Correlation Between Emlak Konut and Akbank TAS
Can any of the company-specific risk be diversified away by investing in both Emlak Konut and Akbank TAS 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 Emlak Konut and Akbank TAS into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Emlak Konut Gayrimenkul and Akbank TAS, you can compare the effects of market volatilities on Emlak Konut and Akbank TAS 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 Emlak Konut with a short position of Akbank TAS. Check out your portfolio center. Please also check ongoing floating volatility patterns of Emlak Konut and Akbank TAS.
Diversification Opportunities for Emlak Konut and Akbank TAS
0.71 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Emlak and Akbank is 0.71. Overlapping area represents the amount of risk that can be diversified away by holding Emlak Konut Gayrimenkul and Akbank TAS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Akbank TAS and Emlak Konut 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 Emlak Konut Gayrimenkul are associated (or correlated) with Akbank TAS. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Akbank TAS has no effect on the direction of Emlak Konut i.e., Emlak Konut and Akbank TAS go up and down completely randomly.
Pair Corralation between Emlak Konut and Akbank TAS
Assuming the 90 days trading horizon Emlak Konut Gayrimenkul is expected to under-perform the Akbank TAS. In addition to that, Emlak Konut is 2.04 times more volatile than Akbank TAS. It trades about -0.14 of its total potential returns per unit of risk. Akbank TAS is currently generating about 0.03 per unit of volatility. If you would invest 6,710 in Akbank TAS on November 29, 2024 and sell it today you would earn a total of 40.00 from holding Akbank TAS or generate 0.6% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Emlak Konut Gayrimenkul vs. Akbank TAS
Performance |
| Timeline |
| Emlak Konut Gayrimenkul |
| Akbank TAS |
Emlak Konut and Akbank TAS Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Emlak Konut and Akbank TAS
The main advantage of trading using opposite Emlak Konut and Akbank TAS positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Emlak Konut position performs unexpectedly, Akbank TAS 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 Akbank TAS will offset losses from the drop in Akbank TAS's long position.| Emlak Konut vs. Yapi ve Kredi | Emlak Konut vs. Petkim Petrokimya Holding | Emlak Konut vs. Turkiye Is Bankasi | Emlak Konut vs. Kardemir Karabuk Demir |
| Akbank TAS vs. Turkiye Garanti Bankasi | Akbank TAS vs. Yapi ve Kredi | Akbank TAS vs. Turkiye Is Bankasi | Akbank TAS vs. Koc Holding AS |
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 Equity Valuation module to check real value of public entities based on technical and fundamental data.
Other Complementary Tools
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes |