Correlation Between Grupo Bimbo and Integrated Biopharma
Can any of the company-specific risk be diversified away by investing in both Grupo Bimbo and Integrated Biopharma 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 Grupo Bimbo and Integrated Biopharma into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Grupo Bimbo SAB and Integrated Biopharma, you can compare the effects of market volatilities on Grupo Bimbo and Integrated Biopharma 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 Grupo Bimbo with a short position of Integrated Biopharma. Check out your portfolio center. Please also check ongoing floating volatility patterns of Grupo Bimbo and Integrated Biopharma.
Diversification Opportunities for Grupo Bimbo and Integrated Biopharma
0.36 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Grupo and Integrated is 0.36. Overlapping area represents the amount of risk that can be diversified away by holding Grupo Bimbo SAB and Integrated Biopharma in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Integrated Biopharma and Grupo Bimbo 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 Grupo Bimbo SAB are associated (or correlated) with Integrated Biopharma. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Integrated Biopharma has no effect on the direction of Grupo Bimbo i.e., Grupo Bimbo and Integrated Biopharma go up and down completely randomly.
Pair Corralation between Grupo Bimbo and Integrated Biopharma
If you would invest 33.00 in Integrated Biopharma on September 4, 2024 and sell it today you would earn a total of 0.00 from holding Integrated Biopharma or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 4.55% |
| Values | Daily Returns |
Grupo Bimbo SAB vs. Integrated Biopharma
Performance |
| Timeline |
| Grupo Bimbo SAB |
| Integrated Biopharma |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Grupo Bimbo and Integrated Biopharma Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Grupo Bimbo and Integrated Biopharma
The main advantage of trading using opposite Grupo Bimbo and Integrated Biopharma positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Grupo Bimbo position performs unexpectedly, Integrated Biopharma 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 Integrated Biopharma will offset losses from the drop in Integrated Biopharma's long position.| Grupo Bimbo vs. Kellanova | Grupo Bimbo vs. Lancaster Colony | Grupo Bimbo vs. The A2 Milk | Grupo Bimbo vs. Artisan Consumer Goods |
| Integrated Biopharma vs. Premier Foods Plc | Integrated Biopharma vs. Torque Lifestyle Brands | Integrated Biopharma vs. Naturally Splendid Enterprises | Integrated Biopharma vs. Aryzta AG PK |
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 Bollinger Bands module to use Bollinger Bands indicator to analyze target price for a given investing horizon.
Other Complementary Tools
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments |