This module allows you to analyze existing cross correlation between Microsoft Corporation and NQTH. You can compare the effects of market volatilities on Microsoft and NQTH 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 Microsoft with a short position of NQTH. See also your portfolio center. Please also check ongoing floating volatility patterns of Microsoft and NQTH.
|Horizon||30 Days Login to change|
Predicted Return Density
Microsoft Corp. vs. NQTH
Given the investment horizon of 30 days, Microsoft is expected to generate 1.08 times less return on investment than NQTH. In addition to that, Microsoft is 1.59 times more volatile than NQTH. It trades about 0.19 of its total potential returns per unit of risk. NQTH is currently generating about 0.33 per unit of volatility. If you would invest 110,348 in NQTH on June 22, 2019 and sell it today you would earn a total of 12,137 from holding NQTH or generate 11.0% return on investment over 30 days.
Pair Corralation between Microsoft and NQTH
|Time Period||2 Months [change]|
Diversification Opportunities for Microsoft and NQTH
Almost no diversification
Overlapping area represents the amount of risk that can be diversified away by holding Microsoft Corp. and NQTH in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on NQTH and Microsoft 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 Microsoft Corporation are associated (or correlated) with NQTH. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of NQTH has no effect on the direction of Microsoft i.e. Microsoft and NQTH go up and down completely randomly.
See also your portfolio center. Please also try ETF Directory module to find actively-traded exchange traded funds (etf) from around the world.