Correlation Analysis Between DOW and PowerShares Multi-Factor

This module allows you to analyze existing cross correlation between DOW and PowerShares Multi-Factor Large Cap Portfolio. You can compare the effects of market volatilities on DOW and PowerShares Multi-Factor 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 PowerShares Multi-Factor. See also your portfolio center. Please also check ongoing floating volatility patterns of DOW and PowerShares Multi-Factor.
Horizon     30 Days    Login   to change
Symbolsvs

DOW  vs.  PowerShares Multi-Factor Large

 Performance (%) 
      Timeline 

Pair Volatility

Given the investment horizon of 30 days, DOW is expected to generate 1.11 times more return on investment than PowerShares Multi-Factor. However, DOW is 1.11 times more volatile than PowerShares Multi-Factor Large Cap Portfolio. It trades about -0.15 of its potential returns per unit of risk. PowerShares Multi-Factor Large Cap Portfolio is currently generating about -0.3 per unit of risk. If you would invest  2,640,576  in DOW on September 19, 2018 and sell it today you would lose (96,142)  from holding DOW or give up 3.64% of portfolio value over 30 days.

Pair Corralation between DOW and PowerShares Multi-Factor

0.52
Time Period1 Month [change]
DirectionPositive 
StrengthWeak
Accuracy86.96%
ValuesDaily Returns

Diversification

Very weak diversification

Overlapping area represents the amount of risk that can be diversified away by holding DOW and PowerShares Multi-Factor Large in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on PowerShares Multi-Factor and DOW 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 DOW are associated (or correlated) with PowerShares Multi-Factor. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of PowerShares Multi-Factor has no effect on the direction of DOW i.e. DOW and PowerShares Multi-Factor go up and down completely randomly.
    Optimize

Comparative Volatility

 Predicted Return Density 
      Returns 

My Equities

My Current Equities and Potential Positions

View AllNext
GOOG - USA Stock
Alphabet
Specialization
IT, Search Cloud And Integrated IT Services
Business Address1600 Amphitheatre Parkway
ExchangeNASDAQ
$1096.46

Thematic Opportunities

Explore Investment Opportunities

Build portfolios using Macroaxis predefined set of investing ideas. Many of Macroaxis investing ideas can easily outperform a given market. Ideas can also be optimized per your risk profile before portfolio origination is invoked.
Explore Thematic Ideas
Explore Investing Ideas  
See also your portfolio center. Please also try Crypto Portfolio Optimizer module to optimize portfolio of digital coins and token across multiple currency and exchanges.


 
Search macroaxis.com