This module allows you to analyze existing cross correlation between NZSE and DOW. You can compare the effects of market volatilities on NZSE and DOW 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 NZSE with a short position of DOW. See also your portfolio center. Please also check ongoing floating volatility patterns of NZSE and DOW.
|Time Horizon||30 Days Login to change|
NZSE vs. DOW
Assuming 30 trading days horizon, NZSE is expected to generate 0.32 times more return on investment than DOW. However, NZSE is 3.1 times less risky than DOW. It trades about 0.25 of its potential returns per unit of risk. DOW is currently generating about 0.01 per unit of risk. If you would invest 861,572 in NZSE on May 21, 2018 and sell it today you would earn a total of 29,042 from holding NZSE or generate 3.37% return on investment over 30 days.