Correlation Analysis Between Walmart and NZSE

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

Comparative Performance

 Predicted Return Density 

Walmart Inc  vs.  NZSE

 Performance (%) 

Pair Volatility

Considering 30-days investment horizon, Walmart is expected to generate 3.94 times less return on investment than NZSE. In addition to that, Walmart is 1.67 times more volatile than NZSE. It trades about 0.02 of its total potential returns per unit of risk. NZSE is currently generating about 0.11 per unit of volatility. If you would invest  1,043,122  in NZSE on July 26, 2019 and sell it today you would earn a total of  31,133  from holding NZSE or generate 2.98% return on investment over 30 days.

Pair Corralation between Walmart and NZSE

Time Period2 Months [change]
ValuesDaily Returns

Diversification Opportunities for Walmart and NZSE

Walmart Inc diversification synergy

Very good diversification

Overlapping area represents the amount of risk that can be diversified away by holding Walmart Inc and NZSE in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on NZSE and Walmart 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 Walmart 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 Walmart i.e. Walmart and NZSE go up and down completely randomly.
See also your portfolio center. Please also try Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.