Correlation Between Is Girisim and MEGA METAL
Can any of the company-specific risk be diversified away by investing in both Is Girisim and MEGA METAL 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 Is Girisim and MEGA METAL into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Is Girisim Sermayesi and MEGA METAL, you can compare the effects of market volatilities on Is Girisim and MEGA METAL 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 Is Girisim with a short position of MEGA METAL. Check out your portfolio center. Please also check ongoing floating volatility patterns of Is Girisim and MEGA METAL.
Diversification Opportunities for Is Girisim and MEGA METAL
0.08 | Correlation Coefficient |
Significant diversification
The 3 months correlation between ISGSY and MEGA is 0.08. Overlapping area represents the amount of risk that can be diversified away by holding Is Girisim Sermayesi and MEGA METAL in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MEGA METAL and Is Girisim 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 Is Girisim Sermayesi are associated (or correlated) with MEGA METAL. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MEGA METAL has no effect on the direction of Is Girisim i.e., Is Girisim and MEGA METAL go up and down completely randomly.
Pair Corralation between Is Girisim and MEGA METAL
Assuming the 90 days trading horizon Is Girisim Sermayesi is expected to generate 1.73 times more return on investment than MEGA METAL. However, Is Girisim is 1.73 times more volatile than MEGA METAL. It trades about 0.18 of its potential returns per unit of risk. MEGA METAL is currently generating about 0.05 per unit of risk. If you would invest 3,178 in Is Girisim Sermayesi on September 23, 2024 and sell it today you would earn a total of 500.00 from holding Is Girisim Sermayesi or generate 15.73% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Is Girisim Sermayesi vs. MEGA METAL
Performance |
| Timeline |
| Is Girisim Sermayesi |
| MEGA METAL |
Is Girisim and MEGA METAL Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Is Girisim and MEGA METAL
The main advantage of trading using opposite Is Girisim and MEGA METAL positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Is Girisim position performs unexpectedly, MEGA METAL 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 MEGA METAL will offset losses from the drop in MEGA METAL's long position.| Is Girisim vs. MEGA METAL | Is Girisim vs. Galatasaray Sportif Sinai | Is Girisim vs. Sekerbank TAS | Is Girisim vs. Bms Birlesik Metal |
| MEGA METAL vs. SASA Polyester Sanayi | MEGA METAL vs. Turkish Airlines | MEGA METAL vs. Koc Holding AS | MEGA METAL vs. Ford Otomotiv 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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Other Complementary Tools
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |