Correlation Between Fennec Pharmaceuticals and Inhibrx Biosciences,

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

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

Diversification Opportunities for Fennec Pharmaceuticals and Inhibrx Biosciences,

0.05

Correlation Coefficient

Fennec Pharmaceuticals  Inhibrx Biosciences,

Significant diversification

The 3 months correlation between Fennec and Inhibrx is 0.05. Overlapping area represents the amount of risk that can be diversified away by holding Fennec Pharmaceuticals and Inhibrx Biosciences, in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Inhibrx Biosciences, and Fennec Pharmaceuticals 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 Fennec Pharmaceuticals are associated (or correlated) with Inhibrx Biosciences,. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Inhibrx Biosciences, has no effect on the direction of Fennec Pharmaceuticals i.e., Fennec Pharmaceuticals and Inhibrx Biosciences, go up and down completely randomly.

Pair Corralation between Fennec Pharmaceuticals and Inhibrx Biosciences,

Given the investment horizon of 90 days Fennec Pharmaceuticals is expected to generate 111.69 times less return on investment than Inhibrx Biosciences,. But when comparing it to its historical volatility, Fennec Pharmaceuticals is 4.34 times less risky than Inhibrx Biosciences,. It trades about 0.01 of its potential returns per unit of risk. Inhibrx Biosciences, is currently generating about 0.2 of returns per unit of risk over similar time horizon. If you would invest  2,180  in Inhibrx Biosciences, on August 3, 2025 and sell it today you would earn a total of  5,986  from holding Inhibrx Biosciences, or generate 274.59% return on investment over 90 days.

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

Fennec Pharmaceuticals  vs.  Inhibrx Biosciences,

Fennec Pharmaceuticals

Risk-Adjusted Performance

Weakest

Over the last 90 days Fennec Pharmaceuticals has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of rather sound basic indicators, Fennec Pharmaceuticals is not utilizing all of its potentials. The newest stock price tumult, may contribute to shorter-term losses for the shareholders.

Inhibrx Biosciences,

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Inhibrx Biosciences, are ranked lower than 15 (%) of all global equities and portfolios over the last 90 days. In spite of fairly weak fundamental drivers, Inhibrx Biosciences, showed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Fennec Pharmaceuticals and Inhibrx Biosciences,

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

The idea behind Fennec Pharmaceuticals and Inhibrx 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.

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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.