Correlation Between Rush Street and FOXO Technologies
Can any of the company-specific risk be diversified away by investing in both Rush Street and FOXO Technologies 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 Rush Street and FOXO Technologies into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Rush Street Interactive and FOXO Technologies, you can compare the effects of market volatilities on Rush Street and FOXO Technologies 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 Rush Street with a short position of FOXO Technologies. Check out your portfolio center. Please also check ongoing floating volatility patterns of Rush Street and FOXO Technologies.
Diversification Opportunities for Rush Street and FOXO Technologies
0.58 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Rush and FOXO is 0.58. Overlapping area represents the amount of risk that can be diversified away by holding Rush Street Interactive and FOXO Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on FOXO Technologies and Rush Street 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 Rush Street Interactive are associated (or correlated) with FOXO Technologies. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FOXO Technologies has no effect on the direction of Rush Street i.e., Rush Street and FOXO Technologies go up and down completely randomly.
Pair Corralation between Rush Street and FOXO Technologies
Considering the 90-day investment horizon Rush Street is expected to generate 15.16 times less return on investment than FOXO Technologies. But when comparing it to its historical volatility, Rush Street Interactive is 25.25 times less risky than FOXO Technologies. It trades about 0.35 of its potential returns per unit of risk. FOXO Technologies is currently generating about 0.21 of returns per unit of risk over similar time horizon. If you would invest 14.00 in FOXO Technologies on August 31, 2024 and sell it today you would earn a total of 38.00 from holding FOXO Technologies or generate 271.43% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Rush Street Interactive vs. FOXO Technologies
Performance |
| Timeline |
| Rush Street Interactive |
| FOXO Technologies |
Rush Street and FOXO Technologies Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Rush Street and FOXO Technologies
The main advantage of trading using opposite Rush Street and FOXO Technologies positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Rush Street position performs unexpectedly, FOXO Technologies 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 FOXO Technologies will offset losses from the drop in FOXO Technologies' long position.| Rush Street vs. Genius Sports | Rush Street vs. Gan | Rush Street vs. Ballys Corp | Rush Street vs. Hims Hers Health |
| FOXO Technologies vs. Heartbeam | FOXO Technologies vs. EUDA Health Holdings | FOXO Technologies vs. Nutex Health | FOXO Technologies vs. Healthcare Triangle |
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 Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.
Other Complementary Tools
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum |