Correlation Between Repligen and Nyxoah
Can any of the company-specific risk be diversified away by investing in both Repligen and Nyxoah 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 Repligen and Nyxoah into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Repligen and Nyxoah, you can compare the effects of market volatilities on Repligen and Nyxoah 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 Repligen with a short position of Nyxoah. Check out your portfolio center. Please also check ongoing floating volatility patterns of Repligen and Nyxoah.
Diversification Opportunities for Repligen and Nyxoah
Very good diversification
The 3 months correlation between Repligen and Nyxoah is -0.22. Overlapping area represents the amount of risk that can be diversified away by holding Repligen and Nyxoah in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nyxoah and Repligen 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 Repligen are associated (or correlated) with Nyxoah. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nyxoah has no effect on the direction of Repligen i.e., Repligen and Nyxoah go up and down completely randomly.
Pair Corralation between Repligen and Nyxoah
Given the investment horizon of 90 days Repligen is expected to generate 1.3 times more return on investment than Nyxoah. However, Repligen is 1.3 times more volatile than Nyxoah. It trades about 0.05 of its potential returns per unit of risk. Nyxoah is currently generating about 0.02 per unit of risk. If you would invest 14,193 in Repligen on September 12, 2024 and sell it today you would earn a total of 1,001 from holding Repligen or generate 7.05% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 98.44% |
Values | Daily Returns |
Repligen vs. Nyxoah
Performance |
Timeline |
Repligen |
Nyxoah |
Repligen and Nyxoah Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Repligen and Nyxoah
The main advantage of trading using opposite Repligen and Nyxoah positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Repligen position performs unexpectedly, Nyxoah 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 Nyxoah will offset losses from the drop in Nyxoah's long position.Repligen vs. Intuitive Surgical | Repligen vs. ResMed Inc | Repligen vs. Merit Medical Systems | Repligen vs. ICU Medical |
Nyxoah vs. West Pharmaceutical Services | Nyxoah vs. Alcon AG | Nyxoah vs. ResMed Inc | Nyxoah vs. ICU Medical |
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 Stocks Directory module to find actively traded stocks across global markets.
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