Correlation Between MEGA METAL and Yesil Yatirim
Can any of the company-specific risk be diversified away by investing in both MEGA METAL and Yesil Yatirim 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 MEGA METAL and Yesil Yatirim into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between MEGA METAL and Yesil Yatirim Holding, you can compare the effects of market volatilities on MEGA METAL and Yesil Yatirim 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 MEGA METAL with a short position of Yesil Yatirim. Check out your portfolio center. Please also check ongoing floating volatility patterns of MEGA METAL and Yesil Yatirim.
Diversification Opportunities for MEGA METAL and Yesil Yatirim
0.58 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between MEGA and Yesil is 0.58. Overlapping area represents the amount of risk that can be diversified away by holding MEGA METAL and Yesil Yatirim Holding in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Yesil Yatirim Holding and MEGA METAL 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 MEGA METAL are associated (or correlated) with Yesil Yatirim. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Yesil Yatirim Holding has no effect on the direction of MEGA METAL i.e., MEGA METAL and Yesil Yatirim go up and down completely randomly.
Pair Corralation between MEGA METAL and Yesil Yatirim
Assuming the 90 days trading horizon MEGA METAL is expected to generate 1.2 times more return on investment than Yesil Yatirim. However, MEGA METAL is 1.2 times more volatile than Yesil Yatirim Holding. It trades about 0.02 of its potential returns per unit of risk. Yesil Yatirim Holding is currently generating about 0.0 per unit of risk. If you would invest 3,112 in MEGA METAL on September 2, 2024 and sell it today you would lose (8.00) from holding MEGA METAL or give up 0.26% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 97.56% |
| Values | Daily Returns |
MEGA METAL vs. Yesil Yatirim Holding
Performance |
| Timeline |
| MEGA METAL |
| Yesil Yatirim Holding |
MEGA METAL and Yesil Yatirim Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with MEGA METAL and Yesil Yatirim
The main advantage of trading using opposite MEGA METAL and Yesil Yatirim positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if MEGA METAL position performs unexpectedly, Yesil Yatirim 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 Yesil Yatirim will offset losses from the drop in Yesil Yatirim's long position.| MEGA METAL vs. Creditwest Faktoring AS | MEGA METAL vs. ICBC Turkey Bank | MEGA METAL vs. Trabzonspor Sportif Yatirim | MEGA METAL vs. Gentas Genel Metal |
| Yesil Yatirim vs. Akbank TAS | Yesil Yatirim vs. Mackolik Internet Hizmetleri | Yesil Yatirim vs. Silverline Endustri ve | Yesil Yatirim 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 Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
Other Complementary Tools
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |