Correlation Between Microbot Medical and EUDA Health
Can any of the company-specific risk be diversified away by investing in both Microbot Medical and EUDA Health 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 Microbot Medical and EUDA Health into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Microbot Medical and EUDA Health Holdings, you can compare the effects of market volatilities on Microbot Medical and EUDA Health 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 Microbot Medical with a short position of EUDA Health. Check out your portfolio center. Please also check ongoing floating volatility patterns of Microbot Medical and EUDA Health.
Diversification Opportunities for Microbot Medical and EUDA Health
0.22 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Microbot and EUDA is 0.22. Overlapping area represents the amount of risk that can be diversified away by holding Microbot Medical and EUDA Health Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on EUDA Health Holdings and Microbot Medical 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 Microbot Medical are associated (or correlated) with EUDA Health. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of EUDA Health Holdings has no effect on the direction of Microbot Medical i.e., Microbot Medical and EUDA Health go up and down completely randomly.
Pair Corralation between Microbot Medical and EUDA Health
Given the investment horizon of 90 days Microbot Medical is expected to under-perform the EUDA Health. But the stock apears to be less risky and, when comparing its historical volatility, Microbot Medical is 1.24 times less risky than EUDA Health. The stock trades about -0.02 of its potential returns per unit of risk. The EUDA Health Holdings is currently generating about 0.08 of returns per unit of risk over similar time horizon. If you would invest 148.00 in EUDA Health Holdings on August 31, 2024 and sell it today you would earn a total of 295.00 from holding EUDA Health Holdings or generate 199.32% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Microbot Medical vs. EUDA Health Holdings
Performance |
| Timeline |
| Microbot Medical |
| EUDA Health Holdings |
Microbot Medical and EUDA Health Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Microbot Medical and EUDA Health
The main advantage of trading using opposite Microbot Medical and EUDA Health positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Microbot Medical position performs unexpectedly, EUDA Health 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 EUDA Health will offset losses from the drop in EUDA Health's long position.| Microbot Medical vs. Intuitive Surgical | Microbot Medical vs. Innerscope Advertising Agency | Microbot Medical vs. Predictive Oncology | Microbot Medical vs. STAAR Surgical |
| EUDA Health vs. Healthcare Triangle | EUDA Health vs. Bullfrog AI Holdings, | EUDA Health vs. Mangoceuticals, Common Stock | EUDA Health vs. FOXO Technologies |
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 Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
Other Complementary Tools
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets |