Correlation Between KOC METALURJI and E Data

Can any of the company-specific risk be diversified away by investing in both KOC METALURJI and E Data 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 KOC METALURJI and E Data into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between KOC METALURJI and E Data Teknoloji Pazarlama, you can compare the effects of market volatilities on KOC METALURJI and E Data 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 KOC METALURJI with a short position of E Data. Check out your portfolio center. Please also check ongoing floating volatility patterns of KOC METALURJI and E Data.

Diversification Opportunities for KOC METALURJI and E Data

0.34

Correlation Coefficient

KOC METALURJI  E Data

Weak diversification

The 3 months correlation between KOC and EDATA is 0.34. Overlapping area represents the amount of risk that can be diversified away by holding KOC METALURJI and E Data Teknoloji Pazarlama in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on E Data Teknoloji and KOC METALURJI 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 KOC METALURJI are associated (or correlated) with E Data. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of E Data Teknoloji has no effect on the direction of KOC METALURJI i.e., KOC METALURJI and E Data go up and down completely randomly.

Pair Corralation between KOC METALURJI and E Data

Assuming the 90 days trading horizon KOC METALURJI is expected to generate 1.33 times more return on investment than E Data. However, KOC METALURJI is 1.33 times more volatile than E Data Teknoloji Pazarlama. It trades about 0.12 of its potential returns per unit of risk. E Data Teknoloji Pazarlama is currently generating about 0.05 per unit of risk. If you would invest  1,185  in KOC METALURJI on April 20, 2025 and sell it today you would earn a total of  269.00  from holding KOC METALURJI or generate 22.7% return on investment over 90 days.

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

KOC METALURJI  vs.  E Data Teknoloji Pazarlama

KOC METALURJI

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in KOC METALURJI are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. Despite fairly inconsistent forward indicators, KOC METALURJI demonstrated solid returns over the last few months and may actually be approaching a breakup point.

E Data Teknoloji

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in E Data Teknoloji Pazarlama are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. Despite fairly inconsistent forward indicators, E Data may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Pair Trading with KOC METALURJI and E Data

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

The idea behind KOC METALURJI and E Data Teknoloji Pazarlama 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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.