Correlation Between Nyxoah and Oceantech Acquisitions
Can any of the company-specific risk be diversified away by investing in both Nyxoah and Oceantech Acquisitions 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 Nyxoah and Oceantech Acquisitions into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Nyxoah and Oceantech Acquisitions I, you can compare the effects of market volatilities on Nyxoah and Oceantech Acquisitions 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 Nyxoah with a short position of Oceantech Acquisitions. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nyxoah and Oceantech Acquisitions.
Diversification Opportunities for Nyxoah and Oceantech Acquisitions
0.24 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Nyxoah and Oceantech is 0.24. Overlapping area represents the amount of risk that can be diversified away by holding Nyxoah and Oceantech Acquisitions I in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Oceantech Acquisitions and Nyxoah 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 Nyxoah are associated (or correlated) with Oceantech Acquisitions. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Oceantech Acquisitions has no effect on the direction of Nyxoah i.e., Nyxoah and Oceantech Acquisitions go up and down completely randomly.
Pair Corralation between Nyxoah and Oceantech Acquisitions
Given the investment horizon of 90 days Nyxoah is expected to generate 9.32 times more return on investment than Oceantech Acquisitions. However, Nyxoah is 9.32 times more volatile than Oceantech Acquisitions I. It trades about 0.04 of its potential returns per unit of risk. Oceantech Acquisitions I is currently generating about 0.05 per unit of risk. If you would invest 533.00 in Nyxoah on September 12, 2024 and sell it today you would earn a total of 263.80 from holding Nyxoah or generate 49.49% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 29.29% |
| Values | Daily Returns |
Nyxoah vs. Oceantech Acquisitions I
Performance |
| Timeline |
| Nyxoah |
| Oceantech Acquisitions |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Nyxoah and Oceantech Acquisitions Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Nyxoah and Oceantech Acquisitions
The main advantage of trading using opposite Nyxoah and Oceantech Acquisitions positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nyxoah position performs unexpectedly, Oceantech Acquisitions 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 Oceantech Acquisitions will offset losses from the drop in Oceantech Acquisitions' long position.| Nyxoah vs. West Pharmaceutical Services | Nyxoah vs. Alcon AG | Nyxoah vs. ResMed Inc | Nyxoah vs. ICU Medical |
| Oceantech Acquisitions vs. Amkor Technology | Oceantech Acquisitions vs. Franklin Wireless Corp | Oceantech Acquisitions vs. Uber Technologies | Oceantech Acquisitions vs. Nyxoah |
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 Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.
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