This module allows you to analyze existing cross correlation between CAC 40 and Russell 2000 . You can compare the effects of market volatilities on CAC 40 and Russell 2000 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 CAC 40 with a short position of Russell 2000. See also your portfolio center. Please also check ongoing floating volatility patterns of CAC 40 and Russell 2000.
|Time Horizon||30 Days Login to change|
CAC 40 vs. Russell 2000
Assuming 30 trading days horizon, CAC 40 is expected to generate 0.6 times more return on investment than Russell 2000. However, CAC 40 is 1.67 times less risky than Russell 2000. It trades about 0.04 of its potential returns per unit of risk. Russell 2000 is currently generating about 0.01 per unit of risk. If you would invest 534,426 in CAC 40 on March 28, 2018 and sell it today you would earn a total of 6,904 from holding CAC 40 or generate 1.29% return on investment over 30 days.