Correlation Between Candel Therapeutics and Ikena Oncology
Can any of the company-specific risk be diversified away by investing in both Candel Therapeutics and Ikena Oncology 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 Candel Therapeutics and Ikena Oncology into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Candel Therapeutics and Ikena Oncology, you can compare the effects of market volatilities on Candel Therapeutics and Ikena Oncology 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 Candel Therapeutics with a short position of Ikena Oncology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Candel Therapeutics and Ikena Oncology.
Diversification Opportunities for Candel Therapeutics and Ikena Oncology
-0.26 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Candel and Ikena is -0.26. Overlapping area represents the amount of risk that can be diversified away by holding Candel Therapeutics and Ikena Oncology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ikena Oncology and Candel 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 Candel Therapeutics are associated (or correlated) with Ikena Oncology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ikena Oncology has no effect on the direction of Candel Therapeutics i.e., Candel Therapeutics and Ikena Oncology go up and down completely randomly.
Pair Corralation between Candel Therapeutics and Ikena Oncology
Given the investment horizon of 90 days Candel Therapeutics is expected to under-perform the Ikena Oncology. In addition to that, Candel Therapeutics is 2.64 times more volatile than Ikena Oncology. It trades about -0.05 of its total potential returns per unit of risk. Ikena Oncology is currently generating about 0.0 per unit of volatility. If you would invest 175.00 in Ikena Oncology on September 5, 2024 and sell it today you would lose (5.00) from holding Ikena Oncology or give up 2.86% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Candel Therapeutics vs. Ikena Oncology
Performance |
| Timeline |
| Candel Therapeutics |
| Ikena Oncology |
Candel Therapeutics and Ikena Oncology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Candel Therapeutics and Ikena Oncology
The main advantage of trading using opposite Candel Therapeutics and Ikena Oncology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Candel Therapeutics position performs unexpectedly, Ikena Oncology 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 Ikena Oncology will offset losses from the drop in Ikena Oncology's long position.| Candel Therapeutics vs. Aerovate Therapeutics | Candel Therapeutics vs. Adagene | Candel Therapeutics vs. Acrivon Therapeutics, Common | Candel Therapeutics vs. Rezolute |
| Ikena Oncology vs. Candel Therapeutics | Ikena Oncology vs. Cingulate Warrants | Ikena Oncology vs. Unicycive Therapeutics | Ikena Oncology vs. Cardio Diagnostics Holdings |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios |