Correlation Between Xbrane Biopharma and Hansa Biopharma
Can any of the company-specific risk be diversified away by investing in both Xbrane Biopharma and Hansa Biopharma 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 Xbrane Biopharma and Hansa Biopharma into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Xbrane Biopharma AB and Hansa Biopharma AB, you can compare the effects of market volatilities on Xbrane Biopharma and Hansa Biopharma 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 Xbrane Biopharma with a short position of Hansa Biopharma. Check out your portfolio center. Please also check ongoing floating volatility patterns of Xbrane Biopharma and Hansa Biopharma.
Diversification Opportunities for Xbrane Biopharma and Hansa Biopharma
0.14 | Correlation Coefficient |
Average diversification
The 3 months correlation between Xbrane and Hansa is 0.14. Overlapping area represents the amount of risk that can be diversified away by holding Xbrane Biopharma AB and Hansa Biopharma AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hansa Biopharma AB and Xbrane Biopharma 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 Xbrane Biopharma AB are associated (or correlated) with Hansa Biopharma. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hansa Biopharma AB has no effect on the direction of Xbrane Biopharma i.e., Xbrane Biopharma and Hansa Biopharma go up and down completely randomly.
Pair Corralation between Xbrane Biopharma and Hansa Biopharma
Assuming the 90 days trading horizon Xbrane Biopharma AB is expected to generate 1.45 times more return on investment than Hansa Biopharma. However, Xbrane Biopharma is 1.45 times more volatile than Hansa Biopharma AB. It trades about 0.02 of its potential returns per unit of risk. Hansa Biopharma AB is currently generating about -0.44 per unit of risk. If you would invest 16.00 in Xbrane Biopharma AB on October 25, 2024 and sell it today you would earn a total of 0.00 from holding Xbrane Biopharma AB or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Xbrane Biopharma AB vs. Hansa Biopharma AB
Performance |
| Timeline |
| Xbrane Biopharma |
| Hansa Biopharma AB |
Xbrane Biopharma and Hansa Biopharma Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Xbrane Biopharma and Hansa Biopharma
The main advantage of trading using opposite Xbrane Biopharma and Hansa Biopharma positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Xbrane Biopharma position performs unexpectedly, Hansa Biopharma 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 Hansa Biopharma will offset losses from the drop in Hansa Biopharma's long position.| Xbrane Biopharma vs. Hansa Biopharma AB | Xbrane Biopharma vs. Vicore Pharma Holding | Xbrane Biopharma vs. XSpray Pharma AB | Xbrane Biopharma vs. Saniona AB |
| Hansa Biopharma vs. Oncopeptides AB | Hansa Biopharma vs. ExpreS2ion Biotech Holding | Hansa Biopharma vs. BioInvent International AB | Hansa Biopharma vs. Zealand Pharma AS |
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 Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.
Other Complementary Tools
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges |