Table 9 Summary of behaviour of... | Emerald Publishing

Table 9

Summary of behaviour of different assets in short- and long-term period

Asset: Net spillover	Stable conditions	Short-term role (1-5 Days)	Long-term role
Bitcoin −6,16	Hedging behaviour. Conditional diversifier. Speculative asset	Net receiver of shocks: safe haven role	Higher volatility: speculative asset. Can also play a hedging role
Gold −10,69	Dual role as hedge and safe haven due to moderate connectedness and negative net spillover. Can be used as a diversifier to reduce overall portfolio volatility	Strong safe-haven, absorbing shocks effectively	Hedging behaviour: Stable store of value Decoupling from other assets over time
WTI (Oil) −11,81	Cyclical risk receiver and transmitter	Net receiver; driven by demand/supply shocks	Adjust portfolios to mitigate risks associated with WTI
SP500 +11,36	Risk Amplifier (High TO: 70.21%) drives returns but increases risk	Net transmitter; drives global equity contagion	Essential but high-risk equity exposure
DAX/CAC +19,91/+22,45: higher spillover transmitter	Risk amplifiers, driving returns but increasing exposure. Limited diversification potential	Net transmitter: regional shock amplifiers. Highly sensitive to European market conditions Risky in downturns	Persistent amplifiers, sustaining risk transmission. Requires diversification to mitigate spillovers
FTSE +3,36	Risk amplifier	Volatile, risk-reactive	transmits at lower intensity
FTSE.MIB +13,77	Risk amplifier (high to: 84.17). Ties to European equity risk	Behaves as a strong net transmitter: Pair FTSE.MIB with short-term hedges (Gold)	High correlation with stocks necessitates proactive hedging strategies
Nikkei −32,32	Moderate diversifier	Low global spillovers. Safe-haven equity	Hedging behaviour
Wheat −11,47	Diversifier with traditional assets, hedging behaviour	Isolated (73.52% own variance); spikes during supply crises	Long-term inflation/food-security hedge
Gas −9,92	Diversifier with traditional assets, hedging behaviour	Minimal spillovers; short-term price volatility	Energy market stabilizer

Asset: Net spillover	Stable conditions	Short-term role (1-5 Days)	Long-term role
Bitcoin−6,16	Hedging behaviour. Conditional diversifier. Speculative asset	Net receiver of shocks: safe haven role	Higher volatility: speculative asset. Can also play a hedging role
Gold−10,69	Dual role as hedge and safe haven due to moderate connectedness and negative net spillover. Can be used as a diversifier to reduce overall portfolio volatility	Strong safe-haven, absorbing shocks effectively	Hedging behaviour: Stable store of valueDecoupling from other assets over time
WTI (Oil)−11,81	Cyclical risk receiver and transmitter	Net receiver; driven by demand/supply shocks	Adjust portfolios to mitigate risks associated with WTI
SP500+11,36	Risk Amplifier (High TO: 70.21%) drives returns but increases risk	Net transmitter; drives global equity contagion	Essential but high-risk equity exposure
DAX/CAC+19,91/+22,45: higher spillover transmitter	Risk amplifiers, driving returns but increasing exposure. Limited diversification potential	Net transmitter: regional shock amplifiers. Highly sensitive to European market conditionsRisky in downturns	Persistent amplifiers, sustaining risk transmission. Requires diversification to mitigate spillovers
FTSE+3,36	Risk amplifier	Volatile, risk-reactive	transmits at lower intensity
FTSE.MIB+13,77	Risk amplifier (high to: 84.17). Ties to European equity risk	Behaves as a strong net transmitter: Pair FTSE.MIB with short-term hedges (Gold)	High correlation with stocks necessitates proactive hedging strategies
Nikkei−32,32	Moderate diversifier	Low global spillovers. Safe-haven equity	Hedging behaviour
Wheat−11,47	Diversifier with traditional assets, hedging behaviour	Isolated (73.52% own variance); spikes during supply crises	Long-term inflation/food-security hedge
Gas−9,92	Diversifier with traditional assets, hedging behaviour	Minimal spillovers; short-term price volatility	Energy market stabilizer