This module allows you to analyze existing cross correlation between EURONEXT BEL-20 and Madrid Gnrl. You can compare the effects of market volatilities on EURONEXT BEL-20 and Madrid Gnrl 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 Madrid Gnrl. See also your portfolio center. Please also check ongoing floating volatility patterns of EURONEXT BEL-20 and Madrid Gnrl.
|Investment Horizon||30 Days Login to change|
Given the investment horizon of 30 days, EURONEXT BEL-20 is expected to generate 0.56 times more return on investment than Madrid Gnrl. However, EURONEXT BEL-20 is 1.79 times less risky than Madrid Gnrl. It trades about -0.18 of its potential returns per unit of risk. Madrid Gnrl is currently generating about -0.11 per unit of risk. If you would invest 407,525 in EURONEXT BEL-20 on October 18, 2017 and sell it today you would lose (8,339) from holding EURONEXT BEL-20 or give up 2.05% of portfolio value over 30 days.