TL;DR
Low volatility refers to situations where stock prices fluctuate minimally, typically showing changes of less than 5%. In BIST, stocks like THYAO and EREGL are examples of low volatility and have the potential to offer investors more stable returns.
7 min readA practical guide to a guide to finding defensive stocks on BIST. An important part of the stock screening process.
How to Apply
Use Borsafolio's stock screener to perform this type of screening. Narrow results using momentum, value, and quality factors.
Key Considerations
Screening results are not investment decisions. Evaluate alongside sector analysis and deepen with fundamental analysis. Measure risk-adjusted performance with the Sharpe ratio.
Screen BIST stocks with 13 different filters.
Open Screener →Related articles: Stock Screening Guide, Sector Analysis, Sharpe Ratio.
Frequently Asked Questions
What is low volatility?
Low volatility refers to the minimal fluctuations in stock prices over a specific time period. For instance, some stocks in the BIST 100 may fall into the low volatility category by showing less than a 5% change throughout the year.
Why should we conduct a low volatility screening?
Low volatility screening allows investors to make safer investments by reducing uncertainties in the market. For example, stocks like TUPRS and GARAN can provide investors with the potential for regular returns.
How can low volatility stocks be found in BIST?
To find low volatility stocks in BIST, platforms like Borsafolio.com can be used. These platforms help investors easily identify low volatility stocks through features like stock screeners and portfolios.
How is risk management done with low volatility?
Low volatility can help investors face less risk while managing their portfolios. For example, investing in low volatility stocks like TUPRS can help minimize value loss during market fluctuations.
How does investor psychology affect low volatility?
Low volatility stocks can minimize panic selling or excessive buying behaviors in investors, helping them think more calmly and long-term. This encourages more rational decision-making among investors.
This content does not constitute investment advice. Past performance is not a guarantee of future results. Make your investment decisions based on your own risk profile.
