Pair Correlation Between Hang Seng and Greece TR

This module allows you to analyze existing cross correlation between Hang Seng and Greece TR. You can compare the effects of market volatilities on Hang Seng and Greece TR 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 Hang Seng with a short position of Greece TR. See also your portfolio center. Please also check ongoing floating volatility patterns of Hang Seng and Greece TR.
 Time Horizon     30 Days    Login   to change
Symbolsvs
 Hang Seng  vs   Greece TR
 Performance (%) 
      Timeline 

Pair Volatility

Given the investment horizon of 30 days, Hang Seng is expected to under-perform the Greece TR. In addition to that, Hang Seng is 1.12 times more volatile than Greece TR. It trades about -0.11 of its total potential returns per unit of risk. Greece TR is currently generating about -0.01 per unit of volatility. If you would invest  63,377  in Greece TR on January 20, 2018 and sell it today you would lose (405.00)  from holding Greece TR or give up 0.64% of portfolio value over 30 days.

Correlation Coefficient

Pair Corralation between Hang Seng and Greece TR
0.8

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthStrong
Accuracy95.0%
ValuesDaily Returns

Diversification

Very poor diversification

Overlapping area represents the amount of risk that can be diversified away by holding Hang Seng and Greece TR in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Greece TR and Hang Seng is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Hang Seng are associated (or correlated) with Greece TR. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Greece TR has no effect on the direction of Hang Seng i.e. Hang Seng and Greece TR go up and down completely randomly.
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Comparative Volatility

 Predicted Return Density 
      Returns