This module allows you to analyze existing cross correlation between Stockholm and Bovespa. You can compare the effects of market volatilities on Stockholm 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 Stockholm with a short position of Bovespa. See also your portfolio center. Please also check ongoing floating volatility patterns of Stockholm and Bovespa.
|Investment Horizon||30 Days Login to change|
Assuming 30 trading days horizon, Stockholm is expected to generate 0.37 times more return on investment than Bovespa. However, Stockholm is 2.7 times less risky than Bovespa. It trades about -0.24 of its potential returns per unit of risk. Bovespa is currently generating about -0.13 per unit of risk. If you would invest 59,332 in Stockholm on October 20, 2017 and sell it today you would lose (1,596) from holding Stockholm or give up 2.69% of portfolio value over 30 days.