Correlation Between Anadolu Hayat and Flap Kongre

Can any of the company-specific risk be diversified away by investing in both Anadolu Hayat and Flap Kongre 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 Anadolu Hayat and Flap Kongre into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Anadolu Hayat Emeklilik and Flap Kongre Toplanti, you can compare the effects of market volatilities on Anadolu Hayat and Flap Kongre 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 Anadolu Hayat with a short position of Flap Kongre. Check out your portfolio center. Please also check ongoing floating volatility patterns of Anadolu Hayat and Flap Kongre.

Diversification Opportunities for Anadolu Hayat and Flap Kongre

0.58

Correlation Coefficient

Anadolu Hayat  Flap Kongre

Very weak diversification

The 3 months correlation between Anadolu and Flap is 0.58. Overlapping area represents the amount of risk that can be diversified away by holding Anadolu Hayat Emeklilik and Flap Kongre Toplanti in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Flap Kongre Toplanti and Anadolu Hayat 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 Anadolu Hayat Emeklilik are associated (or correlated) with Flap Kongre. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Flap Kongre Toplanti has no effect on the direction of Anadolu Hayat i.e., Anadolu Hayat and Flap Kongre go up and down completely randomly.

Pair Corralation between Anadolu Hayat and Flap Kongre

Assuming the 90 days trading horizon Anadolu Hayat Emeklilik is expected to generate 0.72 times more return on investment than Flap Kongre. However, Anadolu Hayat Emeklilik is 1.39 times less risky than Flap Kongre. It trades about 0.11 of its potential returns per unit of risk. Flap Kongre Toplanti is currently generating about 0.01 per unit of risk. If you would invest  2,153  in Anadolu Hayat Emeklilik on September 22, 2024 and sell it today you would earn a total of  7,897  from holding Anadolu Hayat Emeklilik or generate 366.79% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Weak
Accuracy	100.0%
Values	Daily Returns

Anadolu Hayat Emeklilik  vs.  Flap Kongre Toplanti

Anadolu Hayat Emeklilik

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Anadolu Hayat Emeklilik has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest uncertain performance, the Stock's forward indicators remain strong and the recent confusion on Wall Street may also be a sign of long-lasting gains for the firm traders.

Flap Kongre Toplanti

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Flap Kongre Toplanti has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of inconsistent performance in the last few months, the Stock's basic indicators remain comparatively stable which may send shares a bit higher in January 2025. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.

Pair Trading with Anadolu Hayat and Flap Kongre

The main advantage of trading using opposite Anadolu Hayat and Flap Kongre positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Anadolu Hayat position performs unexpectedly, Flap Kongre 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 Flap Kongre will offset losses from the drop in Flap Kongre's long position.

The idea behind Anadolu Hayat Emeklilik and Flap Kongre Toplanti pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.