Correlation Between Oncologix Tech and China Health
Can any of the company-specific risk be diversified away by investing in both Oncologix Tech and China 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 Oncologix Tech and China Health into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oncologix Tech and China Health Management, you can compare the effects of market volatilities on Oncologix Tech and China 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 Oncologix Tech with a short position of China Health. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oncologix Tech and China Health.
Diversification Opportunities for Oncologix Tech and China Health
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Oncologix and China is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Oncologix Tech and China Health Management in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on China Health Management and Oncologix Tech 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 Oncologix Tech are associated (or correlated) with China Health. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of China Health Management has no effect on the direction of Oncologix Tech i.e., Oncologix Tech and China Health go up and down completely randomly.
Pair Corralation between Oncologix Tech and China Health
Given the investment horizon of 90 days Oncologix Tech is expected to under-perform the China Health. But the pink sheet apears to be less risky and, when comparing its historical volatility, Oncologix Tech is 1.91 times less risky than China Health. The pink sheet trades about -0.09 of its potential returns per unit of risk. The China Health Management is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest 0.41 in China Health Management on September 3, 2024 and sell it today you would lose (0.01) from holding China Health Management or give up 2.44% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 99.21% |
| Values | Daily Returns |
Oncologix Tech vs. China Health Management
Performance |
| Timeline |
| Oncologix Tech |
| China Health Management |
Oncologix Tech and China Health Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oncologix Tech and China Health
The main advantage of trading using opposite Oncologix Tech and China Health positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oncologix Tech position performs unexpectedly, China 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 China Health will offset losses from the drop in China Health's long position.| Oncologix Tech vs. Pmv Pharmaceuticals | Oncologix Tech vs. MediciNova | Oncologix Tech vs. Pharvaris BV | Oncologix Tech vs. PepGen |
| China Health vs. Absolute Health and | China Health vs. Embrace Change Acquisition | China Health vs. Supurva Healthcare Group | China Health vs. TransAKT |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
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