Pair Correlation Between EURONEXT BEL-20 and FTSE 100

This module allows you to analyze existing cross correlation between EURONEXT BEL-20 and FTSE 100. You can compare the effects of market volatilities on EURONEXT BEL-20 and FTSE 100 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 EURONEXT BEL-20 with a short position of FTSE 100. See also your portfolio center. Please also check ongoing floating volatility patterns of EURONEXT BEL-20 and FTSE 100.
Investment Horizon     30 Days    Login   to change
Symbolsvs
 EURONEXT BEL-20  vs   FTSE 100
 Performance (%) 
      Timeline 

Pair Volatility

If you would invest  747,477  in FTSE 100 on October 22, 2017 and sell it today you would earn a total of  0.00  from holding FTSE 100 or generate 0.0% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between EURONEXT BEL-20 and FTSE 100
-0.13

Parameters

Time Period1 Month [change]
DirectionNegative 
StrengthInsignificant
Accuracy4.76%
ValuesDaily Returns

Diversification

Good diversification

Overlapping area represents the amount of risk that can be diversified away by holding EURONEXT BEL-20 and FTSE 100 in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on FTSE 100 and EURONEXT BEL-20 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 EURONEXT BEL-20 are associated (or correlated) with FTSE 100. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FTSE 100 has no effect on the direction of EURONEXT BEL-20 i.e. EURONEXT BEL-20 and FTSE 100 go up and down completely randomly.
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Comparative Volatility

 Predicted Return Density 
      Returns