Correlation Between Anixa Biosciences and INmune Bio
Can any of the company-specific risk be diversified away by investing in both Anixa Biosciences and INmune Bio 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 Anixa Biosciences and INmune Bio into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Anixa Biosciences and INmune Bio, you can compare the effects of market volatilities on Anixa Biosciences and INmune Bio 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 Anixa Biosciences with a short position of INmune Bio. Check out your portfolio center. Please also check ongoing floating volatility patterns of Anixa Biosciences and INmune Bio.
Diversification Opportunities for Anixa Biosciences and INmune Bio
0.09 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Anixa and INmune is 0.09. Overlapping area represents the amount of risk that can be diversified away by holding Anixa Biosciences and INmune Bio in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on INmune Bio and Anixa Biosciences 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 Anixa Biosciences are associated (or correlated) with INmune Bio. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of INmune Bio has no effect on the direction of Anixa Biosciences i.e., Anixa Biosciences and INmune Bio go up and down completely randomly.
Pair Corralation between Anixa Biosciences and INmune Bio
Given the investment horizon of 90 days Anixa Biosciences is expected to generate 2.53 times less return on investment than INmune Bio. But when comparing it to its historical volatility, Anixa Biosciences is 1.33 times less risky than INmune Bio. It trades about 0.21 of its potential returns per unit of risk. INmune Bio is currently generating about 0.39 of returns per unit of risk over similar time horizon. If you would invest 530.00 in INmune Bio on November 4, 2024 and sell it today you would earn a total of 392.00 from holding INmune Bio or generate 73.96% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Anixa Biosciences vs. INmune Bio
Performance |
| Timeline |
| Anixa Biosciences |
| INmune Bio |
Anixa Biosciences and INmune Bio Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Anixa Biosciences and INmune Bio
The main advantage of trading using opposite Anixa Biosciences and INmune Bio positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Anixa Biosciences position performs unexpectedly, INmune Bio 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 INmune Bio will offset losses from the drop in INmune Bio's long position.| Anixa Biosciences vs. Cue Biopharma | Anixa Biosciences vs. INmune Bio | Anixa Biosciences vs. In8bio Inc | Anixa Biosciences vs. PolyPid |
| INmune Bio vs. Anebulo Pharmaceuticals | INmune Bio vs. AN2 Therapeutics | INmune Bio vs. Cue Biopharma | INmune Bio vs. Anixa Biosciences |
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 Stocks Directory module to find actively traded stocks across global markets.
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