This module allows you to analyze existing cross correlation between Bovespa and MerVal. You can compare the effects of market volatilities on Bovespa and MerVal 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 MerVal. See also your portfolio center. Please also check ongoing floating volatility patterns of Bovespa and MerVal.
|Time Horizon||30 Days Login to change|
Bovespa vs. MerVal
Assuming 30 trading days horizon, Bovespa is expected to generate 0.79 times more return on investment than MerVal. However, Bovespa is 1.26 times less risky than MerVal. It trades about -0.02 of its potential returns per unit of risk. MerVal is currently generating about -0.11 per unit of risk. If you would invest 8,605,182 in Bovespa on March 23, 2018 and sell it today you would lose (77,591) from holding Bovespa or give up 0.9% of portfolio value over 30 days.