This module allows you to analyze existing cross correlation between DOW and Jakarta Comp. You can compare the effects of market volatilities on DOW and Jakarta Comp 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 DOW with a short position of Jakarta Comp. See also your portfolio center. Please also check ongoing floating volatility patterns of DOW and Jakarta Comp.
|Time Horizon||30 Days Login to change|
DOW vs. Jakarta Comp
Given the investment horizon of 30 days, DOW is expected to generate 1.95 times more return on investment than Jakarta Comp. However, DOW is 1.95 times more volatile than Jakarta Comp. It trades about -0.02 of its potential returns per unit of risk. Jakarta Comp is currently generating about -0.13 per unit of risk. If you would invest 2,479,778 in DOW on March 23, 2018 and sell it today you would lose (53,679) from holding DOW or give up 2.16% of portfolio value over 30 days.