuanChe ADR are associated (or correlated) with CuriosityStream. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CuriosityStream has no effect on the direction of TuanChe ADR i.e., TuanChe ADR and CuriosityStream go up and down completely randomly.

Pair Corralation between TuanChe ADR and CuriosityStream

Allowing for the 90-day total investment horizon TuanChe ADR is expected to generate 0.3 times more return on investment than CuriosityStream. However, TuanChe ADR is 3.28 times less risky than CuriosityStream. It trades about -0.12 of its potential returns per unit of risk. CuriosityStream is currently generating about -0.12 per unit of risk. If you would invest  81.00  in TuanChe ADR on May 28, 2025 and sell it today you would lose (26.00) from holding TuanChe ADR or give up 32.1% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	91.94%
Values	Daily Returns

TuanChe ADR  vs.  CuriosityStream

TuanChe ADR

Risk-Adjusted Performance

Weakest

Over the last 90 days TuanChe ADR has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of abnormal performance in the last few months, the Stock's fundamental indicators remain rather sound which may send shares a bit higher in September 2025. The latest tumult may also be a sign of longer-term up-swing for the firm shareholders.

CuriosityStream

Risk-Adjusted Performance

Weakest

Over the last 90 days CuriosityStream has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's forward indicators remain fairly stable which may send shares a bit higher in September 2025. The latest fuss may also be a sign of long-term up-swing for the venture sophisticated investors.

Pair Trading with TuanChe ADR and CuriosityStream

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

The idea behind TuanChe ADR and CuriosityStream 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.

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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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.