Correlation Between PepGen and Seer
Can any of the company-specific risk be diversified away by investing in both PepGen and Seer 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 PepGen and Seer into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between PepGen and Seer Inc, you can compare the effects of market volatilities on PepGen and Seer 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 PepGen with a short position of Seer. Check out your portfolio center. Please also check ongoing floating volatility patterns of PepGen and Seer.
Diversification Opportunities for PepGen and Seer
Pay attention - limited upside
The 3 months correlation between PepGen and Seer is -0.87. Overlapping area represents the amount of risk that can be diversified away by holding PepGen and Seer Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Seer Inc and PepGen 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 PepGen are associated (or correlated) with Seer. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Seer Inc has no effect on the direction of PepGen i.e., PepGen and Seer go up and down completely randomly.
Pair Corralation between PepGen and Seer
Given the investment horizon of 90 days PepGen is expected to under-perform the Seer. In addition to that, PepGen is 1.86 times more volatile than Seer Inc. It trades about -0.28 of its total potential returns per unit of risk. Seer Inc is currently generating about 0.33 per unit of volatility. If you would invest 194.00 in Seer Inc on August 29, 2024 and sell it today you would earn a total of 54.00 from holding Seer Inc or generate 27.84% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
PepGen vs. Seer Inc
Performance |
| Timeline |
| PepGen |
| Seer Inc |
PepGen and Seer Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with PepGen and Seer
The main advantage of trading using opposite PepGen and Seer positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PepGen position performs unexpectedly, Seer 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 Seer will offset losses from the drop in Seer's long position.| PepGen vs. Eliem Therapeutics | PepGen vs. Scpharmaceuticals | PepGen vs. Milestone Pharmaceuticals | PepGen vs. Seres Therapeutics |
| Seer vs. Oric Pharmaceuticals | Seer vs. Anebulo Pharmaceuticals | Seer vs. Cullinan Oncology LLC | Seer vs. C4 Therapeutics |
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.
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