Correlation Between Anteris Technologies and Artivion

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

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

Diversification Opportunities for Anteris Technologies and Artivion

-0.58

Correlation Coefficient

Anteris Technologies  Artivion

Excellent diversification

The 3 months correlation between Anteris and Artivion is -0.58. Overlapping area represents the amount of risk that can be diversified away by holding Anteris Technologies and Artivion in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Artivion and Anteris Technologies 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 Anteris Technologies are associated (or correlated) with Artivion. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Artivion has no effect on the direction of Anteris Technologies i.e., Anteris Technologies and Artivion go up and down completely randomly.

Pair Corralation between Anteris Technologies and Artivion

Assuming the 90 days horizon Anteris Technologies is expected to under-perform the Artivion. In addition to that, Anteris Technologies is 3.16 times more volatile than Artivion. It trades about -0.01 of its total potential returns per unit of risk. Artivion is currently generating about 0.15 per unit of volatility. If you would invest  2,561  in Artivion on September 5, 2024 and sell it today you would earn a total of  407.00  from holding Artivion or generate 15.89% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Very Weak
Accuracy	98.44%
Values	Daily Returns

Anteris Technologies  vs.  Artivion

Anteris Technologies

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Anteris Technologies has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable basic indicators, Anteris Technologies is not utilizing all of its potentials. The newest stock price disturbance, may contribute to mid-run losses for the stockholders.

Artivion

Risk-Adjusted Performance

11 of 100

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Artivion are ranked lower than 11 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively conflicting basic indicators, Artivion unveiled solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Anteris Technologies and Artivion

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

The idea behind Anteris Technologies and Artivion 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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..