Correlation Between Indaptus Therapeutics and AN2 Therapeutics
Can any of the company-specific risk be diversified away by investing in both Indaptus Therapeutics and AN2 Therapeutics 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 Indaptus Therapeutics and AN2 Therapeutics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Indaptus Therapeutics and AN2 Therapeutics, you can compare the effects of market volatilities on Indaptus Therapeutics and AN2 Therapeutics 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 Indaptus Therapeutics with a short position of AN2 Therapeutics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Indaptus Therapeutics and AN2 Therapeutics.
Diversification Opportunities for Indaptus Therapeutics and AN2 Therapeutics
-0.04 | Correlation Coefficient |
Good diversification
The 3 months correlation between Indaptus and AN2 is -0.04. Overlapping area represents the amount of risk that can be diversified away by holding Indaptus Therapeutics and AN2 Therapeutics in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AN2 Therapeutics and Indaptus 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 Indaptus Therapeutics are associated (or correlated) with AN2 Therapeutics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AN2 Therapeutics has no effect on the direction of Indaptus Therapeutics i.e., Indaptus Therapeutics and AN2 Therapeutics go up and down completely randomly.
Pair Corralation between Indaptus Therapeutics and AN2 Therapeutics
Given the investment horizon of 90 days Indaptus Therapeutics is expected to generate 0.75 times more return on investment than AN2 Therapeutics. However, Indaptus Therapeutics is 1.33 times less risky than AN2 Therapeutics. It trades about -0.03 of its potential returns per unit of risk. AN2 Therapeutics is currently generating about -0.07 per unit of risk. If you would invest 226.00 in Indaptus Therapeutics on August 26, 2024 and sell it today you would lose (126.00) from holding Indaptus Therapeutics or give up 55.75% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Indaptus Therapeutics vs. AN2 Therapeutics
Performance |
| Timeline |
| Indaptus Therapeutics |
| AN2 Therapeutics |
Indaptus Therapeutics and AN2 Therapeutics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Indaptus Therapeutics and AN2 Therapeutics
The main advantage of trading using opposite Indaptus Therapeutics and AN2 Therapeutics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Indaptus Therapeutics position performs unexpectedly, AN2 Therapeutics 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 AN2 Therapeutics will offset losses from the drop in AN2 Therapeutics' long position.| Indaptus Therapeutics vs. Rezolute | Indaptus Therapeutics vs. Tempest Therapeutics | Indaptus Therapeutics vs. Forte Biosciences | Indaptus Therapeutics vs. ABVC Biopharma |
| AN2 Therapeutics vs. Aerovate Therapeutics | AN2 Therapeutics vs. Adagene | AN2 Therapeutics vs. Acrivon Therapeutics, Common | AN2 Therapeutics vs. Rezolute |
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 Transaction History module to view history of all your transactions and understand their impact on performance.
Other Complementary Tools
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation |