This module allows you to analyze existing cross correlation between AEX Amsterdam and DOW. You can compare the effects of market volatilities on AEX Amsterdam and DOW 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 AEX Amsterdam with a short position of DOW. See also your portfolio center. Please also check ongoing floating volatility patterns of AEX Amsterdam and DOW.
|Time Horizon||30 Days Login to change|
AEX Amsterdam vs. DOW
Given the investment horizon of 30 days, AEX Amsterdam is expected to under-perform the DOW. But the index apears to be less risky and, when comparing its historical volatility, AEX Amsterdam is 2.24 times less risky than DOW. The index trades about -0.15 of its potential returns per unit of risk. The DOW is currently generating about 0.01 of returns per unit of risk over similar time horizon. If you would invest 2,470,021 in DOW on May 21, 2018 and sell it today you would earn a total of 28,726 from holding DOW or generate 1.16% return on investment over 30 days.