Correlation Between Bms Birlesik and Trend Gayrimenkul

Can any of the company-specific risk be diversified away by investing in both Bms Birlesik and Trend 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 Bms Birlesik and Trend Gayrimenkul into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Bms Birlesik Metal and Trend Gayrimenkul Yatirim, you can compare the effects of market volatilities on Bms Birlesik and Trend 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 Bms Birlesik with a short position of Trend Gayrimenkul. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bms Birlesik and Trend Gayrimenkul.

Diversification Opportunities for Bms Birlesik and Trend Gayrimenkul

-0.62

Correlation Coefficient

Bms Birlesik  Trend Gayrimenkul

Excellent diversification

The 3 months correlation between Bms and Trend is -0.62. Overlapping area represents the amount of risk that can be diversified away by holding Bms Birlesik Metal and Trend Gayrimenkul Yatirim in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Trend Gayrimenkul Yatirim and Bms Birlesik 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 Bms Birlesik Metal are associated (or correlated) with Trend Gayrimenkul. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Trend Gayrimenkul Yatirim has no effect on the direction of Bms Birlesik i.e., Bms Birlesik and Trend Gayrimenkul go up and down completely randomly.

Pair Corralation between Bms Birlesik and Trend Gayrimenkul

Assuming the 90 days trading horizon Bms Birlesik Metal is expected to under-perform the Trend Gayrimenkul. In addition to that, Bms Birlesik is 1.13 times more volatile than Trend Gayrimenkul Yatirim. It trades about -0.01 of its total potential returns per unit of risk. Trend Gayrimenkul Yatirim is currently generating about 0.07 per unit of volatility. If you would invest  1,400  in Trend Gayrimenkul Yatirim on April 24, 2025 and sell it today you would earn a total of  130.00  from holding Trend Gayrimenkul Yatirim or generate 9.29% return on investment over 90 days.

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

Bms Birlesik Metal  vs.  Trend Gayrimenkul Yatirim

Bms Birlesik Metal

Risk-Adjusted Performance

Very Weak

Over the last 90 days Bms Birlesik Metal has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fairly strong forward indicators, Bms Birlesik is not utilizing all of its potentials. The recent stock price confusion, may contribute to short-horizon losses for the traders.

Trend Gayrimenkul Yatirim

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in Trend Gayrimenkul Yatirim are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. Despite fairly inconsistent forward indicators, Trend Gayrimenkul may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Pair Trading with Bms Birlesik and Trend Gayrimenkul

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

The idea behind Bms Birlesik Metal and Trend Gayrimenkul Yatirim 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 Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.