This module allows you to analyze existing cross correlation between Hang Seng and FTSE MIB. You can compare the effects of market volatilities on Hang Seng and FTSE MIB 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 FTSE MIB. See also your portfolio center. Please also check ongoing floating volatility patterns of Hang Seng and FTSE MIB.
|Time Horizon||30 Days Login to change|
Given the investment horizon of 30 days, Hang Seng is expected to generate 2.41 times more return on investment than FTSE MIB. However, Hang Seng is 2.41 times more volatile than FTSE MIB. It trades about -0.14 of its potential returns per unit of risk. FTSE MIB is currently generating about -0.37 per unit of risk. If you would invest 3,265,445 in Hang Seng on January 25, 2018 and sell it today you would lose (168,877) from holding Hang Seng or give up 5.17% of portfolio value over 30 days.