Correlation Between GeoVax Labs and Anthera Pharmaceuticals

Can any of the company-specific risk be diversified away by investing in both GeoVax Labs and Anthera Pharmaceuticals 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 GeoVax Labs and Anthera Pharmaceuticals into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between GeoVax Labs and Anthera Pharmaceuticals, you can compare the effects of market volatilities on GeoVax Labs and Anthera Pharmaceuticals 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 GeoVax Labs with a short position of Anthera Pharmaceuticals. Check out your portfolio center. Please also check ongoing floating volatility patterns of GeoVax Labs and Anthera Pharmaceuticals.

Diversification Opportunities for GeoVax Labs and Anthera Pharmaceuticals

0.0

Correlation Coefficient

GeoVax Labs  Anthera Pharmaceuticals

Pay attention - limited upside

The 3 months correlation between GeoVax and Anthera is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding GeoVax Labs and Anthera Pharmaceuticals in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anthera Pharmaceuticals and GeoVax Labs 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 GeoVax Labs are associated (or correlated) with Anthera Pharmaceuticals. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anthera Pharmaceuticals has no effect on the direction of GeoVax Labs i.e., GeoVax Labs and Anthera Pharmaceuticals go up and down completely randomly.

Pair Corralation between GeoVax Labs and Anthera Pharmaceuticals

If you would invest (100.00) in Anthera Pharmaceuticals on December 21, 2024 and sell it today you would earn a total of  100.00  from holding Anthera Pharmaceuticals or generate -100.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

GeoVax Labs  vs.  Anthera Pharmaceuticals

GeoVax Labs

Risk-Adjusted Performance

Very Weak

Over the last 90 days GeoVax Labs has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's basic indicators remain fairly strong which may send shares a bit higher in April 2025. The current disturbance may also be a sign of long term up-swing for the company investors.

Anthera Pharmaceuticals

Risk-Adjusted Performance

Very Weak

Over the last 90 days Anthera Pharmaceuticals has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fairly strong basic indicators, Anthera Pharmaceuticals is not utilizing all of its potentials. The current stock price confusion, may contribute to short-horizon losses for the traders.

Pair Trading with GeoVax Labs and Anthera Pharmaceuticals

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

The idea behind GeoVax Labs and Anthera Pharmaceuticals 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.

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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.