Buffalo Small Cap Fund Market Value
| BUFSX Fund | USD 13.59 0.08 0.59% |
| Symbol | Buffalo |
Buffalo Small 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Buffalo Small's mutual fund what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Buffalo Small.
| 04/25/2023 |
| 04/19/2024 |
If you would invest 0.00 in Buffalo Small on April 25, 2023 and sell it all today you would earn a total of 0.00 from holding Buffalo Small Cap or generate 0.0% return on investment in Buffalo Small over 360 days. Buffalo Small is related to or competes with Buffalo Mid, Buffalo Large, Buffalo Discovery, and Buffalo Flexible. The fund normally invests at least 80 percent of its net assets in equity securities, consisting of common stocks, prefe... More
Buffalo Small Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Buffalo Small's mutual fund current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Buffalo Small Cap upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.07) | |||
| Maximum Drawdown | 5.88 | |||
| Value At Risk | (1.85) | |||
| Potential Upside | 1.77 |
Buffalo Small Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Buffalo Small's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Buffalo Small's standard deviation. In reality, there are many statistical measures that can use Buffalo Small historical prices to predict the future Buffalo Small's volatility.| Risk Adjusted Performance | (0) | |||
| Jensen Alpha | (0.11) | |||
| Total Risk Alpha | (0.13) | |||
| Treynor Ratio | (0.01) |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Buffalo Small's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Buffalo Small Cap Backtested Returns
Buffalo Small Cap secures Sharpe Ratio (or Efficiency) of -0.0491, which signifies that the fund had a -0.0491% return per unit of standard deviation over the last 3 months. Buffalo Small Cap exposes twenty-one different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please confirm Buffalo Small's risk adjusted performance of (0), and Mean Deviation of 0.9214 to double-check the risk estimate we provide. The fund shows a Beta (market volatility) of 1.55, which signifies a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Buffalo Small will likely underperform.
Auto-correlation | 0.16 |
Very weak predictability
Buffalo Small Cap has very weak predictability. Overlapping area represents the amount of predictability between Buffalo Small time series from 25th of April 2023 to 22nd of October 2023 and 22nd of October 2023 to 19th of April 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Buffalo Small Cap price movement. The serial correlation of 0.16 indicates that over 16.0% of current Buffalo Small price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.16 | |
| Spearman Rank Test | -0.23 | |
| Residual Average | 0.0 | |
| Price Variance | 0.76 |
Buffalo Small Cap lagged returns against current returns
Autocorrelation, which is Buffalo Small mutual fund's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Buffalo Small's mutual fund expected returns. We can calculate the autocorrelation of Buffalo Small returns to help us make a trade decision. For example, suppose you find that Buffalo Small has exhibited high autocorrelation historically, and you observe that the mutual fund is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Buffalo Small regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Buffalo Small mutual fund is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Buffalo Small mutual fund is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Buffalo Small mutual fund over time.
Current vs Lagged Prices |
| Timeline |
Buffalo Small Lagged Returns
When evaluating Buffalo Small's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Buffalo Small mutual fund have on its future price. Buffalo Small autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Buffalo Small autocorrelation shows the relationship between Buffalo Small mutual fund current value and its past values and can show if there is a momentum factor associated with investing in Buffalo Small Cap.
Regressed Prices |
| Timeline |
Pair Trading with Buffalo Small
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Buffalo Small position performs unexpectedly, the other equity 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 Buffalo Small will appreciate offsetting losses from the drop in the long position's value.Moving together with Buffalo Mutual Fund
| 0.7 | BUFOX | Buffalo Emerging Opp | PairCorr |
| 0.87 | BUFMX | Buffalo Mid Cap | PairCorr |
| 0.72 | BUFGX | Buffalo Growth | PairCorr |
The ability to find closely correlated positions to Buffalo Small could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Buffalo Small when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Buffalo Small - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Buffalo Small Cap to buy it.
The correlation of Buffalo Small is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Buffalo Small moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Buffalo Small Cap moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Buffalo Small can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Buffalo Small Correlation, Buffalo Small Volatility and Buffalo Small Alpha and Beta module to complement your research on Buffalo Small. You can also try the Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
Buffalo Small technical mutual fund analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, fund market cycles, or different charting patterns.