Correlation Between Gentas Genel and CEO Event
Can any of the company-specific risk be diversified away by investing in both Gentas Genel and CEO Event 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 Gentas Genel and CEO Event into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Gentas Genel Metal and CEO Event Medya, you can compare the effects of market volatilities on Gentas Genel and CEO Event 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 Gentas Genel with a short position of CEO Event. Check out your portfolio center. Please also check ongoing floating volatility patterns of Gentas Genel and CEO Event.
Diversification Opportunities for Gentas Genel and CEO Event
-0.5 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Gentas and CEO is -0.5. Overlapping area represents the amount of risk that can be diversified away by holding Gentas Genel Metal and CEO Event Medya in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CEO Event Medya and Gentas Genel 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 Gentas Genel Metal are associated (or correlated) with CEO Event. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CEO Event Medya has no effect on the direction of Gentas Genel i.e., Gentas Genel and CEO Event go up and down completely randomly.
Pair Corralation between Gentas Genel and CEO Event
Assuming the 90 days trading horizon Gentas Genel Metal is expected to generate 0.44 times more return on investment than CEO Event. However, Gentas Genel Metal is 2.26 times less risky than CEO Event. It trades about 0.26 of its potential returns per unit of risk. CEO Event Medya is currently generating about -0.76 per unit of risk. If you would invest 750.00 in Gentas Genel Metal on August 27, 2024 and sell it today you would earn a total of 87.00 from holding Gentas Genel Metal or generate 11.6% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Gentas Genel Metal vs. CEO Event Medya
Performance |
| Timeline |
| Gentas Genel Metal |
| CEO Event Medya |
Gentas Genel and CEO Event Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Gentas Genel and CEO Event
The main advantage of trading using opposite Gentas Genel and CEO Event positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Gentas Genel position performs unexpectedly, CEO Event 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 CEO Event will offset losses from the drop in CEO Event's long position.| Gentas Genel vs. Datagate Bilgisayar Malzemeleri | Gentas Genel vs. Creditwest Faktoring AS | Gentas Genel vs. Cuhadaroglu Metal Sanayi | Gentas Genel vs. Politeknik Metal Sanayi |
| CEO Event vs. Brisa Bridgestone Sabanci | CEO Event vs. Dogus Gayrimenkul Yatirim | CEO Event vs. IZDEMIR Enerji Elektrik | CEO Event vs. Margun Enerji Uretim |
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 Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
Other Complementary Tools
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal |