This module allows you to analyze existing cross correlation between Jakarta Comp and CAC 40. You can compare the effects of market volatilities on Jakarta Comp and CAC 40 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 CAC 40. See also your portfolio center. Please also check ongoing floating volatility patterns of Jakarta Comp and CAC 40.
|Time Horizon||30 Days Login to change|
Jakarta Comp vs. CAC 40
Assuming 30 trading days horizon, Jakarta Comp is expected to under-perform the CAC 40. But the index apears to be less risky and, when comparing its historical volatility, Jakarta Comp is 1.09 times less risky than CAC 40. The index trades about -0.13 of its potential returns per unit of risk. The CAC 40 is currently generating about 0.06 of returns per unit of risk over similar time horizon. If you would invest 530,217 in CAC 40 on March 23, 2018 and sell it today you would earn a total of 11,066 from holding CAC 40 or generate 2.09% return on investment over 30 days.