Correlation Between WaferGen Bio and Integra LifeSciences
Can any of the company-specific risk be diversified away by investing in both WaferGen Bio and Integra LifeSciences 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 WaferGen Bio and Integra LifeSciences into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between WaferGen Bio systems and Integra LifeSciences Holdings, you can compare the effects of market volatilities on WaferGen Bio and Integra LifeSciences 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 WaferGen Bio with a short position of Integra LifeSciences. Check out your portfolio center. Please also check ongoing floating volatility patterns of WaferGen Bio and Integra LifeSciences.
Diversification Opportunities for WaferGen Bio and Integra LifeSciences
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between WaferGen and Integra is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding WaferGen Bio systems and Integra LifeSciences Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Integra LifeSciences and WaferGen Bio 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 WaferGen Bio systems are associated (or correlated) with Integra LifeSciences. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Integra LifeSciences has no effect on the direction of WaferGen Bio i.e., WaferGen Bio and Integra LifeSciences go up and down completely randomly.
Pair Corralation between WaferGen Bio and Integra LifeSciences
If you would invest (100.00) in WaferGen Bio systems on January 26, 2024 and sell it today you would earn a total of 100.00 from holding WaferGen Bio systems 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 |
WaferGen Bio systems vs. Integra LifeSciences Holdings
Performance |
| Timeline |
| WaferGen Bio systems |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Integra LifeSciences |
WaferGen Bio and Integra LifeSciences Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with WaferGen Bio and Integra LifeSciences
The main advantage of trading using opposite WaferGen Bio and Integra LifeSciences positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if WaferGen Bio position performs unexpectedly, Integra LifeSciences 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 Integra LifeSciences will offset losses from the drop in Integra LifeSciences' long position.| WaferGen Bio vs. Stevanato Group SpA | WaferGen Bio vs. Global E Online | WaferGen Bio vs. Stagwell | WaferGen Bio vs. WPP PLC ADR |
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 Equity Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.
Other Complementary Tools
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Stocks Directory Find actively traded stocks across global markets |