Correlation Between Microbot Medical and Repligen
Can any of the company-specific risk be diversified away by investing in both Microbot Medical and Repligen 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 Repligen into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Microbot Medical and Repligen, you can compare the effects of market volatilities on Microbot Medical and Repligen 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 Repligen. Check out your portfolio center. Please also check ongoing floating volatility patterns of Microbot Medical and Repligen.
Diversification Opportunities for Microbot Medical and Repligen
-0.09 | Correlation Coefficient |
Good diversification
The 3 months correlation between Microbot and Repligen is -0.09. Overlapping area represents the amount of risk that can be diversified away by holding Microbot Medical and Repligen in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Repligen 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 Repligen. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Repligen has no effect on the direction of Microbot Medical i.e., Microbot Medical and Repligen go up and down completely randomly.
Pair Corralation between Microbot Medical and Repligen
Given the investment horizon of 90 days Microbot Medical is expected to generate 1.4 times more return on investment than Repligen. However, Microbot Medical is 1.4 times more volatile than Repligen. It trades about -0.01 of its potential returns per unit of risk. Repligen is currently generating about -0.03 per unit of risk. If you would invest 129.00 in Microbot Medical on August 28, 2024 and sell it today you would lose (30.00) from holding Microbot Medical or give up 23.26% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Microbot Medical vs. Repligen
Performance |
| Timeline |
| Microbot Medical |
| Repligen |
Microbot Medical and Repligen Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Microbot Medical and Repligen
The main advantage of trading using opposite Microbot Medical and Repligen positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Microbot Medical position performs unexpectedly, Repligen 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 Repligen will offset losses from the drop in Repligen's long position.| Microbot Medical vs. Heartbeam | Microbot Medical vs. EUDA Health Holdings | Microbot Medical vs. Nutex Health | Microbot Medical vs. Healthcare Triangle |
| Repligen vs. Fonar | Repligen vs. Burning Rock Biotech | Repligen vs. Sera Prognostics | Repligen vs. Exagen Inc |
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 Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
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