Correlation Between Microbot Medical and New York
Can any of the company-specific risk be diversified away by investing in both Microbot Medical and New York 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 Microbot Medical and New York into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Microbot Medical and New York Community, you can compare the effects of market volatilities on Microbot Medical and New York 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 Microbot Medical with a short position of New York. Check out your portfolio center. Please also check ongoing floating volatility patterns of Microbot Medical and New York.
Diversification Opportunities for Microbot Medical and New York
-0.44 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Microbot and New is -0.44. Overlapping area represents the amount of risk that can be diversified away by holding Microbot Medical and New York Community in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on New York Community and Microbot Medical 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 Microbot Medical are associated (or correlated) with New York. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of New York Community has no effect on the direction of Microbot Medical i.e., Microbot Medical and New York go up and down completely randomly.
Pair Corralation between Microbot Medical and New York
Assuming the 90 days trading horizon Microbot Medical is expected to generate 18.56 times more return on investment than New York. However, Microbot Medical is 18.56 times more volatile than New York Community. It trades about 0.19 of its potential returns per unit of risk. New York Community is currently generating about 0.19 per unit of risk. If you would invest 100.00 in Microbot Medical on October 25, 2024 and sell it today you would earn a total of 78.00 from holding Microbot Medical or generate 78.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Microbot Medical vs. New York Community
Performance |
| Timeline |
| Microbot Medical |
| New York Community |
Microbot Medical and New York Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Microbot Medical and New York
The main advantage of trading using opposite Microbot Medical and New York positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Microbot Medical position performs unexpectedly, New York 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 New York will offset losses from the drop in New York's long position.| Microbot Medical vs. Cleanaway Waste Management | Microbot Medical vs. Platinum Investment Management | Microbot Medical vs. Brockhaus Capital Management | Microbot Medical vs. Kingdee International Software |
| New York vs. The Trade Desk | New York vs. TRADEDOUBLER AB SK | New York vs. Salesforce | New York vs. LINMON MEDIA LTD |
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 Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
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