- Companies in United States
- Peer Analysis
This module allows you to analyze existing cross correlation between Taiwan Wtd and Hang Seng. You can compare the effects of market volatilities on Taiwan Wtd and Hang Seng 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 Taiwan Wtd with a short position of Hang Seng. See also your portfolio center. Please also check ongoing floating volatility patterns of Taiwan Wtd and Hang Seng.
|Horizon||30 Days Login to change|
Predicted Return Density
Taiwan Wtd vs. Hang Seng
Assuming 30 trading days horizon, Taiwan Wtd is expected to generate 1.22 times less return on investment than Hang Seng. In addition to that, Taiwan Wtd is 1.03 times more volatile than Hang Seng. It trades about 0.28 of its total potential returns per unit of risk. Hang Seng is currently generating about 0.35 per unit of volatility. If you would invest 2,575,342 in Hang Seng on January 20, 2019 and sell it today you would earn a total of 247,471 from holding Hang Seng or generate 9.61% return on investment over 30 days.
Pair Corralation between Taiwan Wtd and Hang Seng
|Time Period||2 Months [change]|
Diversification Opportunities for Taiwan Wtd and Hang Seng
Overlapping area represents the amount of risk that can be diversified away by holding Taiwan Wtd and Hang Seng in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Hang Seng and Taiwan Wtd 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 Taiwan Wtd are associated (or correlated) with Hang Seng. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hang Seng has no effect on the direction of Taiwan Wtd i.e. Taiwan Wtd and Hang Seng go up and down completely randomly.