Correlation Between ICBC Turkey and Global Yatirim

Can any of the company-specific risk be diversified away by investing in both ICBC Turkey and Global Yatirim at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining ICBC Turkey and Global Yatirim into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between ICBC Turkey Bank and Global Yatirim Holding, you can compare the effects of market volatilities on ICBC Turkey and Global Yatirim 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 ICBC Turkey with a short position of Global Yatirim. Check out your portfolio center. Please also check ongoing floating volatility patterns of ICBC Turkey and Global Yatirim.

Diversification Opportunities for ICBC Turkey and Global Yatirim

0.0

Correlation Coefficient

ICBC Turkey  Global Yatirim

Pay attention - limited upside

The 3 months correlation between ICBC and Global is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding ICBC Turkey Bank and Global Yatirim Holding in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Global Yatirim Holding and ICBC Turkey 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 ICBC Turkey Bank are associated (or correlated) with Global Yatirim. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Global Yatirim Holding has no effect on the direction of ICBC Turkey i.e., ICBC Turkey and Global Yatirim go up and down completely randomly.

Pair Corralation between ICBC Turkey and Global Yatirim

If you would invest (100.00) in Global Yatirim Holding on October 26, 2024 and sell it today you would earn a total of  100.00  from holding Global Yatirim Holding or generate -100.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

ICBC Turkey Bank  vs.  Global Yatirim Holding

ICBC Turkey Bank

Risk-Adjusted Performance

5 of 100

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in ICBC Turkey Bank are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. Despite fairly inconsistent forward indicators, ICBC Turkey may actually be approaching a critical reversion point that can send shares even higher in February 2025.

Global Yatirim Holding

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Global Yatirim Holding has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fairly strong forward indicators, Global Yatirim is not utilizing all of its potentials. The current stock price confusion, may contribute to short-horizon losses for the traders.

Pair Trading with ICBC Turkey and Global Yatirim

The main advantage of trading using opposite ICBC Turkey and Global Yatirim positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ICBC Turkey position performs unexpectedly, Global Yatirim can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Global Yatirim will offset losses from the drop in Global Yatirim's long position.

The idea behind ICBC Turkey Bank and Global Yatirim Holding pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the FinTech Suite module to use AI to screen and filter profitable investment opportunities.