Correlation Between Samsung Electronics and Aceragen
Can any of the company-specific risk be diversified away by investing in both Samsung Electronics and Aceragen 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 Samsung Electronics and Aceragen into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Samsung Electronics Co and Aceragen, you can compare the effects of market volatilities on Samsung Electronics and Aceragen 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 Samsung Electronics with a short position of Aceragen. Check out your portfolio center. Please also check ongoing floating volatility patterns of Samsung Electronics and Aceragen.
Diversification Opportunities for Samsung Electronics and Aceragen
-0.42 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Samsung and Aceragen is -0.42. Overlapping area represents the amount of risk that can be diversified away by holding Samsung Electronics Co and Aceragen in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Aceragen and Samsung Electronics 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 Samsung Electronics Co are associated (or correlated) with Aceragen. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aceragen has no effect on the direction of Samsung Electronics i.e., Samsung Electronics and Aceragen go up and down completely randomly.
Pair Corralation between Samsung Electronics and Aceragen
If you would invest 75.00 in Aceragen on September 3, 2024 and sell it today you would earn a total of 0.00 from holding Aceragen or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 5.0% |
| Values | Daily Returns |
Samsung Electronics Co vs. Aceragen
Performance |
| Timeline |
| Samsung Electronics |
| Aceragen |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Samsung Electronics and Aceragen Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Samsung Electronics and Aceragen
The main advantage of trading using opposite Samsung Electronics and Aceragen positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Samsung Electronics position performs unexpectedly, Aceragen 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 Aceragen will offset losses from the drop in Aceragen's long position.| Samsung Electronics vs. Apple Inc | Samsung Electronics vs. Microsoft | Samsung Electronics vs. Amazon Inc | Samsung Electronics vs. Alphabet Inc Class C |
| Aceragen vs. Addex Therapeutics | Aceragen vs. Soligenix | Aceragen vs. Avenue Therapeutics | Aceragen vs. Akari Therapeutics PLC |
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 Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated |