This module allows you to analyze existing cross correlation between DOW and VelocityShares 3x Inv Natural Gas ETN. You can compare the effects of market volatilities on DOW and VelocityShares 3x 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 VelocityShares 3x. See also your portfolio center. Please also check ongoing floating volatility patterns of DOW and VelocityShares 3x.
|Time Horizon||30 Days Login to change|
Given the investment horizon of 30 days, DOW is expected to under-perform the VelocityShares 3x. But the index apears to be less risky and, when comparing its historical volatility, DOW is 3.35 times less risky than VelocityShares 3x. The index trades about -0.12 of its potential returns per unit of risk. The VelocityShares 3x Inv Natural Gas ETN is currently generating about 0.42 of returns per unit of risk over similar time horizon. If you would invest 1,846 in VelocityShares 3x Inv Natural Gas ETN on January 26, 2018 and sell it today you would earn a total of 1,111 from holding VelocityShares 3x Inv Natural Gas ETN or generate 60.18% return on investment over 30 days.