Correlation Between Galera Therapeutics and Anixa Biosciences
Can any of the company-specific risk be diversified away by investing in both Galera Therapeutics and Anixa Biosciences 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 Galera Therapeutics and Anixa Biosciences into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Galera Therapeutics and Anixa Biosciences, you can compare the effects of market volatilities on Galera Therapeutics and Anixa Biosciences 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 Galera Therapeutics with a short position of Anixa Biosciences. Check out your portfolio center. Please also check ongoing floating volatility patterns of Galera Therapeutics and Anixa Biosciences.
Diversification Opportunities for Galera Therapeutics and Anixa Biosciences
-0.3 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Galera and Anixa is -0.3. Overlapping area represents the amount of risk that can be diversified away by holding Galera Therapeutics and Anixa Biosciences in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anixa Biosciences and Galera 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 Galera Therapeutics are associated (or correlated) with Anixa Biosciences. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anixa Biosciences has no effect on the direction of Galera Therapeutics i.e., Galera Therapeutics and Anixa Biosciences go up and down completely randomly.
Pair Corralation between Galera Therapeutics and Anixa Biosciences
If you would invest 315.00 in Anixa Biosciences on August 25, 2024 and sell it today you would earn a total of 5.00 from holding Anixa Biosciences or generate 1.59% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 4.35% |
| Values | Daily Returns |
Galera Therapeutics vs. Anixa Biosciences
Performance |
| Timeline |
| Galera Therapeutics |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Anixa Biosciences |
Galera Therapeutics and Anixa Biosciences Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Galera Therapeutics and Anixa Biosciences
The main advantage of trading using opposite Galera Therapeutics and Anixa Biosciences positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Galera Therapeutics position performs unexpectedly, Anixa Biosciences 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 Anixa Biosciences will offset losses from the drop in Anixa Biosciences' long position.| Galera Therapeutics vs. Mereo BioPharma Group | Galera Therapeutics vs. Terns Pharmaceuticals | Galera Therapeutics vs. PDS Biotechnology Corp | Galera Therapeutics vs. Inozyme Pharma |
| Anixa Biosciences vs. Cue Biopharma | Anixa Biosciences vs. INmune Bio | Anixa Biosciences vs. In8bio Inc | Anixa Biosciences vs. PolyPid |
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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
Other Complementary Tools
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges |