Correlation Between SASA Polyester and Kimteks Poliuretan
Can any of the company-specific risk be diversified away by investing in both SASA Polyester and Kimteks Poliuretan 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 SASA Polyester and Kimteks Poliuretan into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SASA Polyester Sanayi and Kimteks Poliuretan Sanayi, you can compare the effects of market volatilities on SASA Polyester and Kimteks Poliuretan 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 SASA Polyester with a short position of Kimteks Poliuretan. Check out your portfolio center. Please also check ongoing floating volatility patterns of SASA Polyester and Kimteks Poliuretan.
Diversification Opportunities for SASA Polyester and Kimteks Poliuretan
0.54 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between SASA and Kimteks is 0.54. Overlapping area represents the amount of risk that can be diversified away by holding SASA Polyester Sanayi and Kimteks Poliuretan Sanayi in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kimteks Poliuretan Sanayi and SASA Polyester 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 SASA Polyester Sanayi are associated (or correlated) with Kimteks Poliuretan. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kimteks Poliuretan Sanayi has no effect on the direction of SASA Polyester i.e., SASA Polyester and Kimteks Poliuretan go up and down completely randomly.
Pair Corralation between SASA Polyester and Kimteks Poliuretan
Assuming the 90 days trading horizon SASA Polyester Sanayi is expected to under-perform the Kimteks Poliuretan. But the stock apears to be less risky and, when comparing its historical volatility, SASA Polyester Sanayi is 1.02 times less risky than Kimteks Poliuretan. The stock trades about -0.11 of its potential returns per unit of risk. The Kimteks Poliuretan Sanayi is currently generating about -0.08 of returns per unit of risk over similar time horizon. If you would invest 2,279 in Kimteks Poliuretan Sanayi on November 2, 2024 and sell it today you would lose (438.00) from holding Kimteks Poliuretan Sanayi or give up 19.22% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
SASA Polyester Sanayi vs. Kimteks Poliuretan Sanayi
Performance |
| Timeline |
| SASA Polyester Sanayi |
| Kimteks Poliuretan Sanayi |
SASA Polyester and Kimteks Poliuretan Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SASA Polyester and Kimteks Poliuretan
The main advantage of trading using opposite SASA Polyester and Kimteks Poliuretan positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SASA Polyester position performs unexpectedly, Kimteks Poliuretan 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 Kimteks Poliuretan will offset losses from the drop in Kimteks Poliuretan's long position.| SASA Polyester vs. Hektas Ticaret TAS | SASA Polyester vs. Eregli Demir ve | SASA Polyester vs. Turkiye Sise ve | SASA Polyester vs. Turkiye Petrol Rafinerileri |
| Kimteks Poliuretan vs. Gentas Genel Metal | Kimteks Poliuretan vs. E Data Teknoloji Pazarlama | Kimteks Poliuretan vs. Politeknik Metal Sanayi | Kimteks Poliuretan vs. Sodas Sodyum 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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
Other Complementary Tools
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance |