All
Outcomes
Market
Price
AI Fair
Value
Value
Edge
Republican Party
YesNo
Democratic Party
YesNo
AI Insights:
03.07 17:28 UpdatedFair Value Reasoning:
FL-26 (covering western Miami-Dade and Collier counties) is a solid Republican stronghold (Cook PVI ...
Sign up to view more information
Divergence
A divergence exists between pricing and fundamentals. Mainstream political forecasters (e.g., Cook Political Report) rate FL-26 as 'Solid Republican,' implying a win probability near 99% or 100%. However, the market prices it at ~90%. This 10% gap is not due to disagreement over the election outcome but rather the Time Value of Money: with ~240 days until settlement, traders demand a yield (current pricing implies ~16% annualized return) to lock up capital, keeping the price below the theoretical fair value of the probability.