This module allows you to analyze existing cross correlation between Bovespa and Hang Seng. You can compare the effects of market volatilities on Bovespa and Hang Seng 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 Hang Seng. See also your portfolio center. Please also check ongoing floating volatility patterns of Bovespa and Hang Seng.
|Time Horizon||30 Days Login to change|
Assuming 30 trading days horizon, Bovespa is expected to generate 0.83 times more return on investment than Hang Seng. However, Bovespa is 1.21 times less risky than Hang Seng. It trades about 0.15 of its potential returns per unit of risk. Hang Seng is currently generating about -0.14 per unit of risk. If you would invest 8,368,000 in Bovespa on January 25, 2018 and sell it today you would earn a total of 361,324 from holding Bovespa or generate 4.32% return on investment over 30 days.