Correlation Between Nyxoah and DNBNO

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

By analyzing existing cross correlation between Nyxoah and DNBNO 1535 25 MAY 27, you can compare the effects of market volatilities on Nyxoah and DNBNO 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 Nyxoah with a short position of DNBNO. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nyxoah and DNBNO.

Diversification Opportunities for Nyxoah and DNBNO

0.3

Correlation Coefficient

Nyxoah  DNBNO

Weak diversification

The 3 months correlation between Nyxoah and DNBNO is 0.3. Overlapping area represents the amount of risk that can be diversified away by holding Nyxoah and DNBNO 1535 25 MAY 27 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on DNBNO 1535 25 and Nyxoah 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 Nyxoah are associated (or correlated) with DNBNO. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of DNBNO 1535 25 has no effect on the direction of Nyxoah i.e., Nyxoah and DNBNO go up and down completely randomly.

Pair Corralation between Nyxoah and DNBNO

Given the investment horizon of 90 days Nyxoah is expected to generate 6.09 times more return on investment than DNBNO. However, Nyxoah is 6.09 times more volatile than DNBNO 1535 25 MAY 27. It trades about 0.04 of its potential returns per unit of risk. DNBNO 1535 25 MAY 27 is currently generating about 0.02 per unit of risk. If you would invest  520.00  in Nyxoah on September 14, 2024 and sell it today you would earn a total of  280.00  from holding Nyxoah or generate 53.85% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Very Weak
Accuracy	31.72%
Values	Daily Returns

Nyxoah  vs.  DNBNO 1535 25 MAY 27

Nyxoah

Risk-Adjusted Performance

0 of 100

Very Weak

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

DNBNO 1535 25

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days DNBNO 1535 25 MAY 27 has generated negative risk-adjusted returns adding no value to investors with long positions. Despite unsteady performance in the last few months, the Bond's basic indicators remain somewhat strong which may send shares a bit higher in January 2025. The current disturbance may also be a sign of long term up-swing for DNBNO 1535 25 MAY 27 investors.

Pair Trading with Nyxoah and DNBNO

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

The idea behind Nyxoah and DNBNO 1535 25 MAY 27 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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.