Correlation Between Oxford Square and TravelCenters
Can any of the company-specific risk be diversified away by investing in both Oxford Square and TravelCenters 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 Oxford Square and TravelCenters into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oxford Square Capital and TravelCenters Of America, you can compare the effects of market volatilities on Oxford Square and TravelCenters 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 Oxford Square with a short position of TravelCenters. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oxford Square and TravelCenters.
Diversification Opportunities for Oxford Square and TravelCenters
0.86 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Oxford and TravelCenters is 0.86. Overlapping area represents the amount of risk that can be diversified away by holding Oxford Square Capital and TravelCenters Of America in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on TravelCenters Of America and Oxford Square 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 Oxford Square Capital are associated (or correlated) with TravelCenters. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of TravelCenters Of America has no effect on the direction of Oxford Square i.e., Oxford Square and TravelCenters go up and down completely randomly.
Pair Corralation between Oxford Square and TravelCenters
If you would invest 2,526 in TravelCenters Of America on September 1, 2024 and sell it today you would earn a total of 0.00 from holding TravelCenters Of America or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Oxford Square Capital vs. TravelCenters Of America
Performance |
| Timeline |
| Oxford Square Capital |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| TravelCenters Of America |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Oxford Square and TravelCenters Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oxford Square and TravelCenters
The main advantage of trading using opposite Oxford Square and TravelCenters positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oxford Square position performs unexpectedly, TravelCenters 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 TravelCenters will offset losses from the drop in TravelCenters' long position.| Oxford Square vs. Oxford Square Capital | Oxford Square vs. B Riley Financial | Oxford Square vs. B Riley Financial |
| TravelCenters vs. Sotherly Hotels Series | TravelCenters vs. B Riley Financial | TravelCenters vs. Sotherly Hotels Pref |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Other Complementary Tools
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |