This module allows you to analyze existing cross correlation between NZSE and Nasdaq. You can compare the effects of market volatilities on NZSE 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 NZSE with a short position of Nasdaq. See also your portfolio center. Please also check ongoing floating volatility patterns of NZSE and Nasdaq.
|Time Horizon||30 Days Login to change|
NZSE vs. Nasdaq
Assuming 30 trading days horizon, NZSE is expected to generate 3.74 times less return on investment than Nasdaq. But when comparing it to its historical volatility, NZSE is 1.29 times less risky than Nasdaq. It trades about 0.24 of its potential returns per unit of risk. Nasdaq is currently generating about 0.71 of returns per unit of risk over similar time horizon. If you would invest 772,559 in Nasdaq on May 21, 2018 and sell it today you would earn a total of 6,236 from holding Nasdaq or generate 0.81% return on investment over 30 days.