This module allows you to analyze existing cross correlation between DAX and Bovespa. You can compare the effects of market volatilities on DAX and Bovespa 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 Bovespa. See also your portfolio center. Please also check ongoing floating volatility patterns of DAX and Bovespa.
|Time Horizon||30 Days Login to change|
DAX vs. Bovespa
Assuming 30 trading days horizon, DAX is expected to generate 0.6 times more return on investment than Bovespa. However, DAX is 1.66 times less risky than Bovespa. It trades about -0.11 of its potential returns per unit of risk. Bovespa is currently generating about -0.31 per unit of risk. If you would invest 1,304,083 in DAX on May 21, 2018 and sell it today you would lose (34,567) from holding DAX or give up 2.65% of portfolio value over 30 days.