This module allows you to analyze existing cross correlation between EURONEXT BEL-20 and IBEX 35. You can compare the effects of market volatilities on EURONEXT BEL-20 and IBEX 35 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 IBEX 35. See also your portfolio center. Please also check ongoing floating volatility patterns of EURONEXT BEL-20 and IBEX 35.
|Time Horizon||30 Days Login to change|
Given the investment horizon of 30 days, EURONEXT BEL-20 is expected to generate 0.94 times more return on investment than IBEX 35. However, EURONEXT BEL-20 is 1.07 times less risky than IBEX 35. It trades about -0.22 of its potential returns per unit of risk. IBEX 35 is currently generating about -0.3 per unit of risk. If you would invest 416,199 in EURONEXT BEL-20 on January 23, 2018 and sell it today you would lose (21,172) from holding EURONEXT BEL-20 or give up 5.09% of portfolio value over 30 days.