This module allows you to analyze existing cross correlation between NZSE and Seoul Comp. You can compare the effects of market volatilities on NZSE and Seoul Comp 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 Seoul Comp. See also your portfolio center. Please also check ongoing floating volatility patterns of NZSE and Seoul Comp.
|Time Horizon||30 Days Login to change|
Assuming 30 trading days horizon, NZSE is expected to under-perform the Seoul Comp. But the index apears to be less risky and, when comparing its historical volatility, NZSE is 1.69 times less risky than Seoul Comp. The index trades about -0.1 of its potential returns per unit of risk. The Seoul Comp is currently generating about 0.1 of returns per unit of risk over similar time horizon. If you would invest 248,188 in Seoul Comp on December 18, 2017 and sell it today you would earn a total of 3,355 from holding Seoul Comp or generate 1.35% return on investment over 30 days.