Correlation Between Anika Therapeutics and Heska
Can any of the company-specific risk be diversified away by investing in both Anika Therapeutics and Heska 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 Anika Therapeutics and Heska into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Anika Therapeutics and Heska, you can compare the effects of market volatilities on Anika Therapeutics and Heska 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 Anika Therapeutics with a short position of Heska. Check out your portfolio center. Please also check ongoing floating volatility patterns of Anika Therapeutics and Heska.
Diversification Opportunities for Anika Therapeutics and Heska
-0.4 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Anika and Heska is -0.4. Overlapping area represents the amount of risk that can be diversified away by holding Anika Therapeutics and Heska in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Heska and Anika 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 Anika Therapeutics are associated (or correlated) with Heska. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Heska has no effect on the direction of Anika Therapeutics i.e., Anika Therapeutics and Heska go up and down completely randomly.
Pair Corralation between Anika Therapeutics and Heska
If you would invest 11,999 in Heska on August 28, 2024 and sell it today you would earn a total of 0.00 from holding Heska or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 0.28% |
| Values | Daily Returns |
Anika Therapeutics vs. Heska
Performance |
| Timeline |
| Anika Therapeutics |
| Heska |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Anika Therapeutics and Heska Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Anika Therapeutics and Heska
The main advantage of trading using opposite Anika Therapeutics and Heska positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Anika Therapeutics position performs unexpectedly, Heska 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 Heska will offset losses from the drop in Heska's long position.| Anika Therapeutics vs. Eliem Therapeutics | Anika Therapeutics vs. HCW Biologics | Anika Therapeutics vs. Scpharmaceuticals | Anika Therapeutics vs. Milestone Pharmaceuticals |
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 Watchlist Optimization module to optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm.
Other Complementary Tools
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments |