Correlation Between Freight Technologies and SOS

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

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

Diversification Opportunities for Freight Technologies and SOS

0.81

Correlation Coefficient

Freight Technologies  SOS

Very poor diversification

The 3 months correlation between Freight and SOS is 0.81. Overlapping area represents the amount of risk that can be diversified away by holding Freight Technologies and SOS Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SOS Limited and Freight Technologies 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 Freight Technologies are associated (or correlated) with SOS. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SOS Limited has no effect on the direction of Freight Technologies i.e., Freight Technologies and SOS go up and down completely randomly.

Pair Corralation between Freight Technologies and SOS

Given the investment horizon of 90 days Freight Technologies is expected to under-perform the SOS. In addition to that, Freight Technologies is 1.22 times more volatile than SOS Limited. It trades about -0.1 of its total potential returns per unit of risk. SOS Limited is currently generating about -0.02 per unit of volatility. If you would invest  162.00  in SOS Limited on September 10, 2025 and sell it today you would lose (27.00) from holding SOS Limited or give up 16.67% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Strong
Accuracy	100.0%
Values	Daily Returns

Freight Technologies  vs.  SOS Limited

Freight Technologies

Risk-Adjusted Performance

Weakest

Over the last 90 days Freight Technologies has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of uncertain performance in the last few months, the Stock's technical and fundamental indicators remain comparatively stable which may send shares a bit higher in January 2026. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.

SOS Limited

Risk-Adjusted Performance

Weakest

Over the last 90 days SOS Limited has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest unsteady performance, the Stock's basic indicators remain stable and the newest uproar on Wall Street may also be a sign of mid-term gains for the firm private investors.

Pair Trading with Freight Technologies and SOS

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

The idea behind Freight Technologies and SOS Limited 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 Money Managers module to screen money managers from public funds and ETFs managed around the world.