This module allows you to analyze existing cross correlation between Bovespa and S&P 500. You can compare the effects of market volatilities on Bovespa and SP 500 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 Bovespa with a short position of SP 500. See also your portfolio center. Please also check ongoing floating volatility patterns of Bovespa and SP 500.
|Time Horizon||30 Days Login to change|
Assuming 30 trading days horizon, Bovespa is expected to generate 2.06 times more return on investment than SP 500. However, Bovespa is 2.06 times more volatile than S&P 500. It trades about 0.53 of its potential returns per unit of risk. S&P 500 is currently generating about 0.41 per unit of risk. If you would invest 7,311,545 in Bovespa on December 18, 2017 and sell it today you would earn a total of 671,632 from holding Bovespa or generate 9.19% return on investment over 30 days.