This module allows you to analyze existing cross correlation between NYSE and NIKKEI 225. You can compare the effects of market volatilities on NYSE and NIKKEI 225 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 NYSE with a short position of NIKKEI 225. See also your portfolio center. Please also check ongoing floating volatility patterns of NYSE and NIKKEI 225.
|Time Horizon||30 Days Login to change|
Given the investment horizon of 30 days, NYSE is expected to generate 0.71 times more return on investment than NIKKEI 225. However, NYSE is 1.41 times less risky than NIKKEI 225. It trades about -0.04 of its potential returns per unit of risk. NIKKEI 225 is currently generating about -0.11 per unit of risk. If you would invest 1,276,334 in NYSE on February 19, 2018 and sell it today you would lose (9,970) from holding NYSE or give up 0.78% of portfolio value over 30 days.