This module allows you to analyze existing cross correlation between DAX and EURONEXT BEL-20. You can compare the effects of market volatilities on DAX and EURONEXT BEL-20 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 DAX with a short position of EURONEXT BEL-20. See also your portfolio center. Please also check ongoing floating volatility patterns of DAX and EURONEXT BEL-20.
|Time Horizon||30 Days Login to change|
DAX vs. EURONEXT BEL-20
Assuming 30 trading days horizon, DAX is expected to under-perform the EURONEXT BEL-20. In addition to that, DAX is 1.05 times more volatile than EURONEXT BEL-20. It trades about -0.2 of its total potential returns per unit of risk. EURONEXT BEL-20 is currently generating about -0.18 per unit of volatility. If you would invest 383,286 in EURONEXT BEL-20 on May 26, 2018 and sell it today you would lose (12,237) from holding EURONEXT BEL-20 or give up 3.19% of portfolio value over 30 days.