- Companies in United States
- Peer Analysis
This module allows you to analyze existing cross correlation between Jakarta Comp and DOW. You can compare the effects of market volatilities on Jakarta Comp and DOW 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 Jakarta Comp with a short position of DOW. See also your portfolio center. Please also check ongoing floating volatility patterns of Jakarta Comp and DOW.
|Horizon||30 Days Login to change|
Predicted Return Density
Jakarta Comp vs. DOW
Assuming 30 trading days horizon, Jakarta Comp is expected to generate 0.6 times more return on investment than DOW. However, Jakarta Comp is 1.68 times less risky than DOW. It trades about 0.2 of its potential returns per unit of risk. DOW is currently generating about -0.11 per unit of risk. If you would invest 580,082 in Jakarta Comp on November 15, 2018 and sell it today you would earn a total of 36,902 from holding Jakarta Comp or generate 6.36% return on investment over 30 days.
Pair Corralation between Jakarta Comp and DOW
|Time Period||2 Months [change]|
Diversification Opportunities for Jakarta Comp and DOW
Very good diversification
Overlapping area represents the amount of risk that can be diversified away by holding Jakarta Comp and DOW in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on DOW and Jakarta Comp 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 Jakarta Comp are associated (or correlated) with DOW. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of DOW has no effect on the direction of Jakarta Comp i.e. Jakarta Comp and DOW go up and down completely randomly.