This module allows you to analyze existing cross correlation between DOW and Newpark Resources Inc. You can compare the effects of market volatilities on DOW and Newpark Resources 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 Newpark Resources. See also your portfolio center. Please also check ongoing floating volatility patterns of DOW and Newpark Resources.
|Time Horizon||30 Days Login to change|
Given the investment horizon of 30 days, DOW is expected to generate 1.81 times less return on investment than Newpark Resources. But when comparing it to its historical volatility, DOW is 5.9 times less risky than Newpark Resources. It trades about 0.6 of its potential returns per unit of risk. Newpark Resources Inc is currently generating about 0.18 of returns per unit of risk over similar time horizon. If you would invest 865 in Newpark Resources Inc on December 22, 2017 and sell it today you would earn a total of 75 from holding Newpark Resources Inc or generate 8.67% return on investment over 30 days.