Correlation Between HAVN Life and GH Research
Can any of the company-specific risk be diversified away by investing in both HAVN Life and GH Research 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 HAVN Life and GH Research into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between HAVN Life Sciences and GH Research PLC, you can compare the effects of market volatilities on HAVN Life and GH Research 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 HAVN Life with a short position of GH Research. Check out your portfolio center. Please also check ongoing floating volatility patterns of HAVN Life and GH Research.
Diversification Opportunities for HAVN Life and GH Research
0.24 | Correlation Coefficient |
Modest diversification
The 3 months correlation between HAVN and GHRS is 0.24. Overlapping area represents the amount of risk that can be diversified away by holding HAVN Life Sciences and GH Research PLC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GH Research PLC and HAVN Life 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 HAVN Life Sciences are associated (or correlated) with GH Research. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GH Research PLC has no effect on the direction of HAVN Life i.e., HAVN Life and GH Research go up and down completely randomly.
Pair Corralation between HAVN Life and GH Research
If you would invest 791.00 in GH Research PLC on November 3, 2024 and sell it today you would earn a total of 178.00 from holding GH Research PLC or generate 22.5% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 91.3% |
| Values | Daily Returns |
HAVN Life Sciences vs. GH Research PLC
Performance |
| Timeline |
| HAVN Life Sciences |
| GH Research PLC |
HAVN Life and GH Research Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HAVN Life and GH Research
The main advantage of trading using opposite HAVN Life and GH Research positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HAVN Life position performs unexpectedly, GH Research 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 GH Research will offset losses from the drop in GH Research's long position.| HAVN Life vs. Surrozen Warrant | HAVN Life vs. Jasper Therapeutics | HAVN Life vs. Revelation Biosciences | HAVN Life vs. Wesana Health Holdings |
| GH Research vs. Molecular Partners AG | GH Research vs. MediciNova | GH Research vs. Anebulo Pharmaceuticals | GH Research vs. Champions Oncology |
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 Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated |