Correlation Between Oylum Sinai and Koc Holding
Can any of the company-specific risk be diversified away by investing in both Oylum Sinai and Koc Holding 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 Oylum Sinai and Koc Holding into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oylum Sinai Yatirimlar and Koc Holding AS, you can compare the effects of market volatilities on Oylum Sinai and Koc Holding 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 Oylum Sinai with a short position of Koc Holding. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oylum Sinai and Koc Holding.
Diversification Opportunities for Oylum Sinai and Koc Holding
0.44 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Oylum and Koc is 0.44. Overlapping area represents the amount of risk that can be diversified away by holding Oylum Sinai Yatirimlar and Koc Holding AS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Koc Holding AS and Oylum Sinai 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 Oylum Sinai Yatirimlar are associated (or correlated) with Koc Holding. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Koc Holding AS has no effect on the direction of Oylum Sinai i.e., Oylum Sinai and Koc Holding go up and down completely randomly.
Pair Corralation between Oylum Sinai and Koc Holding
Assuming the 90 days trading horizon Oylum Sinai Yatirimlar is expected to generate 1.47 times more return on investment than Koc Holding. However, Oylum Sinai is 1.47 times more volatile than Koc Holding AS. It trades about 0.06 of its potential returns per unit of risk. Koc Holding AS is currently generating about 0.09 per unit of risk. If you would invest 357.00 in Oylum Sinai Yatirimlar on October 25, 2024 and sell it today you would earn a total of 468.00 from holding Oylum Sinai Yatirimlar or generate 131.09% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Oylum Sinai Yatirimlar vs. Koc Holding AS
Performance |
| Timeline |
| Oylum Sinai Yatirimlar |
| Koc Holding AS |
Oylum Sinai and Koc Holding Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oylum Sinai and Koc Holding
The main advantage of trading using opposite Oylum Sinai and Koc Holding positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oylum Sinai position performs unexpectedly, Koc Holding 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 Koc Holding will offset losses from the drop in Koc Holding's long position.| Oylum Sinai vs. Koc Holding AS | Oylum Sinai vs. Turkish Airlines | Oylum Sinai vs. Turkiye Garanti Bankasi | Oylum Sinai vs. Turkiye Petrol Rafinerileri |
| Koc Holding vs. Haci Omer Sabanci | Koc Holding vs. Turkiye Petrol Rafinerileri | Koc Holding vs. Turkiye Garanti Bankasi | Koc Holding vs. Akbank TAS |
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 AI Portfolio Architect module to use AI to generate optimal portfolios and find profitable investment opportunities.
Other Complementary Tools
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments |