Correlation Between ContraFect and Cellectar Biosciences

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

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

Diversification Opportunities for ContraFect and Cellectar Biosciences

0.0

Correlation Coefficient

ContraFect  Cellectar Biosciences

Pay attention - limited upside

The 3 months correlation between ContraFect and Cellectar is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding ContraFect and Cellectar Biosciences in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cellectar Biosciences and ContraFect 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 ContraFect are associated (or correlated) with Cellectar Biosciences. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cellectar Biosciences has no effect on the direction of ContraFect i.e., ContraFect and Cellectar Biosciences go up and down completely randomly.

Pair Corralation between ContraFect and Cellectar Biosciences

If you would invest (100.00) in ContraFect on May 2, 2025 and sell it today you would earn a total of  100.00  from holding ContraFect 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

ContraFect  vs.  Cellectar Biosciences

ContraFect

Risk-Adjusted Performance

Very Weak

Over the last 90 days ContraFect has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable basic indicators, ContraFect is not utilizing all of its potentials. The current stock price agitation, may contribute to short-term losses for the retail investors.

Cellectar Biosciences

Risk-Adjusted Performance

Very Weak

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

Pair Trading with ContraFect and Cellectar Biosciences

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

The idea behind ContraFect and Cellectar Biosciences 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 Stocks Directory module to find actively traded stocks across global markets.