Correlation Between OpGen and VentriPoint Diagnostics
Can any of the company-specific risk be diversified away by investing in both OpGen and VentriPoint Diagnostics 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 OpGen and VentriPoint Diagnostics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between OpGen Inc and VentriPoint Diagnostics, you can compare the effects of market volatilities on OpGen and VentriPoint Diagnostics 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 OpGen with a short position of VentriPoint Diagnostics. Check out your portfolio center. Please also check ongoing floating volatility patterns of OpGen and VentriPoint Diagnostics.
Diversification Opportunities for OpGen and VentriPoint Diagnostics
0.42 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between OpGen and VentriPoint is 0.42. Overlapping area represents the amount of risk that can be diversified away by holding OpGen Inc and VentriPoint Diagnostics in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on VentriPoint Diagnostics and OpGen 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 OpGen Inc are associated (or correlated) with VentriPoint Diagnostics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of VentriPoint Diagnostics has no effect on the direction of OpGen i.e., OpGen and VentriPoint Diagnostics go up and down completely randomly.
Pair Corralation between OpGen and VentriPoint Diagnostics
Given the investment horizon of 90 days OpGen Inc is expected to under-perform the VentriPoint Diagnostics. In addition to that, OpGen is 2.04 times more volatile than VentriPoint Diagnostics. It trades about 0.0 of its total potential returns per unit of risk. VentriPoint Diagnostics is currently generating about 0.0 per unit of volatility. If you would invest 20.00 in VentriPoint Diagnostics on August 24, 2024 and sell it today you would lose (11.42) from holding VentriPoint Diagnostics or give up 57.1% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 87.3% |
| Values | Daily Returns |
OpGen Inc vs. VentriPoint Diagnostics
Performance |
| Timeline |
| OpGen Inc |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| VentriPoint Diagnostics |
OpGen and VentriPoint Diagnostics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with OpGen and VentriPoint Diagnostics
The main advantage of trading using opposite OpGen and VentriPoint Diagnostics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if OpGen position performs unexpectedly, VentriPoint Diagnostics 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 VentriPoint Diagnostics will offset losses from the drop in VentriPoint Diagnostics' long position.| OpGen vs. Bone Biologics Corp | OpGen vs. NanoVibronix | OpGen vs. Bluejay Diagnostics | OpGen vs. Vivos Therapeutics |
| VentriPoint Diagnostics vs. Armm Inc | VentriPoint Diagnostics vs. Cellink AB | VentriPoint Diagnostics vs. Bone Biologics Corp | VentriPoint Diagnostics vs. BICO Group AB |
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 Correlation Analysis module to reduce portfolio risk simply by holding instruments which are not perfectly correlated.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios |