Correlation Between Indaptus Therapeutics and Agenus

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

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

Diversification Opportunities for Indaptus Therapeutics and Agenus

-0.74

Correlation Coefficient

Indaptus Therapeutics  Agenus

Pay attention - limited upside

The 3 months correlation between Indaptus and Agenus is -0.74. Overlapping area represents the amount of risk that can be diversified away by holding Indaptus Therapeutics and Agenus Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Agenus Inc and Indaptus Therapeutics 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 Indaptus Therapeutics are associated (or correlated) with Agenus. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Agenus Inc has no effect on the direction of Indaptus Therapeutics i.e., Indaptus Therapeutics and Agenus go up and down completely randomly.

Pair Corralation between Indaptus Therapeutics and Agenus

Given the investment horizon of 90 days Indaptus Therapeutics is expected to generate 0.71 times more return on investment than Agenus. However, Indaptus Therapeutics is 1.41 times less risky than Agenus. It trades about 0.11 of its potential returns per unit of risk. Agenus Inc is currently generating about 0.0 per unit of risk. If you would invest  170.00  in Indaptus Therapeutics on February 18, 2024 and sell it today you would earn a total of  61.00  from holding Indaptus Therapeutics or generate 35.88% return on investment over 90 days.

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

Indaptus Therapeutics  vs.  Agenus Inc

Indaptus Therapeutics

Risk-Adjusted Performance

8 of 100

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Indaptus Therapeutics are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Even with relatively unfluctuating fundamental indicators, Indaptus Therapeutics reported solid returns over the last few months and may actually be approaching a breakup point.

Agenus Inc

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Agenus Inc has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of very healthy technical and fundamental indicators, Agenus is not utilizing all of its potentials. The recent stock price disarray, may contribute to short-term losses for the investors.

Pair Trading with Indaptus Therapeutics and Agenus

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

The idea behind Indaptus Therapeutics and Agenus Inc 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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.