Correlation Between Boston Scientific and Imagin Medical
Can any of the company-specific risk be diversified away by investing in both Boston Scientific and Imagin Medical 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 Boston Scientific and Imagin Medical into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Boston Scientific Corp and Imagin Medical, you can compare the effects of market volatilities on Boston Scientific and Imagin Medical 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 Boston Scientific with a short position of Imagin Medical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Boston Scientific and Imagin Medical.
Diversification Opportunities for Boston Scientific and Imagin Medical
-0.64 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Boston and Imagin is -0.64. Overlapping area represents the amount of risk that can be diversified away by holding Boston Scientific Corp and Imagin Medical in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Imagin Medical and Boston Scientific 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 Boston Scientific Corp are associated (or correlated) with Imagin Medical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Imagin Medical has no effect on the direction of Boston Scientific i.e., Boston Scientific and Imagin Medical go up and down completely randomly.
Pair Corralation between Boston Scientific and Imagin Medical
If you would invest 0.01 in Imagin Medical on September 25, 2024 and sell it today you would earn a total of 0.00 from holding Imagin Medical or generate 0.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Weak |
Accuracy | 100.0% |
Values | Daily Returns |
Boston Scientific Corp vs. Imagin Medical
Performance |
Timeline |
Boston Scientific Corp |
Imagin Medical |
Boston Scientific and Imagin Medical Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Boston Scientific and Imagin Medical
The main advantage of trading using opposite Boston Scientific and Imagin Medical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Boston Scientific position performs unexpectedly, Imagin Medical 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 Imagin Medical will offset losses from the drop in Imagin Medical's long position.Boston Scientific vs. Stryker | Boston Scientific vs. Abbott Laboratories | Boston Scientific vs. Medtronic PLC | Boston Scientific vs. DexCom Inc |
Imagin Medical vs. Vivos Therapeutics | Imagin Medical vs. Cerus | Imagin Medical vs. Boston Scientific Corp | Imagin Medical vs. Novacyt SA |
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 Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
Other Complementary Tools
Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
FinTech Suite Use AI to screen and filter profitable investment opportunities | |
Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas |