Correlation Between Turkish Airlines and Nurol Gayrimenkul
Can any of the company-specific risk be diversified away by investing in both Turkish Airlines and Nurol Gayrimenkul 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 Turkish Airlines and Nurol Gayrimenkul into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Turkish Airlines and Nurol Gayrimenkul Yatirim, you can compare the effects of market volatilities on Turkish Airlines and Nurol Gayrimenkul 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 Turkish Airlines with a short position of Nurol Gayrimenkul. Check out your portfolio center. Please also check ongoing floating volatility patterns of Turkish Airlines and Nurol Gayrimenkul.
Diversification Opportunities for Turkish Airlines and Nurol Gayrimenkul
0.83 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Turkish and Nurol is 0.83. Overlapping area represents the amount of risk that can be diversified away by holding Turkish Airlines and Nurol Gayrimenkul Yatirim in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nurol Gayrimenkul Yatirim and Turkish Airlines 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 Turkish Airlines are associated (or correlated) with Nurol Gayrimenkul. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nurol Gayrimenkul Yatirim has no effect on the direction of Turkish Airlines i.e., Turkish Airlines and Nurol Gayrimenkul go up and down completely randomly.
Pair Corralation between Turkish Airlines and Nurol Gayrimenkul
Assuming the 90 days trading horizon Turkish Airlines is expected to generate 1.03 times more return on investment than Nurol Gayrimenkul. However, Turkish Airlines is 1.03 times more volatile than Nurol Gayrimenkul Yatirim. It trades about 0.08 of its potential returns per unit of risk. Nurol Gayrimenkul Yatirim is currently generating about -0.08 per unit of risk. If you would invest 28,875 in Turkish Airlines on September 18, 2024 and sell it today you would earn a total of 900.00 from holding Turkish Airlines or generate 3.12% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Turkish Airlines vs. Nurol Gayrimenkul Yatirim
Performance |
| Timeline |
| Turkish Airlines |
| Nurol Gayrimenkul Yatirim |
Turkish Airlines and Nurol Gayrimenkul Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Turkish Airlines and Nurol Gayrimenkul
The main advantage of trading using opposite Turkish Airlines and Nurol Gayrimenkul positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Turkish Airlines position performs unexpectedly, Nurol Gayrimenkul 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 Nurol Gayrimenkul will offset losses from the drop in Nurol Gayrimenkul's long position.| Turkish Airlines vs. Ege Endustri ve | Turkish Airlines vs. Turkiye Petrol Rafinerileri | Turkish Airlines vs. Turkiye Garanti Bankasi | Turkish Airlines vs. Ford Otomotiv Sanayi |
| Nurol Gayrimenkul vs. Koza Anadolu Metal | Nurol Gayrimenkul vs. Akcansa Cimento Sanayi | Nurol Gayrimenkul vs. Galatasaray Sportif Sinai | Nurol Gayrimenkul vs. Bms Birlesik Metal |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Other Complementary Tools
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon |