Pair Correlation Between Bovespa and NZSE

This module allows you to analyze existing cross correlation between Bovespa and NZSE. You can compare the effects of market volatilities on Bovespa and NZSE 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 NZSE. See also your portfolio center. Please also check ongoing floating volatility patterns of Bovespa and NZSE.
 Time Horizon     30 Days    Login   to change
 Bovespa  vs   NZSE
 Performance (%) 

Pair Volatility

Assuming 30 trading days horizon, Bovespa is expected to generate 1.96 times more return on investment than NZSE. However, Bovespa is 1.96 times more volatile than NZSE. It trades about 0.13 of its potential returns per unit of risk. NZSE is currently generating about -0.1 per unit of risk. If you would invest  8,121,950  in Bovespa on January 19, 2018 and sell it today you would earn a total of  330,508  from holding Bovespa or generate 4.07% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Bovespa and NZSE


Time Period1 Month [change]
ValuesDaily Returns


Average diversification

Overlapping area represents the amount of risk that can be diversified away by holding Bovespa and NZSE in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on NZSE and Bovespa is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Bovespa are associated (or correlated) with NZSE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of NZSE has no effect on the direction of Bovespa i.e. Bovespa and NZSE go up and down completely randomly.

Comparative Volatility

 Predicted Return Density