Correlation Analysis Between All Ords and BSE

This module allows you to analyze existing cross correlation between All Ords and BSE. You can compare the effects of market volatilities on All Ords and BSE 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 All Ords with a short position of BSE. See also your portfolio center. Please also check ongoing floating volatility patterns of All Ords and BSE.
Horizon     30 Days    Login   to change
Symbolsvs
Compare Efficiency

Comparative Performance

 Predicted Return Density 
      Returns 

All Ords  vs.  BSE

 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, All Ords is expected to generate 0.76 times more return on investment than BSE. However, All Ords is 1.31 times less risky than BSE. It trades about 0.46 of its potential returns per unit of risk. BSE is currently generating about -0.05 per unit of risk. If you would invest  557,290  in All Ords on January 18, 2019 and sell it today you would earn a total of  57,570  from holding All Ords or generate 10.33% return on investment over 30 days.

Pair Corralation between All Ords and BSE

0.64
Time Period2 Months [change]
DirectionPositive 
StrengthSignificant
Accuracy90.32%
ValuesDaily Returns

Diversification Opportunities for All Ords and BSE

All Ords diversification synergy

Poor diversification

Overlapping area represents the amount of risk that can be diversified away by holding All Ords and BSE in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on BSE and All Ords 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 All Ords are associated (or correlated) with BSE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of BSE has no effect on the direction of All Ords i.e. All Ords and BSE go up and down completely randomly.
    Optimize

Thematic Opportunities

Explore Investment Opportunities

Build portfolios using Macroaxis predefined set of investing ideas. Many of Macroaxis investing ideas can easily outperform a given market. Ideas can also be optimized per your risk profile before portfolio origination is invoked.
Explore Thematic Ideas
Explore Investing Ideas  
See also your portfolio center. Please also try Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.


 
Search macroaxis.com