This module allows you to analyze existing cross correlation between SPDR SP 500 ETF and S&P 500. You can compare the effects of market volatilities on SPDR SP and SP 500 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 SPDR SP with a short position of SP 500. See also your portfolio center. Please also check ongoing floating volatility patterns of SPDR SP and SP 500.
|Time Horizon||30 Days Login to change|
SPDR SP 500 ETF vs. S&P 500
Considering 30-days investment horizon, SPDR SP 500 ETF is expected to under-perform the SP 500. But the etf apears to be less risky and, when comparing its historical volatility, SPDR SP 500 ETF is 1.17 times less risky than SP 500. The etf trades about -0.02 of its potential returns per unit of risk. The S&P 500 is currently generating about -0.01 of returns per unit of risk over similar time horizon. If you would invest 271,626 in S&P 500 on March 21, 2018 and sell it today you would lose (2,313) from holding S&P 500 or give up 0.85% of portfolio value over 30 days.