SmartSkor
Help Center

How can we help?

Search the knowledge base, or browse how SmartSkor works and the answers to common questions.

Derivative Strategies

How can I use TuneUp scores on VIOP?

TuneUp scores — SmartSkor, SmartSectorSkor — are not just for the spot market. Experienced investors can use them as an information layer for index futures and single-stock futures traded on VIOP (Borsa Istanbul's Derivatives Market). This page provides a framework; none of the strategies described constitute investment advice.

Which score product corresponds to which VIOP instrument?

Score ProductVIOP Counterpart
SmartSkor BIST 30 Top PicksXU030 futures (direct match — the most liquid index product)
SmartSkor Top 10 - Financials IndexXBANK / XLBNK (does not cover the full Financial index — insurance, leasing, REITs excluded)
SmartSkor Top 10 - Manufacturing IndexXUSIN futures (direct match)
SmartSkor Top 10 - Sustainability IndexXSD25 futures (partial overlap)
Individual stocksSingle-stock futures (available for 50+ stocks, most of them BIST 30 members)

VIOP does not offer a direct futures contract for every sector. Sectors such as Services, Real Estate, Healthcare, Retail, and Technology have no direct hedging instrument; approximate hedging (a broad-market position through XU030) or baskets of single-stock futures can be used as alternatives.

What kinds of strategies do the scores provide signals for?

  • Index-based directional strategies: If the number of high-SmartSkor stocks inside an index is clearly rising, the index's chances of strengthening over the coming period rise; the inverse signals weakening.
  • Sectoral hedging: An investor with heavy exposure to a sector can open a short position on the relevant sector-index futures to hedge their portfolio when SmartSectorSkor is weakening.
  • Single-stock strategies: For a stock with SmartSkor 9 or 10, a long position via single-stock futures provides a leveraged alternative to the spot position. The same framework applies to hedging spot positions.
  • Sector rotation — long/short pair trades: If two sectors' SmartSectorSkor trajectories are clearly diverging — say, Banking rising from 6.2 to 7.3 while Industrials falls from 6.8 to 5.5 — a long-XBANK + short-XUSIN combination produces a strategy largely independent of the broad market direction.

What should I keep in mind when using derivatives?

  • Leverage: Position size can be several multiples of the collateral posted; losses can exceed the amount invested. Always be prepared for margin calls.
  • Maturity and rollover: Futures contracts have fixed expiry dates. An investor with a longer-horizon view must roll the position forward into the next contract; the price gap between the futures and the spot can create rollover costs.
  • SmartSkor's time horizon: SmartSkor is designed for a one-month horizon; it is not an intraday signal.
  • Missing underlyings: Because VIOP does not have a direct futures contract for every sector, hedges may not be perfect — the gap between the index used on the futures side and the actual portfolio (basis risk) should always be considered.

Derivative transactions must be consistent with the investor's financial situation, experience, and risk appetite; independent professional advice should be sought when appropriate.