This module allows you to analyze existing cross correlation between Nasdaq and BSE. You can compare the effects of market volatilities on Nasdaq and BSE 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 Nasdaq with a short position of BSE. See also your portfolio center. Please also check ongoing floating volatility patterns of Nasdaq and BSE.
|Time Horizon||30 Days Login to change|
Nasdaq vs. BSE
Assuming 30 trading days horizon, Nasdaq is expected to under-perform the BSE. But the index apears to be less risky and, when comparing its historical volatility, Nasdaq is 2.16 times less risky than BSE. The index trades about -0.71 of its potential returns per unit of risk. The BSE is currently generating about 0.14 of returns per unit of risk over similar time horizon. If you would invest 3,454,748 in BSE on May 20, 2018 and sell it today you would earn a total of 73,926 from holding BSE or generate 2.14% return on investment over 30 days.