This module allows you to analyze existing cross correlation between Ford Motor Company and NZSE. You can compare the effects of market volatilities on Ford Motor and NZSE 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 Ford Motor with a short position of NZSE. See also your portfolio center. Please also check ongoing floating volatility patterns of Ford Motor and NZSE.
|Horizon||30 Days Login to change|
Predicted Return Density
Ford Motor Company vs. NZSE
Taking into account the 30 trading days horizon, Ford Motor Company is expected to under-perform the NZSE. In addition to that, Ford Motor is 2.12 times more volatile than NZSE. It trades about -0.09 of its total potential returns per unit of risk. NZSE is currently generating about 0.1 per unit of volatility. If you would invest 1,032,729 in NZSE on August 20, 2019 and sell it today you would earn a total of 47,376 from holding NZSE or generate 4.59% return on investment over 30 days.
Pair Corralation between Ford Motor and NZSE
|Time Period||3 Months [change]|
Diversification Opportunities for Ford Motor and NZSE
Overlapping area represents the amount of risk that can be diversified away by holding Ford Motor Company and NZSE in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on NZSE and Ford Motor 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 Ford Motor Company are associated (or correlated) with NZSE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of NZSE has no effect on the direction of Ford Motor i.e. Ford Motor and NZSE go up and down completely randomly.
See also your portfolio center. Please also try My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. macroaxis watchlist is based on self-learning algorithm to remember stocks you like.