Correlation Between Mink Therapeutics and Genfit
Can any of the company-specific risk be diversified away by investing in both Mink Therapeutics and Genfit 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 Mink Therapeutics and Genfit into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Mink Therapeutics and Genfit, you can compare the effects of market volatilities on Mink Therapeutics and Genfit 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 Mink Therapeutics with a short position of Genfit. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mink Therapeutics and Genfit.
Diversification Opportunities for Mink Therapeutics and Genfit
-0.55 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Mink and Genfit is -0.55. Overlapping area represents the amount of risk that can be diversified away by holding Mink Therapeutics and Genfit in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Genfit and Mink 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 Mink Therapeutics are associated (or correlated) with Genfit. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Genfit has no effect on the direction of Mink Therapeutics i.e., Mink Therapeutics and Genfit go up and down completely randomly.
Pair Corralation between Mink Therapeutics and Genfit
Given the investment horizon of 90 days Mink Therapeutics is expected to generate 0.58 times more return on investment than Genfit. However, Mink Therapeutics is 1.72 times less risky than Genfit. It trades about -0.03 of its potential returns per unit of risk. Genfit is currently generating about -0.16 per unit of risk. If you would invest 75.00 in Mink Therapeutics on August 30, 2024 and sell it today you would lose (3.00) from holding Mink Therapeutics or give up 4.0% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Mink Therapeutics vs. Genfit
Performance |
| Timeline |
| Mink Therapeutics |
| Genfit |
Mink Therapeutics and Genfit Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Mink Therapeutics and Genfit
The main advantage of trading using opposite Mink Therapeutics and Genfit positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Mink Therapeutics position performs unexpectedly, Genfit 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 Genfit will offset losses from the drop in Genfit's long position.| Mink Therapeutics vs. Ikena Oncology | Mink Therapeutics vs. Eliem Therapeutics | Mink Therapeutics vs. HCW Biologics | Mink Therapeutics vs. RenovoRx |
| Genfit vs. Eliem Therapeutics | Genfit vs. HCW Biologics | Genfit vs. Molecular Partners AG | Genfit vs. MediciNova |
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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency |