This module allows you to analyze existing cross correlation between Bovespa and Nasdaq. You can compare the effects of market volatilities on Bovespa and Nasdaq 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 Nasdaq. See also your portfolio center. Please also check ongoing floating volatility patterns of Bovespa and Nasdaq.
|Time Horizon||30 Days Login to change|
Bovespa vs. Nasdaq
Assuming 30 trading days horizon, Bovespa is expected to under-perform the Nasdaq. In addition to that, Bovespa is 2.77 times more volatile than Nasdaq. It trades about -0.33 of its total potential returns per unit of risk. Nasdaq is currently generating about 0.37 per unit of volatility. If you would invest 732,621 in Nasdaq on May 20, 2018 and sell it today you would earn a total of 39,938 from holding Nasdaq or generate 5.45% return on investment over 30 days.