Pair Correlation Between Swiss Mrt and Madrid Gnrl

This module allows you to analyze existing cross correlation between Swiss Mrt and Madrid Gnrl. You can compare the effects of market volatilities on Swiss Mrt and Madrid Gnrl 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 Swiss Mrt with a short position of Madrid Gnrl. See also your portfolio center. Please also check ongoing floating volatility patterns of Swiss Mrt and Madrid Gnrl.
 Time Horizon     30 Days    Login   to change
 Swiss Mrt  vs   Madrid Gnrl
 Performance (%) 

Pair Volatility

Assuming 30 trading days horizon, Swiss Mrt is expected to generate 2.58 times less return on investment than Madrid Gnrl. But when comparing it to its historical volatility, Swiss Mrt is 1.34 times less risky than Madrid Gnrl. It trades about 0.1 of its potential returns per unit of risk. Madrid Gnrl is currently generating about 0.19 of returns per unit of risk over similar time horizon. If you would invest  104,166  in Madrid Gnrl on December 21, 2017 and sell it today you would earn a total of  2,322  from holding Madrid Gnrl or generate 2.23% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Swiss Mrt and Madrid Gnrl


Time Period1 Month [change]
ValuesDaily Returns


Average diversification

Overlapping area represents the amount of risk that can be diversified away by holding Swiss Mrt and Madrid Gnrl in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Madrid Gnrl and Swiss Mrt is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Swiss Mrt are associated (or correlated) with Madrid Gnrl. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Madrid Gnrl has no effect on the direction of Swiss Mrt i.e. Swiss Mrt and Madrid Gnrl go up and down completely randomly.

Comparative Volatility

 Predicted Return Density