Correlation Between Immuneering Corp and Ginkgo Bioworks

Can any of the company-specific risk be diversified away by investing in both Immuneering Corp and Ginkgo Bioworks 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 Immuneering Corp and Ginkgo Bioworks into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Immuneering Corp and Ginkgo Bioworks Holdings, you can compare the effects of market volatilities on Immuneering Corp and Ginkgo Bioworks 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 Immuneering Corp with a short position of Ginkgo Bioworks. Check out your portfolio center. Please also check ongoing floating volatility patterns of Immuneering Corp and Ginkgo Bioworks.

Diversification Opportunities for Immuneering Corp and Ginkgo Bioworks

0.43

Correlation Coefficient

Immuneering Corp  Ginkgo Bioworks

Very weak diversification

The 3 months correlation between Immuneering and Ginkgo is 0.43. Overlapping area represents the amount of risk that can be diversified away by holding Immuneering Corp and Ginkgo Bioworks Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ginkgo Bioworks Holdings and Immuneering Corp 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 Immuneering Corp are associated (or correlated) with Ginkgo Bioworks. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ginkgo Bioworks Holdings has no effect on the direction of Immuneering Corp i.e., Immuneering Corp and Ginkgo Bioworks go up and down completely randomly.

Pair Corralation between Immuneering Corp and Ginkgo Bioworks

Given the investment horizon of 90 days Immuneering Corp is expected to under-perform the Ginkgo Bioworks. But the stock apears to be less risky and, when comparing its historical volatility, Immuneering Corp is 1.9 times less risky than Ginkgo Bioworks. The stock trades about -0.11 of its potential returns per unit of risk. The Ginkgo Bioworks Holdings is currently generating about -0.03 of returns per unit of risk over similar time horizon. If you would invest  946.00  in Ginkgo Bioworks Holdings on December 21, 2024 and sell it today you would lose (243.00) from holding Ginkgo Bioworks Holdings or give up 25.69% of portfolio value over 90 days.

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

Immuneering Corp  vs.  Ginkgo Bioworks Holdings

Immuneering Corp

Risk-Adjusted Performance

Very Weak

Over the last 90 days Immuneering Corp 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.

Ginkgo Bioworks Holdings

Risk-Adjusted Performance

Very Weak

Over the last 90 days Ginkgo Bioworks Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. Despite weak performance in the last few months, the Stock's basic indicators remain somewhat 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.

Pair Trading with Immuneering Corp and Ginkgo Bioworks

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

The idea behind Immuneering Corp and Ginkgo Bioworks Holdings 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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.