RocketCap Smart Grid Stock Index© Update 5-29-09
Here are the weekly updates for our Smart Grid market indexes. It’s notable (see Figure 1) that so far, RocketCap Smart Grid Stock Index© has been tracking the S&P500, while weirdly the utility index PUI is quite uncorrelated with the S&P 500. We expect the electric utilities index (comprised of large firms), to be more correlated with S&P 500. Not true. Similarly, our RSGSI©, comprised of some big and some small firms, is more correlated so far.
Figure 1: Correlation of Returns for RSGSI©, PUI and ^GSPC
Correlations of Returns for RSGSI©, PUI and ^GSPC (55 days continuing returns ending 5-29-09)
We will watch with great interest as these statistics unfold over time. Here are the returns plotted for the previous 55 business days ending 29 MAR 09.
Figure 2: Annualized Returns for Smart Grid and Comparisons
Annualized Returns for RSGSI, PUI and ^GSPC (55 days continuing returns ending 5-29-09)
Finally, Figure 3 shows the matrix of cross-correlations of returns of all the components of the RSGSI©.
Figure 3: Correlation Matrix of RocketCap Smart Grid Stock Index© Component Stocks
RSGSI Portfolio Correlation Matrix: 45 Days Ending 5-29-09
