This module allows you to analyze existing cross correlation between United States 3x Oil and VelocityShares 3x Lng Crude Oil ETN New. You can compare the effects of market volatilities on United States and VelocityShares 3x 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 United States with a short position of VelocityShares 3x. See also your portfolio center
. Please also check ongoing floating volatility patterns of United States
and VelocityShares 3x
United States 3x Oil vs VelocityShares 3x Lng Crude Oi
Given the investment horizon of 30 days, United States is expected to generate 1.38 times less return on investment than VelocityShares 3x. In addition to that, United States is 1.24 times more volatile than VelocityShares 3x Lng Crude Oil ETN New. It trades about 0.12 of its total potential returns per unit of risk. VelocityShares 3x Lng Crude Oil ETN New is currently generating about 0.21 per unit of volatility. If you would invest 2,565 in VelocityShares 3x Lng Crude Oil ETN New on February 21, 2018 and sell it today you would earn a total of 536.00 from holding VelocityShares 3x Lng Crude Oil ETN New or generate 20.9% return on investment over 30 days.
|Time Period||1 Month [change]|
Very poor diversification
Overlapping area represents the amount of risk that can be diversified away by holding United States 3x Oil and VelocityShares 3x Lng Crude Oi in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on VelocityShares 3x Lng and United States 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 United States 3x Oil are associated (or correlated) with VelocityShares 3x. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of VelocityShares 3x Lng has no effect on the direction of United States i.e. United States and VelocityShares 3x go up and down completely randomly.
Compared to the overall equity markets, risk-adjusted returns on investments in United States 3x Oil are ranked lower than 7 (%) of all global equities and portfolios over the last 30 days.
Compared to the overall equity markets, risk-adjusted returns on investments in VelocityShares 3x Lng Crude Oil ETN New are ranked lower than 13 (%) of all global equities and portfolios over the last 30 days.