Correlation Between ImmuCell and FlexShares Credit
Can any of the company-specific risk be diversified away by investing in both ImmuCell and FlexShares Credit 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 ImmuCell and FlexShares Credit into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between ImmuCell and FlexShares Credit Scored Corporate, you can compare the effects of market volatilities on ImmuCell and FlexShares Credit 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 ImmuCell with a short position of FlexShares Credit. Check out your portfolio center. Please also check ongoing floating volatility patterns of ImmuCell and FlexShares Credit.
Diversification Opportunities for ImmuCell and FlexShares Credit
0.08 | Correlation Coefficient |
Significant diversification
The 3 months correlation between ImmuCell and FlexShares is 0.08. Overlapping area represents the amount of risk that can be diversified away by holding ImmuCell and FlexShares Credit Scored Corpo in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on FlexShares Credit and ImmuCell 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 ImmuCell are associated (or correlated) with FlexShares Credit. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FlexShares Credit has no effect on the direction of ImmuCell i.e., ImmuCell and FlexShares Credit go up and down completely randomly.
Pair Corralation between ImmuCell and FlexShares Credit
Given the investment horizon of 90 days ImmuCell is expected to generate 11.41 times more return on investment than FlexShares Credit. However, ImmuCell is 11.41 times more volatile than FlexShares Credit Scored Corporate. It trades about 0.2 of its potential returns per unit of risk. FlexShares Credit Scored Corporate is currently generating about 0.14 per unit of risk. If you would invest 367.00 in ImmuCell on August 31, 2024 and sell it today you would earn a total of 45.00 from holding ImmuCell or generate 12.26% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
ImmuCell vs. FlexShares Credit Scored Corpo
Performance |
| Timeline |
| ImmuCell |
| FlexShares Credit |
ImmuCell and FlexShares Credit Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ImmuCell and FlexShares Credit
The main advantage of trading using opposite ImmuCell and FlexShares Credit positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ImmuCell position performs unexpectedly, FlexShares Credit 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 FlexShares Credit will offset losses from the drop in FlexShares Credit's long position.| ImmuCell vs. Cue Biopharma | ImmuCell vs. Eliem Therapeutics | ImmuCell vs. Inhibrx | ImmuCell vs. Molecular Partners AG |
| FlexShares Credit vs. iShares ESG USD | FlexShares Credit vs. FlexShares Disciplined Duration | FlexShares Credit vs. iShares ESG 1 5 | FlexShares Credit vs. First Trust Emerging |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
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