This module allows you to analyze existing cross correlation between Russell 2000 and FTSE MIB. You can compare the effects of market volatilities on Russell 2000 and FTSE MIB 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 Russell 2000 with a short position of FTSE MIB. See also your portfolio center. Please also check ongoing floating volatility patterns of Russell 2000 and FTSE MIB.
|Investment Horizon||30 Days Login to change|
Given the investment horizon of 30 days, Russell 2000 is expected to generate 0.93 times more return on investment than FTSE MIB. However, Russell 2000 is 1.07 times less risky than FTSE MIB. It trades about -0.02 of its potential returns per unit of risk. FTSE MIB is currently generating about -0.1 per unit of risk. If you would invest 149,749 in Russell 2000 on October 21, 2017 and sell it today you would lose (467) from holding Russell 2000 or give up 0.31% of portfolio value over 30 days.