Correlation Between Cellectar Biosciences and ContraFect

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

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

Diversification Opportunities for Cellectar Biosciences and ContraFect

0.0

Correlation Coefficient

Cellectar Biosciences  ContraFect

Pay attention - limited upside

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

Pair Corralation between Cellectar Biosciences and ContraFect

If you would invest (100.00) in ContraFect on May 5, 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

Cellectar Biosciences  vs.  ContraFect

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 September 2025. The current disturbance may also be a sign of long term up-swing for the company investors.

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 latest stock price agitation, may contribute to short-term losses for the retail investors.

Pair Trading with Cellectar Biosciences and ContraFect

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

The idea behind Cellectar Biosciences and ContraFect 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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.