Correlation Between Borusan Yatirim and Turkiye Is
Can any of the company-specific risk be diversified away by investing in both Borusan Yatirim and Turkiye Is 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 Borusan Yatirim and Turkiye Is into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Borusan Yatirim ve and Turkiye Is Bankasi, you can compare the effects of market volatilities on Borusan Yatirim and Turkiye Is 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 Borusan Yatirim with a short position of Turkiye Is. Check out your portfolio center. Please also check ongoing floating volatility patterns of Borusan Yatirim and Turkiye Is.
Diversification Opportunities for Borusan Yatirim and Turkiye Is
0.48 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Borusan and Turkiye is 0.48. Overlapping area represents the amount of risk that can be diversified away by holding Borusan Yatirim ve and Turkiye Is Bankasi in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Turkiye Is Bankasi and Borusan Yatirim 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 Borusan Yatirim ve are associated (or correlated) with Turkiye Is. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Turkiye Is Bankasi has no effect on the direction of Borusan Yatirim i.e., Borusan Yatirim and Turkiye Is go up and down completely randomly.
Pair Corralation between Borusan Yatirim and Turkiye Is
Assuming the 90 days trading horizon Borusan Yatirim ve is expected to under-perform the Turkiye Is. But the stock apears to be less risky and, when comparing its historical volatility, Borusan Yatirim ve is 1.2 times less risky than Turkiye Is. The stock trades about -0.03 of its potential returns per unit of risk. The Turkiye Is Bankasi is currently generating about -0.01 of returns per unit of risk over similar time horizon. If you would invest 59,500,000 in Turkiye Is Bankasi on August 28, 2024 and sell it today you would lose (8,299,700) from holding Turkiye Is Bankasi or give up 13.95% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Borusan Yatirim ve vs. Turkiye Is Bankasi
Performance |
| Timeline |
| Borusan Yatirim ve |
| Turkiye Is Bankasi |
Borusan Yatirim and Turkiye Is Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Borusan Yatirim and Turkiye Is
The main advantage of trading using opposite Borusan Yatirim and Turkiye Is positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Borusan Yatirim position performs unexpectedly, Turkiye Is 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 Turkiye Is will offset losses from the drop in Turkiye Is' long position.| Borusan Yatirim vs. Turkiye Is Bankasi | Borusan Yatirim vs. Turkiye Is Bankasi | Borusan Yatirim vs. Haci Omer Sabanci | Borusan Yatirim vs. Turkiye Halk Bankasi |
| Turkiye Is vs. Qnb Finansbank AS | Turkiye Is vs. Turkiye Is Bankasi | Turkiye Is vs. Haci Omer Sabanci | Turkiye Is vs. Turkiye Vakiflar Bankasi |
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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
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