Correlation Between Koza Anadolu and Kervan Gda
Can any of the company-specific risk be diversified away by investing in both Koza Anadolu and Kervan Gda 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 Koza Anadolu and Kervan Gda into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Koza Anadolu Metal and Kervan Gda Sanayi, you can compare the effects of market volatilities on Koza Anadolu and Kervan Gda 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 Koza Anadolu with a short position of Kervan Gda. Check out your portfolio center. Please also check ongoing floating volatility patterns of Koza Anadolu and Kervan Gda.
Diversification Opportunities for Koza Anadolu and Kervan Gda
0.11 | Correlation Coefficient |
Average diversification
The 3 months correlation between Koza and Kervan is 0.11. Overlapping area represents the amount of risk that can be diversified away by holding Koza Anadolu Metal and Kervan Gda Sanayi in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kervan Gda Sanayi and Koza Anadolu 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 Koza Anadolu Metal are associated (or correlated) with Kervan Gda. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kervan Gda Sanayi has no effect on the direction of Koza Anadolu i.e., Koza Anadolu and Kervan Gda go up and down completely randomly.
Pair Corralation between Koza Anadolu and Kervan Gda
Assuming the 90 days trading horizon Koza Anadolu Metal is expected to generate 1.52 times more return on investment than Kervan Gda. However, Koza Anadolu is 1.52 times more volatile than Kervan Gda Sanayi. It trades about 0.06 of its potential returns per unit of risk. Kervan Gda Sanayi is currently generating about -0.12 per unit of risk. If you would invest 6,145 in Koza Anadolu Metal on October 26, 2024 and sell it today you would earn a total of 1,290 from holding Koza Anadolu Metal or generate 20.99% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 99.21% |
| Values | Daily Returns |
Koza Anadolu Metal vs. Kervan Gda Sanayi
Performance |
| Timeline |
| Koza Anadolu Metal |
| Kervan Gda Sanayi |
Koza Anadolu and Kervan Gda Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Koza Anadolu and Kervan Gda
The main advantage of trading using opposite Koza Anadolu and Kervan Gda positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Koza Anadolu position performs unexpectedly, Kervan Gda 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 Kervan Gda will offset losses from the drop in Kervan Gda's long position.| Koza Anadolu vs. Koza Altin Isletmeleri | Koza Anadolu vs. Ipek Dogal Enerji | Koza Anadolu vs. Petkim Petrokimya Holding | Koza Anadolu vs. Kardemir Karabuk Demir |
| Kervan Gda vs. Silverline Endustri ve | Kervan Gda vs. Koza Anadolu Metal | Kervan Gda vs. Akcansa Cimento Sanayi | Kervan Gda vs. Politeknik Metal 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 Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.
Other Complementary Tools
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| 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 | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like |