Correlation Between Cingulate Warrants and Aptorum Group
Can any of the company-specific risk be diversified away by investing in both Cingulate Warrants and Aptorum Group 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 Cingulate Warrants and Aptorum Group into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Cingulate Warrants and Aptorum Group Ltd, you can compare the effects of market volatilities on Cingulate Warrants and Aptorum Group 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 Cingulate Warrants with a short position of Aptorum Group. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cingulate Warrants and Aptorum Group.
Diversification Opportunities for Cingulate Warrants and Aptorum Group
0.49 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Cingulate and Aptorum is 0.49. Overlapping area represents the amount of risk that can be diversified away by holding Cingulate Warrants and Aptorum Group Ltd in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Aptorum Group and Cingulate Warrants 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 Cingulate Warrants are associated (or correlated) with Aptorum Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aptorum Group has no effect on the direction of Cingulate Warrants i.e., Cingulate Warrants and Aptorum Group go up and down completely randomly.
Pair Corralation between Cingulate Warrants and Aptorum Group
Assuming the 90 days horizon Cingulate Warrants is expected to generate 1.5 times more return on investment than Aptorum Group. However, Cingulate Warrants is 1.5 times more volatile than Aptorum Group Ltd. It trades about 0.13 of its potential returns per unit of risk. Aptorum Group Ltd is currently generating about -0.14 per unit of risk. If you would invest 4.16 in Cingulate Warrants on September 5, 2024 and sell it today you would earn a total of 0.69 from holding Cingulate Warrants or generate 16.59% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 95.45% |
| Values | Daily Returns |
Cingulate Warrants vs. Aptorum Group Ltd
Performance |
| Timeline |
| Cingulate Warrants |
| Aptorum Group |
Cingulate Warrants and Aptorum Group Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Cingulate Warrants and Aptorum Group
The main advantage of trading using opposite Cingulate Warrants and Aptorum Group positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cingulate Warrants position performs unexpectedly, Aptorum Group 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 Aptorum Group will offset losses from the drop in Aptorum Group's long position.| Cingulate Warrants vs. Cingulate | Cingulate Warrants vs. Celularity | Cingulate Warrants vs. NeuroSense Therapeutics Ltd |
| Aptorum Group vs. Candel Therapeutics | Aptorum Group vs. Cingulate Warrants | Aptorum Group vs. Unicycive Therapeutics | Aptorum Group 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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Other Complementary Tools
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Bonds Directory Find actively traded corporate debentures issued by US companies |