Pair Correlation Between ATX and ISEQ

This module allows you to analyze existing cross correlation between ATX and ISEQ. You can compare the effects of market volatilities on ATX and ISEQ 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 ATX with a short position of ISEQ. See also your portfolio center. Please also check ongoing floating volatility patterns of ATX and ISEQ.
Investment Horizon     30 Days    Login   to change
 ATX  vs   ISEQ
 Performance (%) 

Pair Volatility

Given the investment horizon of 30 days, ATX is expected to under-perform the ISEQ. But the index apears to be less risky and, when comparing its historical volatility, ATX is 1.31 times less risky than ISEQ. The index trades about -0.13 of its potential returns per unit of risk. The ISEQ is currently generating about 0.08 of returns per unit of risk over similar time horizon. If you would invest  682,468  in ISEQ on October 23, 2017 and sell it today you would earn a total of  9,770  from holding ISEQ or generate 1.43% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between ATX and ISEQ


Time Period1 Month [change]
StrengthVery Weak
ValuesDaily Returns


Weak diversification

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

Comparative Volatility

 Predicted Return Density