Correlation Between BioSig Technologies, and SurModics
Can any of the company-specific risk be diversified away by investing in both BioSig Technologies, and SurModics 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 BioSig Technologies, and SurModics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between BioSig Technologies, Common and SurModics, you can compare the effects of market volatilities on BioSig Technologies, and SurModics 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 BioSig Technologies, with a short position of SurModics. Check out your portfolio center. Please also check ongoing floating volatility patterns of BioSig Technologies, and SurModics.
Diversification Opportunities for BioSig Technologies, and SurModics
0.48 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between BioSig and SurModics is 0.48. Overlapping area represents the amount of risk that can be diversified away by holding BioSig Technologies, Common and SurModics in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SurModics and BioSig Technologies, 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 BioSig Technologies, Common are associated (or correlated) with SurModics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SurModics has no effect on the direction of BioSig Technologies, i.e., BioSig Technologies, and SurModics go up and down completely randomly.
Pair Corralation between BioSig Technologies, and SurModics
Given the investment horizon of 90 days BioSig Technologies, Common is expected to under-perform the SurModics. In addition to that, BioSig Technologies, is 2.35 times more volatile than SurModics. It trades about -0.34 of its total potential returns per unit of risk. SurModics is currently generating about -0.23 per unit of volatility. If you would invest 3,968 in SurModics on November 2, 2024 and sell it today you would lose (420.00) from holding SurModics or give up 10.58% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
BioSig Technologies, Common vs. SurModics
Performance |
| Timeline |
| BioSig Technologies, |
| SurModics |
BioSig Technologies, and SurModics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BioSig Technologies, and SurModics
The main advantage of trading using opposite BioSig Technologies, and SurModics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BioSig Technologies, position performs unexpectedly, SurModics 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 SurModics will offset losses from the drop in SurModics' long position.| BioSig Technologies, vs. Neuropace | BioSig Technologies, vs. Inogen Inc | BioSig Technologies, vs. SurModics | BioSig Technologies, vs. Pulmonx Corp |
| SurModics vs. LivaNova PLC | SurModics vs. Electromed | SurModics vs. Orthopediatrics Corp | SurModics vs. Neuropace |
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 Portfolio Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.
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