This module allows you to analyze existing cross correlation between Jakarta Comp and Nasdaq. You can compare the effects of market volatilities on Jakarta Comp and Nasdaq 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 Nasdaq. See also your portfolio center. Please also check ongoing floating volatility patterns of Jakarta Comp and Nasdaq.
|Time Horizon||30 Days Login to change|
Jakarta Comp vs. Nasdaq
Assuming 30 trading days horizon, Jakarta Comp is expected to under-perform the Nasdaq. But the index apears to be less risky and, when comparing its historical volatility, Jakarta Comp is 2.22 times less risky than Nasdaq. The index trades about -0.13 of its potential returns per unit of risk. The Nasdaq is currently generating about -0.02 of returns per unit of risk over similar time horizon. If you would invest 721,823 in Nasdaq on March 23, 2018 and sell it today you would lose (16,403) from holding Nasdaq or give up 2.27% of portfolio value over 30 days.