- Companies in United States
- Peer Analysis
This module allows you to analyze existing cross correlation between Seoul Comp and Nasdaq. You can compare the effects of market volatilities on Seoul Comp and Nasdaq 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 Seoul Comp with a short position of Nasdaq. See also your portfolio center. Please also check ongoing floating volatility patterns of Seoul Comp and Nasdaq.
|Horizon||30 Days Login to change|
Predicted Return Density
Seoul Comp vs. Nasdaq
Assuming 30 trading days horizon, Seoul Comp is expected to generate 1.8 times less return on investment than Nasdaq. But when comparing it to its historical volatility, Seoul Comp is 2.14 times less risky than Nasdaq. It trades about 0.29 of its potential returns per unit of risk. Nasdaq is currently generating about 0.25 of returns per unit of risk over similar time horizon. If you would invest 633,300 in Nasdaq on January 20, 2019 and sell it today you would earn a total of 114,462 from holding Nasdaq or generate 18.07% return on investment over 30 days.
Pair Corralation between Seoul Comp and Nasdaq
|Time Period||2 Months [change]|
Diversification Opportunities for Seoul Comp and Nasdaq
Very weak diversification
Overlapping area represents the amount of risk that can be diversified away by holding Seoul Comp and Nasdaq in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Nasdaq and Seoul Comp 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 Seoul Comp are associated (or correlated) with Nasdaq. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nasdaq has no effect on the direction of Seoul Comp i.e. Seoul Comp and Nasdaq go up and down completely randomly.