Portfolio Lab calculates the correlations of either monthly or daily returns:

• Monthly returns correlation is preferred in the context of strategic investment decisions
• Daily returns correlation may be useful for short term trading and tactical moves.

Note that Portfolio Lab correlations are exponentially weighted, i.e. the most recent data points are given more weight in the computation, which has advantages over the more common equal weights computation.

We added a column chart for the backtest results. This chart shows the periodic returns. The frequency is user selectable (weekly to yearly).

You may export the chart data to Excel using the icon on the top right of the chart.

To change to other chart types, use the labels on the top left:

• Cumul: portfolio cumulative returns
• Value: portfolio value
• Weight: relative portfolio positions weights