Correlation Analysis Between Bovespa and NASDAQ Italy

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

Comparative Performance

Bovespa  vs.  NASDAQ Italy

 Performance (%) 

Pair Volatility

If you would invest (100.00)  in Bovespa on May 18, 2019 and sell it today you would earn a total of  100.00  from holding Bovespa or generate -100.0% return on investment over 30 days.

Pair Corralation between Bovespa and NASDAQ Italy

Time Period2 Months [change]
ValuesDaily Returns

Diversification Opportunities for Bovespa and NASDAQ Italy

Bovespa diversification synergy

Pay attention

Overlapping area represents the amount of risk that can be diversified away by holding Bovespa and NASDAQ Italy in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on NASDAQ Italy and Bovespa 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 Bovespa are associated (or correlated) with NASDAQ Italy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of NASDAQ Italy has no effect on the direction of Bovespa i.e. Bovespa and NASDAQ Italy go up and down completely randomly.
See also your portfolio center. Please also try Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.