Correlation Between Turkiye Is and Galatasaray Sportif
Can any of the company-specific risk be diversified away by investing in both Turkiye Is and Galatasaray Sportif 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 Is and Galatasaray Sportif into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Turkiye Is Bankasi and Galatasaray Sportif Sinai, you can compare the effects of market volatilities on Turkiye Is and Galatasaray Sportif 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 Is with a short position of Galatasaray Sportif. Check out your portfolio center. Please also check ongoing floating volatility patterns of Turkiye Is and Galatasaray Sportif.
Diversification Opportunities for Turkiye Is and Galatasaray Sportif
0.54 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Turkiye and Galatasaray is 0.54. Overlapping area represents the amount of risk that can be diversified away by holding Turkiye Is Bankasi and Galatasaray Sportif Sinai in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Galatasaray Sportif Sinai and Turkiye Is 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 Is Bankasi are associated (or correlated) with Galatasaray Sportif. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Galatasaray Sportif Sinai has no effect on the direction of Turkiye Is i.e., Turkiye Is and Galatasaray Sportif go up and down completely randomly.
Pair Corralation between Turkiye Is and Galatasaray Sportif
Assuming the 90 days trading horizon Turkiye Is Bankasi is expected to generate 1.46 times more return on investment than Galatasaray Sportif. However, Turkiye Is is 1.46 times more volatile than Galatasaray Sportif Sinai. It trades about 0.01 of its potential returns per unit of risk. Galatasaray Sportif Sinai is currently generating about -0.09 per unit of risk. If you would invest 55,000,000 in Turkiye Is Bankasi on October 26, 2024 and sell it today you would lose (499,500) from holding Turkiye Is Bankasi or give up 0.91% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Turkiye Is Bankasi vs. Galatasaray Sportif Sinai
Performance |
| Timeline |
| Turkiye Is Bankasi |
| Galatasaray Sportif Sinai |
Turkiye Is and Galatasaray Sportif Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Turkiye Is and Galatasaray Sportif
The main advantage of trading using opposite Turkiye Is and Galatasaray Sportif positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Turkiye Is position performs unexpectedly, Galatasaray Sportif 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 Galatasaray Sportif will offset losses from the drop in Galatasaray Sportif's long position.| Turkiye Is vs. Mackolik Internet Hizmetleri | Turkiye Is vs. Koza Anadolu Metal | Turkiye Is vs. Cuhadaroglu Metal Sanayi | Turkiye Is vs. Datagate Bilgisayar Malzemeleri |
| Galatasaray Sportif vs. Sekerbank TAS | Galatasaray Sportif vs. KOC METALURJI | Galatasaray Sportif vs. Bms Birlesik Metal | Galatasaray Sportif vs. Trabzonspor Sportif Yatirim |
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 Commodity Directory module to find actively traded commodities issued by global exchanges.
Other Complementary Tools
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account |