Correlation Between HTG Molecular and Standard Biotools
Can any of the company-specific risk be diversified away by investing in both HTG Molecular and Standard Biotools 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 HTG Molecular and Standard Biotools into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between HTG Molecular Diagnostics and Standard Biotools, you can compare the effects of market volatilities on HTG Molecular and Standard Biotools 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 HTG Molecular with a short position of Standard Biotools. Check out your portfolio center. Please also check ongoing floating volatility patterns of HTG Molecular and Standard Biotools.
Diversification Opportunities for HTG Molecular and Standard Biotools
0.38 | Correlation Coefficient |
Weak diversification
The 3 months correlation between HTG and Standard is 0.38. Overlapping area represents the amount of risk that can be diversified away by holding HTG Molecular Diagnostics and Standard Biotools in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Standard Biotools and HTG Molecular 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 HTG Molecular Diagnostics are associated (or correlated) with Standard Biotools. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Standard Biotools has no effect on the direction of HTG Molecular i.e., HTG Molecular and Standard Biotools go up and down completely randomly.
Pair Corralation between HTG Molecular and Standard Biotools
If you would invest 170.00 in Standard Biotools on August 29, 2024 and sell it today you would earn a total of 12.00 from holding Standard Biotools or generate 7.06% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 4.35% |
| Values | Daily Returns |
HTG Molecular Diagnostics vs. Standard Biotools
Performance |
| Timeline |
| HTG Molecular Diagnostics |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Standard Biotools |
HTG Molecular and Standard Biotools Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HTG Molecular and Standard Biotools
The main advantage of trading using opposite HTG Molecular and Standard Biotools positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HTG Molecular position performs unexpectedly, Standard Biotools 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 Standard Biotools will offset losses from the drop in Standard Biotools' long position.| HTG Molecular vs. bioAffinity Technologies, | HTG Molecular vs. Psychemedics | HTG Molecular vs. Precipio | HTG Molecular vs. Intelligent Bio Solutions |
| Standard Biotools vs. Star Equity Holdings | Standard Biotools vs. Biodesix | Standard Biotools vs. ENDRA Life Sciences | Standard Biotools vs. Fonar |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
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