This module allows you to analyze existing cross correlation between OMX COPENHAGEN and Bovespa. You can compare the effects of market volatilities on OMX COPENHAGEN and Bovespa 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 OMX COPENHAGEN with a short position of Bovespa. See also your portfolio center. Please also check ongoing floating volatility patterns of OMX COPENHAGEN and Bovespa.
|Time Horizon||30 Days Login to change|
OMX COPENHAGEN vs. Bovespa
Assuming 30 trading days horizon, OMX COPENHAGEN is expected to under-perform the Bovespa. But the index apears to be less risky and, when comparing its historical volatility, OMX COPENHAGEN is 1.41 times less risky than Bovespa. The index trades about -0.05 of its potential returns per unit of risk. The Bovespa is currently generating about -0.03 of returns per unit of risk over similar time horizon. If you would invest 8,668,645 in Bovespa on March 24, 2018 and sell it today you would lose (141,054) from holding Bovespa or give up 1.63% of portfolio value over 30 days.