Correlation Between Smith Nephew and Ingen Technologies
Can any of the company-specific risk be diversified away by investing in both Smith Nephew and Ingen Technologies 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 Smith Nephew and Ingen Technologies into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Smith Nephew SNATS and Ingen Technologies, you can compare the effects of market volatilities on Smith Nephew and Ingen Technologies 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 Smith Nephew with a short position of Ingen Technologies. Check out your portfolio center. Please also check ongoing floating volatility patterns of Smith Nephew and Ingen Technologies.
Diversification Opportunities for Smith Nephew and Ingen Technologies
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Smith and Ingen is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Smith Nephew SNATS and Ingen Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ingen Technologies and Smith Nephew 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 Smith Nephew SNATS are associated (or correlated) with Ingen Technologies. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ingen Technologies has no effect on the direction of Smith Nephew i.e., Smith Nephew and Ingen Technologies go up and down completely randomly.
Pair Corralation between Smith Nephew and Ingen Technologies
If you would invest 0.00 in Ingen Technologies on January 24, 2024 and sell it today you would earn a total of 0.00 from holding Ingen Technologies or generate 0.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Flat |
Strength | Insignificant |
Accuracy | 99.51% |
Values | Daily Returns |
Smith Nephew SNATS vs. Ingen Technologies
Performance |
Timeline |
Smith Nephew SNATS |
Ingen Technologies |
Smith Nephew and Ingen Technologies Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Smith Nephew and Ingen Technologies
The main advantage of trading using opposite Smith Nephew and Ingen Technologies positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Smith Nephew position performs unexpectedly, Ingen Technologies 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 Ingen Technologies will offset losses from the drop in Ingen Technologies' long position.Smith Nephew vs. HealthStream | Smith Nephew vs. National Research Corp | Smith Nephew vs. HealthEquity | Smith Nephew vs. Health Catalyst |
Ingen Technologies vs. Ainos Inc | Ingen Technologies vs. SurModics | Ingen Technologies vs. LENSAR Inc | Ingen Technologies vs. IRIDEX |
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 Portfolio Dashboard module to portfolio dashboard that provides centralized access to all your investments.
Other Complementary Tools
Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
Global Correlations Find global opportunities by holding instruments from different markets | |
FinTech Suite Use AI to screen and filter profitable investment opportunities |