Correlation Between Barings BDC and Apogee Therapeutics,

Can any of the company-specific risk be diversified away by investing in both Barings BDC and Apogee Therapeutics, 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 Barings BDC and Apogee Therapeutics, into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Barings BDC and Apogee Therapeutics, Common, you can compare the effects of market volatilities on Barings BDC and Apogee Therapeutics, 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 Barings BDC with a short position of Apogee Therapeutics,. Check out your portfolio center. Please also check ongoing floating volatility patterns of Barings BDC and Apogee Therapeutics,.

Diversification Opportunities for Barings BDC and Apogee Therapeutics,

-0.57

Correlation Coefficient

Barings BDC  Apogee Therapeutics,

Excellent diversification

The 3 months correlation between Barings and Apogee is -0.57. Overlapping area represents the amount of risk that can be diversified away by holding Barings BDC and Apogee Therapeutics, Common in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Apogee Therapeutics, and Barings BDC 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 Barings BDC are associated (or correlated) with Apogee Therapeutics,. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Apogee Therapeutics, has no effect on the direction of Barings BDC i.e., Barings BDC and Apogee Therapeutics, go up and down completely randomly.

Pair Corralation between Barings BDC and Apogee Therapeutics,

Given the investment horizon of 90 days Barings BDC is expected to generate 9.3 times less return on investment than Apogee Therapeutics,. But when comparing it to its historical volatility, Barings BDC is 3.43 times less risky than Apogee Therapeutics,. It trades about 0.02 of its potential returns per unit of risk. Apogee Therapeutics, Common is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest  4,012  in Apogee Therapeutics, Common on October 7, 2024 and sell it today you would earn a total of  765.00  from holding Apogee Therapeutics, Common or generate 19.07% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Very Weak
Accuracy	100.0%
Values	Daily Returns

Barings BDC  vs.  Apogee Therapeutics, Common

Barings BDC

Risk-Adjusted Performance

4 of 100

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in Barings BDC are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. In spite of rather sound fundamental indicators, Barings BDC is not utilizing all of its potentials. The latest stock price tumult, may contribute to shorter-term losses for the shareholders.

Apogee Therapeutics,

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Apogee Therapeutics, Common has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest unfluctuating performance, the Stock's technical and fundamental indicators remain sound and the latest tumult on Wall Street may also be a sign of longer-term gains for the firm shareholders.

Pair Trading with Barings BDC and Apogee Therapeutics,

The main advantage of trading using opposite Barings BDC and Apogee Therapeutics, positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Barings BDC position performs unexpectedly, Apogee Therapeutics, 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 Apogee Therapeutics, will offset losses from the drop in Apogee Therapeutics,'s long position.

The idea behind Barings BDC and Apogee Therapeutics, Common pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.