Correlation Between Repligen and Allient
Can any of the company-specific risk be diversified away by investing in both Repligen and Allient 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 Repligen and Allient into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Repligen and Allient, you can compare the effects of market volatilities on Repligen and Allient 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 Repligen with a short position of Allient. Check out your portfolio center. Please also check ongoing floating volatility patterns of Repligen and Allient.
Diversification Opportunities for Repligen and Allient
Significant diversification
The 3 months correlation between Repligen and Allient is 0.01. Overlapping area represents the amount of risk that can be diversified away by holding Repligen and Allient in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Allient and Repligen 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 Repligen are associated (or correlated) with Allient. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Allient has no effect on the direction of Repligen i.e., Repligen and Allient go up and down completely randomly.
Pair Corralation between Repligen and Allient
Given the investment horizon of 90 days Repligen is expected to under-perform the Allient. But the stock apears to be less risky and, when comparing its historical volatility, Repligen is 1.03 times less risky than Allient. The stock trades about -0.03 of its potential returns per unit of risk. The Allient is currently generating about 0.0 of returns per unit of risk over similar time horizon. If you would invest 2,773 in Allient on August 28, 2024 and sell it today you would lose (244.00) from holding Allient or give up 8.8% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Repligen vs. Allient
Performance |
| Timeline |
| Repligen |
| Allient |
Repligen and Allient Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Repligen and Allient
The main advantage of trading using opposite Repligen and Allient positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Repligen position performs unexpectedly, Allient 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 Allient will offset losses from the drop in Allient's long position.| Repligen vs. Fonar | Repligen vs. Burning Rock Biotech | Repligen vs. Sera Prognostics | Repligen vs. Exagen Inc |
| Allient vs. Summa Silver Corp | Allient vs. Paysafe | Allient vs. Red Branch Technologies | Allient vs. Arrow Electronics |
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 Commodity Directory module to find actively traded commodities issued by global exchanges.
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