This module allows you to analyze existing cross correlation between Visa Inc and Citigroup Inc. You can compare the effects of market volatilities on Visa and Citigroup 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 Visa with a short position of Citigroup. See also your portfolio center
. Please also check ongoing floating volatility patterns of Visa
Visa Inc vs Citigroup Inc
Taking into account the 30 trading days horizon, Visa Inc is expected to generate 0.88 times more return on investment than Citigroup. However, Visa Inc is 1.14 times less risky than Citigroup. It trades about 0.11 of its potential returns per unit of risk. Citigroup Inc is currently generating about -0.18 per unit of risk. If you would invest 12,185 in Visa Inc on February 16, 2018 and sell it today you would earn a total of 268.00 from holding Visa Inc or generate 2.2% return on investment over 30 days.
|Time Period||1 Month [change]|
Overlapping area represents the amount of risk that can be diversified away by holding Visa Inc and Citigroup Inc in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Citigroup Inc and Visa 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 Visa Inc are associated (or correlated) with Citigroup. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Citigroup Inc has no effect on the direction of Visa i.e. Visa and Citigroup go up and down completely randomly.
Compared to the overall equity markets, risk-adjusted returns on investments in Visa Inc are ranked lower than 7 (%) of all global equities and portfolios over the last 30 days.
Over the last 30 days Citigroup Inc has generated negative risk-adjusted returns adding no value to investors with long positions.