Pair Correlation Between IPC and DAX

This module allows you to analyze existing cross correlation between IPC and DAX. You can compare the effects of market volatilities on IPC and DAX 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 IPC with a short position of DAX. See also your portfolio center. Please also check ongoing floating volatility patterns of IPC and DAX.
 Time Horizon     30 Days    Login   to change
 IPC  vs   DAX
 Performance (%) 

Pair Volatility

Given the investment horizon of 30 days, IPC is expected to generate 1.08 times less return on investment than DAX. But when comparing it to its historical volatility, IPC is 1.01 times less risky than DAX. It trades about 0.2 of its potential returns per unit of risk. DAX is currently generating about 0.22 of returns per unit of risk over similar time horizon. If you would invest  1,307,279  in DAX on December 22, 2017 and sell it today you would earn a total of  36,166  from holding DAX or generate 2.77% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between IPC and DAX


Time Period1 Month [change]
ValuesDaily Returns


Average diversification

Overlapping area represents the amount of risk that can be diversified away by holding IPC and DAX in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on DAX and IPC 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 IPC are associated (or correlated) with DAX. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of DAX has no effect on the direction of IPC i.e. IPC and DAX go up and down completely randomly.

Comparative Volatility

 Predicted Return Density