This module allows you to analyze existing cross correlation between DOW and International Business Machines Corporation. You can compare the effects of market volatilities on DOW and International Business 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 International Business. See also your portfolio center. Please also check ongoing floating volatility patterns of DOW and International Business.
|Investment Horizon||30 Days Login to change|
Given the investment horizon of 30 days, DOW is expected to generate 3.58 times less return on investment than International Business. But when comparing it to its historical volatility, DOW is 8.23 times less risky than International Business. It trades about 0.55 of its potential returns per unit of risk. International Business Machines Corporation is currently generating about 0.24 of returns per unit of risk over similar time horizon. If you would invest 14,439 in International Business Machines Corporation on September 19, 2017 and sell it today you would earn a total of 1,514 from holding International Business Machines Corporation or generate 10.49% return on investment over 30 days.