Correlation Between Sok Marketler and Penta Teknoloji
Can any of the company-specific risk be diversified away by investing in both Sok Marketler and Penta Teknoloji 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 Sok Marketler and Penta Teknoloji into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Sok Marketler Ticaret and Penta Teknoloji Urunleri, you can compare the effects of market volatilities on Sok Marketler and Penta Teknoloji 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 Sok Marketler with a short position of Penta Teknoloji. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sok Marketler and Penta Teknoloji.
Diversification Opportunities for Sok Marketler and Penta Teknoloji
0.74 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Sok and Penta is 0.74. Overlapping area represents the amount of risk that can be diversified away by holding Sok Marketler Ticaret and Penta Teknoloji Urunleri in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Penta Teknoloji Urunleri and Sok Marketler 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 Sok Marketler Ticaret are associated (or correlated) with Penta Teknoloji. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Penta Teknoloji Urunleri has no effect on the direction of Sok Marketler i.e., Sok Marketler and Penta Teknoloji go up and down completely randomly.
Pair Corralation between Sok Marketler and Penta Teknoloji
Assuming the 90 days trading horizon Sok Marketler Ticaret is expected to generate 1.46 times more return on investment than Penta Teknoloji. However, Sok Marketler is 1.46 times more volatile than Penta Teknoloji Urunleri. It trades about 0.04 of its potential returns per unit of risk. Penta Teknoloji Urunleri is currently generating about -0.15 per unit of risk. If you would invest 6,380 in Sok Marketler Ticaret on February 12, 2024 and sell it today you would earn a total of 90.00 from holding Sok Marketler Ticaret or generate 1.41% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Significant |
Accuracy | 100.0% |
Values | Daily Returns |
Sok Marketler Ticaret vs. Penta Teknoloji Urunleri
Performance |
Timeline |
Sok Marketler Ticaret |
Penta Teknoloji Urunleri |
Sok Marketler and Penta Teknoloji Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Sok Marketler and Penta Teknoloji
The main advantage of trading using opposite Sok Marketler and Penta Teknoloji positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sok Marketler position performs unexpectedly, Penta Teknoloji 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 Penta Teknoloji will offset losses from the drop in Penta Teknoloji's long position.Sok Marketler vs. Turkcell Iletisim Hizmetleri | Sok Marketler vs. Arcelik AS | Sok Marketler vs. Coca Cola Icecek AS | Sok Marketler vs. Tofas Turk Otomobil |
Penta Teknoloji vs. Hitit Bilgisayar Hizmetleri | Penta Teknoloji vs. Silverline Endustri ve | Penta Teknoloji vs. Anadolu Hayat Emeklilik |
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 Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.
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