Correlation Between ANGI Homeservices and Genius Sports
Can any of the company-specific risk be diversified away by investing in both ANGI Homeservices and Genius Sports 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 ANGI Homeservices and Genius Sports into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between ANGI Homeservices and Genius Sports, you can compare the effects of market volatilities on ANGI Homeservices and Genius Sports 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 ANGI Homeservices with a short position of Genius Sports. Check out your portfolio center. Please also check ongoing floating volatility patterns of ANGI Homeservices and Genius Sports.
Diversification Opportunities for ANGI Homeservices and Genius Sports
-0.65 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between ANGI and Genius is -0.65. Overlapping area represents the amount of risk that can be diversified away by holding ANGI Homeservices and Genius Sports in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Genius Sports and ANGI Homeservices 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 ANGI Homeservices are associated (or correlated) with Genius Sports. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Genius Sports has no effect on the direction of ANGI Homeservices i.e., ANGI Homeservices and Genius Sports go up and down completely randomly.
Pair Corralation between ANGI Homeservices and Genius Sports
Given the investment horizon of 90 days ANGI Homeservices is expected to generate 1.11 times more return on investment than Genius Sports. However, ANGI Homeservices is 1.11 times more volatile than Genius Sports. It trades about 0.18 of its potential returns per unit of risk. Genius Sports is currently generating about 0.08 per unit of risk. If you would invest 162.00 in ANGI Homeservices on November 3, 2024 and sell it today you would earn a total of 18.00 from holding ANGI Homeservices or generate 11.11% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
ANGI Homeservices vs. Genius Sports
Performance |
| Timeline |
| ANGI Homeservices |
| Genius Sports |
ANGI Homeservices and Genius Sports Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ANGI Homeservices and Genius Sports
The main advantage of trading using opposite ANGI Homeservices and Genius Sports positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ANGI Homeservices position performs unexpectedly, Genius Sports 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 Genius Sports will offset losses from the drop in Genius Sports' long position.| ANGI Homeservices vs. Match Group | ANGI Homeservices vs. Outbrain | ANGI Homeservices vs. MediaAlpha | ANGI Homeservices vs. YY Inc Class |
| Genius Sports vs. MediaAlpha | Genius Sports vs. Comscore | Genius Sports vs. Cheetah Mobile | Genius Sports vs. Onfolio Holdings |
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 Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Other Complementary Tools
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| CEOs Directory Screen CEOs from public companies around the world |