International Stock Fund Volatility
| DISCX Fund | USD 23.00 0.06 0.26% |
We consider International Stock very steady. International Stock holds Efficiency (Sharpe) Ratio of 0.0253, which attests that the entity had a 0.0253% return per unit of risk over the last 3 months. We have found twenty-eight technical indicators for International Stock, which you can use to evaluate the volatility of the entity. Please check out International Stock's Risk Adjusted Performance of 0.0259, downside deviation of 0.7341, and Market Risk Adjusted Performance of 0.0319 to validate if the risk estimate we provide is consistent with the expected return of 0.0186%. Key indicators related to International Stock's volatility include:
90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
International Stock Mutual Fund volatility depicts how high the prices fluctuate around the mean (or its average) price. In other words, it is a statistical measure of the distribution of International daily returns, and it is calculated using variance and standard deviation. We also use International's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of International Stock volatility.
International |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as International Stock can benefit from it. Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of International Stock at lower prices. For example, an investor can purchase International stock that has halved in price over a short period. This will lower your average cost per share, thereby improving your portfolio's performance when the markets normalize. Similarly, when the prices of International Stock's stock rises, investors can sell out and invest the proceeds in other equities with better opportunities. Investing when markets are volatile with better valuations will accord both investors and companies the opportunity to generate better long-term returns.
Moving together with International Mutual Fund
| 0.63 | DHGCX | Dreyfusstandish Global | PairCorr |
| 0.75 | DHGAX | Dreyfusstandish Global | PairCorr |
| 0.84 | DHMBX | Dreyfus High Yield | PairCorr |
| 0.75 | DHYCX | Dreyfus High Yield | PairCorr |
| 0.8 | DHYAX | Dreyfus High Yield | PairCorr |
| 0.73 | DIECX | Dreyfus International | PairCorr |
International Stock Market Sensitivity And Downside Risk
International Stock's beta coefficient measures the volatility of International mutual fund compared to the systematic risk of the entire market represented by your selected benchmark. In mathematical terms, beta represents the slope of the line through a regression of data points where each of these points represents International mutual fund's returns against your selected market. In other words, International Stock's beta of 0.88 provides an investor with an approximation of how much risk International Stock mutual fund can potentially add to one of your existing portfolios. International Stock Fund exhibits relatively low volatility with skewness of -0.12 and kurtosis of 0.45. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure International Stock's mutual fund risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact International Stock's mutual fund price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.
3 Months Beta |Analyze International Stock Demand TrendCheck current 90 days International Stock correlation with market (NYSE Composite)International Beta |
International standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. A typical volatile entity has a high standard deviation, while the deviation of a stable instrument is usually low. As a downside, the standard deviation calculates all uncertainty as risk, even when it is in your favor, such as above-average returns.
Standard Deviation | 0.74 |
It is essential to understand the difference between upside risk (as represented by International Stock's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of International Stock's daily returns or price. Since the actual investment returns on holding a position in international mutual fund tend to have a non-normal distribution, there will be different probabilities for losses than for gains. The likelihood of losses is reflected in the downside risk of an investment in International Stock.
International Stock Mutual Fund Volatility Analysis
Volatility refers to the frequency at which International Stock fund price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with International Stock's price changes. Investors will then calculate the volatility of International Stock's mutual fund to predict their future moves. A fund that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A mutual fund with relatively stable price changes has low volatility. A highly volatile fund is riskier, but the risk cuts both ways. Investing in highly volatile security can either be highly successful, or you may experience significant failure. There are two main types of International Stock's volatility:
Historical Volatility
This type of fund volatility measures International Stock's fluctuations based on previous trends. It's commonly used to predict International Stock's future behavior based on its past. However, it cannot conclusively determine the future direction of the mutual fund.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for International Stock's current market price. This means that the fund will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on International Stock's to be redeemed at a future date.Transformation |
The output start index for this execution was zero with a total number of output elements of sixty-one. International Stock Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input.
International Stock Projected Return Density Against Market
Assuming the 90 days horizon International Stock has a beta of 0.883 suggesting International Stock Fund market returns are sensitive to returns on the market. As the market goes up or down, International Stock is expected to follow.Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to International Stock or BNY Mellon sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that International Stock's price will be affected by overall mutual fund market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a International fund's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
International Stock Fund has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the NYSE Composite. Predicted Return Density |
| Returns |
What Drives an International Stock Price Volatility?
Several factors can influence a fund's market volatility:Industry
Specific events can influence volatility within a particular industry. For instance, a significant weather upheaval in a crucial oil-production site may cause oil prices to increase in the oil sector. The direct result will be the rise in the stock price of oil distribution companies. Similarly, any government regulation in a specific industry could negatively influence stock prices due to increased regulations on compliance that may impact the company's future earnings and growth.Political and Economic environment
When governments make significant decisions regarding trade agreements, policies, and legislation regarding specific industries, they will influence stock prices. Everything from speeches to elections may influence investors, who can directly influence the stock prices in any particular industry. The prevailing economic situation also plays a significant role in stock prices. When the economy is doing well, investors will have a positive reaction and hence, better stock prices and vice versa.The Company's Performance
Sometimes volatility will only affect an individual company. For example, a revolutionary product launch or strong earnings report may attract many investors to purchase the company. This positive attention will raise the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.International Stock Mutual Fund Risk Measures
Assuming the 90 days horizon the coefficient of variation of International Stock is 3949.31. The daily returns are distributed with a variance of 0.54 and standard deviation of 0.74. The mean deviation of International Stock Fund is currently at 0.56. For similar time horizon, the selected benchmark (NYSE Composite) has volatility of 0.62
α | Alpha over NYSE Composite | -0.03 | |
β | Beta against NYSE Composite | 0.88 | |
σ | Overall volatility | 0.74 | |
Ir | Information ratio | -0.05 |
International Stock Mutual Fund Return Volatility
International Stock historical daily return volatility represents how much of International Stock fund's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The fund shows 0.7353% volatility of returns over 90 . By contrast, NYSE Composite accepts 0.6214% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About International Stock Volatility
Volatility is a rate at which the price of International Stock or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of International Stock may increase or decrease. In other words, similar to International's beta indicator, it measures the risk of International Stock and helps estimate the fluctuations that may happen in a short period of time. So if prices of International Stock fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.
Please read more on our technical analysis page.To pursue its goal, the fund normally invests at least 80 percent of its net assets, plus any borrowings for investment purposes, in stocks. It normally invests primarily in foreign companies located in the developed markets. Examples of developed markets are Canada, Japan, Australia, Hong Kong and Western Europe. The fund ordinarily invests in at least three countries and is not geographically limited in its investment selection but, at times, may invest a substantial portion of its assets in a single country.
International Stock's stock volatility refers to the amount of uncertainty or risk involved with the size of changes in its stock's price. It is a statistical measure of the dispersion of returns on International Mutual Fund over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much International Stock's price varies over time.
3 ways to utilize International Stock's volatility to invest better
Higher International Stock's fund volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of International Stock fund is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. International Stock fund volatility can provide helpful information for making investment decisions in the following ways:- Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of International Stock investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in International Stock's fund can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
- Diversification: Understanding how the volatility of International Stock's fund relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
International Stock Investment Opportunity
International Stock Fund has a volatility of 0.74 and is 1.19 times more volatile than NYSE Composite. 6 percent of all equities and portfolios are less risky than International Stock. You can use International Stock Fund to protect your portfolios against small market fluctuations. The mutual fund experiences a normal downward trend and little activity. Check odds of International Stock to be traded at $22.77 in 90 days.Poor diversification
The correlation between International Stock Fund and NYA is 0.73 (i.e., Poor diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding International Stock Fund and NYA in the same portfolio, assuming nothing else is changed.
International Stock Additional Risk Indicators
The analysis of International Stock's secondary risk indicators is one of the essential steps in making a buy or sell decision. The process involves identifying the amount of risk involved in International Stock's investment and either accepting that risk or mitigating it. Along with some common measures of International Stock mutual fund's risk such as standard deviation, beta, or value at risk, we also provide a set of secondary indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Risk Adjusted Performance | 0.0259 | |||
| Market Risk Adjusted Performance | 0.0319 | |||
| Mean Deviation | 0.5761 | |||
| Semi Deviation | 0.6906 | |||
| Downside Deviation | 0.7341 | |||
| Coefficient Of Variation | 2561.17 | |||
| Standard Deviation | 0.7523 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential mutual funds, we recommend comparing similar funds with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
International Stock Suggested Diversification Pairs
Pair trading is one of the very effective strategies used by professional day traders and hedge funds capitalizing on short-time and mid-term market inefficiencies. The approach is based on the fact that the ratio of prices of two correlating shares is long-term stable and oscillates around the average value. If the correlation ratio comes outside the common area, you can speculate with a high success rate that the ratio will return to the mean value and collect a profit.
The effect of pair diversification on risk is to reduce it, but we should note this doesn't apply to all risk types. When we trade pairs against International Stock as a counterpart, there is always some inherent risk that will never be diversified away no matter what. This volatility limits the effect of tactical diversification using pair trading. International Stock's systematic risk is the inherent uncertainty of the entire market, and therefore cannot be mitigated even by pair-trading it against the equity that is not highly correlated to it. On the other hand, International Stock's unsystematic risk describes the types of risk that we can protect against, at least to some degree, by selecting a matching pair that is not perfectly correlated to International Stock Fund.
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in International Stock Fund. Also, note that the market value of any mutual fund could be tightly coupled with the direction of predictive economic indicators such as signals in main economic indicators. Note that the International Stock information on this page should be used as a complementary analysis to other International Stock's statistical models used 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 Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.