This module allows you to analyze existing cross correlation between SPTSX Comp and CAC 40. You can compare the effects of market volatilities on SPTSX Comp and CAC 40 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 SPTSX Comp with a short position of CAC 40. See also your portfolio center. Please also check ongoing floating volatility patterns of SPTSX Comp and CAC 40.
|Time Horizon||30 Days Login to change|
SPTSX Comp vs. CAC 40
Assuming 30 trading days horizon, SPTSX Comp is expected to under-perform the CAC 40. But the index apears to be less risky and, when comparing its historical volatility, SPTSX Comp is 1.16 times less risky than CAC 40. The index trades about -0.01 of its potential returns per unit of risk. The CAC 40 is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest 531,737 in CAC 40 on March 25, 2018 and sell it today you would earn a total of 9,546 from holding CAC 40 or generate 1.8% return on investment over 30 days.