Correlation Between Makina Takim and Is Portfolio

Can any of the company-specific risk be diversified away by investing in both Makina Takim and Is Portfolio 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 Makina Takim and Is Portfolio into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Makina Takim Endustrisi and Is Portfolio Electrical, you can compare the effects of market volatilities on Makina Takim and Is Portfolio 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 Makina Takim with a short position of Is Portfolio. Check out your portfolio center. Please also check ongoing floating volatility patterns of Makina Takim and Is Portfolio.

Diversification Opportunities for Makina Takim and Is Portfolio

0.0

Correlation Coefficient

Makina Takim  Is Portfolio

Pay attention - limited upside

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

Pair Corralation between Makina Takim and Is Portfolio

If you would invest  536.00  in Makina Takim Endustrisi on October 4, 2024 and sell it today you would earn a total of  173.00  from holding Makina Takim Endustrisi or generate 32.28% return on investment over 90 days.

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

Makina Takim Endustrisi  vs.  Is Portfolio Electrical

Makina Takim Endustrisi

Risk-Adjusted Performance

9 of 100

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Makina Takim Endustrisi are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. Despite fairly inconsistent forward indicators, Makina Takim demonstrated solid returns over the last few months and may actually be approaching a breakup point.

Is Portfolio Electrical

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Is Portfolio Electrical has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively steady basic indicators, Is Portfolio is not utilizing all of its potentials. The recent stock price chaos, may contribute to medium-term losses for the stakeholders.

Pair Trading with Makina Takim and Is Portfolio

The main advantage of trading using opposite Makina Takim and Is Portfolio positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Makina Takim position performs unexpectedly, Is Portfolio 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 Is Portfolio will offset losses from the drop in Is Portfolio's long position.

The idea behind Makina Takim Endustrisi and Is Portfolio Electrical 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.

Check out your portfolio center.

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 Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.