Correlation Between ASURE SOFTWARE and CanSino Biologics
Can any of the company-specific risk be diversified away by investing in both ASURE SOFTWARE and CanSino Biologics 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 ASURE SOFTWARE and CanSino Biologics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between ASURE SOFTWARE and CanSino Biologics, you can compare the effects of market volatilities on ASURE SOFTWARE and CanSino Biologics 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 ASURE SOFTWARE with a short position of CanSino Biologics. Check out your portfolio center. Please also check ongoing floating volatility patterns of ASURE SOFTWARE and CanSino Biologics.
Diversification Opportunities for ASURE SOFTWARE and CanSino Biologics
0.19 | Correlation Coefficient |
Average diversification
The 3 months correlation between ASURE and CanSino is 0.19. Overlapping area represents the amount of risk that can be diversified away by holding ASURE SOFTWARE and CanSino Biologics in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CanSino Biologics and ASURE SOFTWARE 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 ASURE SOFTWARE are associated (or correlated) with CanSino Biologics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CanSino Biologics has no effect on the direction of ASURE SOFTWARE i.e., ASURE SOFTWARE and CanSino Biologics go up and down completely randomly.
Pair Corralation between ASURE SOFTWARE and CanSino Biologics
Assuming the 90 days trading horizon ASURE SOFTWARE is expected to generate 1.1 times more return on investment than CanSino Biologics. However, ASURE SOFTWARE is 1.1 times more volatile than CanSino Biologics. It trades about 0.31 of its potential returns per unit of risk. CanSino Biologics is currently generating about -0.11 per unit of risk. If you would invest 910.00 in ASURE SOFTWARE on October 17, 2024 and sell it today you would earn a total of 200.00 from holding ASURE SOFTWARE or generate 21.98% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
ASURE SOFTWARE vs. CanSino Biologics
Performance |
| Timeline |
| ASURE SOFTWARE |
| CanSino Biologics |
ASURE SOFTWARE and CanSino Biologics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ASURE SOFTWARE and CanSino Biologics
The main advantage of trading using opposite ASURE SOFTWARE and CanSino Biologics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ASURE SOFTWARE position performs unexpectedly, CanSino Biologics 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 CanSino Biologics will offset losses from the drop in CanSino Biologics' long position.| ASURE SOFTWARE vs. SWISS WATER DECAFFCOFFEE | ASURE SOFTWARE vs. CSSC Offshore Marine | ASURE SOFTWARE vs. SOGECLAIR SA INH | ASURE SOFTWARE vs. CanSino Biologics |
| CanSino Biologics vs. ASURE SOFTWARE | CanSino Biologics vs. Diamyd Medical AB | CanSino Biologics vs. CompuGroup Medical SE | CanSino Biologics vs. SPECTRAL MEDICAL |
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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |