Correlation Between Turkiye Sise and Sok Marketler

Can any of the company-specific risk be diversified away by investing in both Turkiye Sise and Sok Marketler 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 Turkiye Sise and Sok Marketler into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Turkiye Sise ve and Sok Marketler Ticaret, you can compare the effects of market volatilities on Turkiye Sise and Sok Marketler 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 Turkiye Sise with a short position of Sok Marketler. Check out your portfolio center. Please also check ongoing floating volatility patterns of Turkiye Sise and Sok Marketler.

Diversification Opportunities for Turkiye Sise and Sok Marketler

-0.02

Correlation Coefficient

Turkiye Sise  Sok Marketler

Good diversification

The 3 months correlation between Turkiye and Sok is -0.02. Overlapping area represents the amount of risk that can be diversified away by holding Turkiye Sise ve and Sok Marketler Ticaret in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sok Marketler Ticaret and Turkiye Sise 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 Turkiye Sise ve are associated (or correlated) with Sok Marketler. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sok Marketler Ticaret has no effect on the direction of Turkiye Sise i.e., Turkiye Sise and Sok Marketler go up and down completely randomly.

Pair Corralation between Turkiye Sise and Sok Marketler

Assuming the 90 days trading horizon Turkiye Sise ve is expected to generate 1.22 times more return on investment than Sok Marketler. However, Turkiye Sise is 1.22 times more volatile than Sok Marketler Ticaret. It trades about -0.07 of its potential returns per unit of risk. Sok Marketler Ticaret is currently generating about -0.1 per unit of risk. If you would invest  4,254  in Turkiye Sise ve on October 12, 2024 and sell it today you would lose (124.00) from holding Turkiye Sise ve or give up 2.91% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	95.45%
Values	Daily Returns

Turkiye Sise ve  vs.  Sok Marketler Ticaret

Turkiye Sise ve

Risk-Adjusted Performance

7 of 100

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Turkiye Sise ve are ranked lower than 7 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively inconsistent basic indicators, Turkiye Sise may actually be approaching a critical reversion point that can send shares even higher in February 2025.

Sok Marketler Ticaret

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Sok Marketler Ticaret has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable basic indicators, Sok Marketler is not utilizing all of its potentials. The recent stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with Turkiye Sise and Sok Marketler

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

The idea behind Turkiye Sise ve and Sok Marketler Ticaret 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 Portfolio Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.