Correlation Between Rush Street and Infinite Acquisition
Can any of the company-specific risk be diversified away by investing in both Rush Street and Infinite Acquisition 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 Infinite Acquisition 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 Infinite Acquisition Corp, you can compare the effects of market volatilities on Rush Street and Infinite Acquisition 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 Infinite Acquisition. Check out your portfolio center. Please also check ongoing floating volatility patterns of Rush Street and Infinite Acquisition.
Diversification Opportunities for Rush Street and Infinite Acquisition
0.81 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Rush and Infinite is 0.81. Overlapping area represents the amount of risk that can be diversified away by holding Rush Street Interactive and Infinite Acquisition Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Infinite Acquisition Corp 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 Infinite Acquisition. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Infinite Acquisition Corp has no effect on the direction of Rush Street i.e., Rush Street and Infinite Acquisition go up and down completely randomly.
Pair Corralation between Rush Street and Infinite Acquisition
If you would invest 1,061 in Rush Street Interactive on August 30, 2024 and sell it today you would earn a total of 360.00 from holding Rush Street Interactive or generate 33.93% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 4.35% |
| Values | Daily Returns |
Rush Street Interactive vs. Infinite Acquisition Corp
Performance |
| Timeline |
| Rush Street Interactive |
| Infinite Acquisition Corp |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Rush Street and Infinite Acquisition Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Rush Street and Infinite Acquisition
The main advantage of trading using opposite Rush Street and Infinite Acquisition positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Rush Street position performs unexpectedly, Infinite Acquisition 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 Infinite Acquisition will offset losses from the drop in Infinite Acquisition's long position.| Rush Street vs. Genius Sports | Rush Street vs. Gan | Rush Street vs. Ballys Corp | Rush Street vs. Hims Hers Health |
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 Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
Other Complementary Tools
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets |