This module allows you to analyze existing cross correlation between Madrid Gnrl and MerVal. You can compare the effects of market volatilities on Madrid Gnrl and MerVal 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 Madrid Gnrl with a short position of MerVal. See also your portfolio center. Please also check ongoing floating volatility patterns of Madrid Gnrl and MerVal.
|Time Horizon||30 Days Login to change|
Madrid Gnrl vs. MerVal
Assuming 30 trading days horizon, Madrid Gnrl is expected to under-perform the MerVal. But the index apears to be less risky and, when comparing its historical volatility, Madrid Gnrl is 2.61 times less risky than MerVal. The index trades about -0.14 of its potential returns per unit of risk. The MerVal is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 3,023,395 in MerVal on May 23, 2018 and sell it today you would earn a total of 63,540 from holding MerVal or generate 2.1% return on investment over 30 days.