Correlation Between Nyxoah and FEDEX

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

By analyzing existing cross correlation between Nyxoah and FEDEX P 51, you can compare the effects of market volatilities on Nyxoah and FEDEX 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 Nyxoah with a short position of FEDEX. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nyxoah and FEDEX.

Diversification Opportunities for Nyxoah and FEDEX

-0.29

Correlation Coefficient

Nyxoah  FEDEX

Very good diversification

The 3 months correlation between Nyxoah and FEDEX is -0.29. Overlapping area represents the amount of risk that can be diversified away by holding Nyxoah and FEDEX P 51 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on FEDEX P 51 and Nyxoah 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 Nyxoah are associated (or correlated) with FEDEX. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FEDEX P 51 has no effect on the direction of Nyxoah i.e., Nyxoah and FEDEX go up and down completely randomly.

Pair Corralation between Nyxoah and FEDEX

Given the investment horizon of 90 days Nyxoah is expected to under-perform the FEDEX. In addition to that, Nyxoah is 1.91 times more volatile than FEDEX P 51. It trades about -0.33 of its total potential returns per unit of risk. FEDEX P 51 is currently generating about 0.0 per unit of volatility. If you would invest  9,333  in FEDEX P 51 on September 5, 2024 and sell it today you would lose (19.00) from holding FEDEX P 51 or give up 0.2% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	90.91%
Values	Daily Returns

Nyxoah  vs.  FEDEX P 51

Nyxoah

Risk-Adjusted Performance

3 of 100

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in Nyxoah are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. Despite fairly uncertain basic indicators, Nyxoah may actually be approaching a critical reversion point that can send shares even higher in January 2025.

FEDEX P 51

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days FEDEX P 51 has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest conflicting performance, the Bond's basic indicators remain strong and the current disturbance on Wall Street may also be a sign of long term gains for FEDEX P 51 investors.

Pair Trading with Nyxoah and FEDEX

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

The idea behind Nyxoah and FEDEX P 51 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 Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.