This module allows you to analyze existing cross correlation between MerVal and S&P 500. You can compare the effects of market volatilities on MerVal and SP 500 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 MerVal with a short position of SP 500. See also your portfolio center. Please also check ongoing floating volatility patterns of MerVal and SP 500.
|Time Horizon||30 Days Login to change|
Assuming 30 trading days horizon, MerVal is expected to generate 3.08 times more return on investment than SP 500. However, MerVal is 3.08 times more volatile than S&P 500. It trades about 0.83 of its potential returns per unit of risk. S&P 500 is currently generating about 0.42 per unit of risk. If you would invest 2,713,732 in MerVal on December 18, 2017 and sell it today you would earn a total of 638,431 from holding MerVal or generate 23.53% return on investment over 30 days.