Correlation Between Turkcell Iletisim and Desa Deri
Can any of the company-specific risk be diversified away by investing in both Turkcell Iletisim and Desa Deri 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 Turkcell Iletisim and Desa Deri into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Turkcell Iletisim Hizmetleri and Desa Deri Sanayi, you can compare the effects of market volatilities on Turkcell Iletisim and Desa Deri 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 Turkcell Iletisim with a short position of Desa Deri. Check out your portfolio center. Please also check ongoing floating volatility patterns of Turkcell Iletisim and Desa Deri.
Diversification Opportunities for Turkcell Iletisim and Desa Deri
-0.16 | Correlation Coefficient |
Good diversification
The 3 months correlation between Turkcell and Desa is -0.16. Overlapping area represents the amount of risk that can be diversified away by holding Turkcell Iletisim Hizmetleri and Desa Deri Sanayi in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Desa Deri Sanayi and Turkcell Iletisim 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 Turkcell Iletisim Hizmetleri are associated (or correlated) with Desa Deri. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Desa Deri Sanayi has no effect on the direction of Turkcell Iletisim i.e., Turkcell Iletisim and Desa Deri go up and down completely randomly.
Pair Corralation between Turkcell Iletisim and Desa Deri
Assuming the 90 days trading horizon Turkcell Iletisim Hizmetleri is expected to generate 1.13 times more return on investment than Desa Deri. However, Turkcell Iletisim is 1.13 times more volatile than Desa Deri Sanayi. It trades about 0.03 of its potential returns per unit of risk. Desa Deri Sanayi is currently generating about -0.16 per unit of risk. If you would invest 9,315 in Turkcell Iletisim Hizmetleri on December 30, 2024 and sell it today you would earn a total of 265.00 from holding Turkcell Iletisim Hizmetleri or generate 2.84% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Turkcell Iletisim Hizmetleri vs. Desa Deri Sanayi
Performance |
Timeline |
Turkcell Iletisim |
Desa Deri Sanayi |
Turkcell Iletisim and Desa Deri Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Turkcell Iletisim and Desa Deri
The main advantage of trading using opposite Turkcell Iletisim and Desa Deri positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Turkcell Iletisim position performs unexpectedly, Desa Deri 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 Desa Deri will offset losses from the drop in Desa Deri's long position.Turkcell Iletisim vs. Turk Telekomunikasyon AS | Turkcell Iletisim vs. Aselsan Elektronik Sanayi | Turkcell Iletisim vs. Koc Holding AS | Turkcell Iletisim vs. Turkiye Petrol Rafinerileri |
Desa Deri vs. Bms Birlesik Metal | Desa Deri vs. MEGA METAL | Desa Deri vs. KOC METALURJI | Desa Deri vs. Politeknik Metal Sanayi |
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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
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