Correlation Between Aprogen Healthcare and INtRON Biotechnology
Can any of the company-specific risk be diversified away by investing in both Aprogen Healthcare and INtRON Biotechnology 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 Aprogen Healthcare and INtRON Biotechnology into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Aprogen Healthcare Games and iNtRON Biotechnology, you can compare the effects of market volatilities on Aprogen Healthcare and INtRON Biotechnology 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 Aprogen Healthcare with a short position of INtRON Biotechnology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Aprogen Healthcare and INtRON Biotechnology.
Diversification Opportunities for Aprogen Healthcare and INtRON Biotechnology
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Aprogen and INtRON is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding Aprogen Healthcare Games and iNtRON Biotechnology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on iNtRON Biotechnology and Aprogen Healthcare 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 Aprogen Healthcare Games are associated (or correlated) with INtRON Biotechnology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of iNtRON Biotechnology has no effect on the direction of Aprogen Healthcare i.e., Aprogen Healthcare and INtRON Biotechnology go up and down completely randomly.
Pair Corralation between Aprogen Healthcare and INtRON Biotechnology
Assuming the 90 days trading horizon Aprogen Healthcare Games is expected to under-perform the INtRON Biotechnology. In addition to that, Aprogen Healthcare is 1.21 times more volatile than iNtRON Biotechnology. It trades about -0.05 of its total potential returns per unit of risk. iNtRON Biotechnology is currently generating about 0.0 per unit of volatility. If you would invest 808,000 in iNtRON Biotechnology on August 31, 2024 and sell it today you would lose (253,000) from holding iNtRON Biotechnology or give up 31.31% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 96.98% |
| Values | Daily Returns |
Aprogen Healthcare Games vs. iNtRON Biotechnology
Performance |
| Timeline |
| Aprogen Healthcare Games |
| iNtRON Biotechnology |
Aprogen Healthcare and INtRON Biotechnology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Aprogen Healthcare and INtRON Biotechnology
The main advantage of trading using opposite Aprogen Healthcare and INtRON Biotechnology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Aprogen Healthcare position performs unexpectedly, INtRON Biotechnology 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 INtRON Biotechnology will offset losses from the drop in INtRON Biotechnology's long position.| Aprogen Healthcare vs. Dongsin Engineering Construction | Aprogen Healthcare vs. Doosan Fuel Cell | Aprogen Healthcare vs. Daishin Balance 1 | Aprogen Healthcare vs. Total Soft Bank |
| INtRON Biotechnology vs. AptaBio Therapeutics | INtRON Biotechnology vs. KT Hitel | INtRON Biotechnology vs. SillaJen | INtRON Biotechnology vs. Cytogen |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings |