This module allows you to analyze existing cross correlation between SPTSX Comp and NIKKEI 225. You can compare the effects of market volatilities on SPTSX Comp and NIKKEI 225 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 NIKKEI 225. See also your portfolio center. Please also check ongoing floating volatility patterns of SPTSX Comp and NIKKEI 225.
|Time Horizon||30 Days Login to change|
SPTSX Comp vs. NIKKEI 225
Assuming 30 trading days horizon, SPTSX Comp is expected to under-perform the NIKKEI 225. But the index apears to be less risky and, when comparing its historical volatility, SPTSX Comp is 1.57 times less risky than NIKKEI 225. The index trades about -0.03 of its potential returns per unit of risk. The NIKKEI 225 is currently generating about 0.01 of returns per unit of risk over similar time horizon. If you would invest 2,215,363 in NIKKEI 225 on March 27, 2018 and sell it today you would earn a total of 6,169 from holding NIKKEI 225 or generate 0.28% return on investment over 30 days.