Correlation Between AgeX Therapeutics and Awakn Life
Can any of the company-specific risk be diversified away by investing in both AgeX Therapeutics and Awakn Life 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 AgeX Therapeutics and Awakn Life into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between AgeX Therapeutics and Awakn Life Sciences, you can compare the effects of market volatilities on AgeX Therapeutics and Awakn Life 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 AgeX Therapeutics with a short position of Awakn Life. Check out your portfolio center. Please also check ongoing floating volatility patterns of AgeX Therapeutics and Awakn Life.
Diversification Opportunities for AgeX Therapeutics and Awakn Life
0.46 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between AgeX and Awakn is 0.46. Overlapping area represents the amount of risk that can be diversified away by holding AgeX Therapeutics and Awakn Life Sciences in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Awakn Life Sciences and AgeX Therapeutics 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 AgeX Therapeutics are associated (or correlated) with Awakn Life. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Awakn Life Sciences has no effect on the direction of AgeX Therapeutics i.e., AgeX Therapeutics and Awakn Life go up and down completely randomly.
Pair Corralation between AgeX Therapeutics and Awakn Life
If you would invest 7.81 in Awakn Life Sciences on August 29, 2024 and sell it today you would earn a total of 0.19 from holding Awakn Life Sciences or generate 2.43% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 4.55% |
| Values | Daily Returns |
AgeX Therapeutics vs. Awakn Life Sciences
Performance |
| Timeline |
| AgeX Therapeutics |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Awakn Life Sciences |
AgeX Therapeutics and Awakn Life Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with AgeX Therapeutics and Awakn Life
The main advantage of trading using opposite AgeX Therapeutics and Awakn Life positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AgeX Therapeutics position performs unexpectedly, Awakn Life 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 Awakn Life will offset losses from the drop in Awakn Life's long position.| AgeX Therapeutics vs. MAIA Biotechnology | AgeX Therapeutics vs. Larimar Therapeutics | AgeX Therapeutics vs. Lyra Therapeutics | AgeX Therapeutics vs. Lineage Cell Therapeutics |
| Awakn Life vs. Nova Mentis Life | Awakn Life vs. PsyBio Therapeutics Corp | Awakn Life vs. HAVN Life Sciences | Awakn Life vs. Cellectis SA |
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 Global Correlations module to find global opportunities by holding instruments from different markets.
Other Complementary Tools
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings |