This module allows you to analyze existing cross correlation between Hang Seng and Taiwan Wtd. You can compare the effects of market volatilities on Hang Seng and Taiwan Wtd 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 Taiwan Wtd. See also your portfolio center. Please also check ongoing floating volatility patterns of Hang Seng and Taiwan Wtd.
|Investment Horizon||30 Days Login to change|
Given the investment horizon of 30 days, Hang Seng is expected to generate 1.86 times more return on investment than Taiwan Wtd. However, Hang Seng is 1.86 times more volatile than Taiwan Wtd. It trades about 0.19 of its potential returns per unit of risk. Taiwan Wtd is currently generating about -0.03 per unit of risk. If you would invest 2,848,724 in Hang Seng on October 20, 2017 and sell it today you would earn a total of 71,180 from holding Hang Seng or generate 2.5% return on investment over 30 days.