Correlation Between IMAGIN MEDICAL and MEITUAN UNSPADR/2B
Can any of the company-specific risk be diversified away by investing in both IMAGIN MEDICAL and MEITUAN UNSPADR/2B 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 IMAGIN MEDICAL and MEITUAN UNSPADR/2B into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between IMAGIN MEDICAL INC and MEITUAN UNSPADR2B, you can compare the effects of market volatilities on IMAGIN MEDICAL and MEITUAN UNSPADR/2B 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 IMAGIN MEDICAL with a short position of MEITUAN UNSPADR/2B. Check out your portfolio center. Please also check ongoing floating volatility patterns of IMAGIN MEDICAL and MEITUAN UNSPADR/2B.
Diversification Opportunities for IMAGIN MEDICAL and MEITUAN UNSPADR/2B
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between IMAGIN and MEITUAN is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding IMAGIN MEDICAL INC and MEITUAN UNSPADR2B in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MEITUAN UNSPADR/2B and IMAGIN 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 IMAGIN MEDICAL INC are associated (or correlated) with MEITUAN UNSPADR/2B. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MEITUAN UNSPADR/2B has no effect on the direction of IMAGIN MEDICAL i.e., IMAGIN MEDICAL and MEITUAN UNSPADR/2B go up and down completely randomly.
Pair Corralation between IMAGIN MEDICAL and MEITUAN UNSPADR/2B
Assuming the 90 days trading horizon IMAGIN MEDICAL INC is expected to generate 33.83 times more return on investment than MEITUAN UNSPADR/2B. However, IMAGIN MEDICAL is 33.83 times more volatile than MEITUAN UNSPADR2B. It trades about 0.18 of its potential returns per unit of risk. MEITUAN UNSPADR2B is currently generating about 0.02 per unit of risk. If you would invest 13.00 in IMAGIN MEDICAL INC on September 2, 2024 and sell it today you would lose (12.95) from holding IMAGIN MEDICAL INC or give up 99.62% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 99.8% |
| Values | Daily Returns |
IMAGIN MEDICAL INC vs. MEITUAN UNSPADR2B
Performance |
| Timeline |
| IMAGIN MEDICAL INC |
| MEITUAN UNSPADR/2B |
IMAGIN MEDICAL and MEITUAN UNSPADR/2B Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with IMAGIN MEDICAL and MEITUAN UNSPADR/2B
The main advantage of trading using opposite IMAGIN MEDICAL and MEITUAN UNSPADR/2B positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if IMAGIN MEDICAL position performs unexpectedly, MEITUAN UNSPADR/2B 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 MEITUAN UNSPADR/2B will offset losses from the drop in MEITUAN UNSPADR/2B's long position.| IMAGIN MEDICAL vs. ON SEMICONDUCTOR | IMAGIN MEDICAL vs. ULTRA CLEAN HLDGS | IMAGIN MEDICAL vs. Westinghouse Air Brake | IMAGIN MEDICAL vs. Wizz Air Holdings |
| MEITUAN UNSPADR/2B vs. ARISTOCRAT LEISURE | MEITUAN UNSPADR/2B vs. IMAGIN MEDICAL INC | MEITUAN UNSPADR/2B vs. Merit Medical Systems | MEITUAN UNSPADR/2B vs. URBAN OUTFITTERS |
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 CEOs Directory module to screen CEOs from public companies around the world.
Other Complementary Tools
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |