ProShares UltraShort is not very risky given 1 month investment horizon. ProShares UltraShort maintains Sharpe Ratio (i.e. Efficiency) of 0.2908 which implies ProShares UltraShort had 0.2908% of return per unit of risk over the last 1 month. Our philosophy towards forecasting risk of a etf is to use both market data as well as company specific technical data. We found twenty-one different technical indicators which can help you to evaluate if expected returns of 1.3499% are justified by taking the suggested risk. Use ProShares UltraShort Coefficient Of Variation of 312.28, Semi Deviation of 2.99 and Risk Adjusted Performance of 0.168 to evaluate company specific risk that cannot be diversified away.
|Investment Horizon||30 Days Login to change|
ProShares UltraShort Market Sensitivity
|As returns on market increase, ProShares UltraShort returns are expected to increase less than the market. However during bear market, the loss on holding ProShares UltraShort will be expected to be smaller as well.One Month Beta |Analyze ProShares UltraShort Demand TrendCheck current 30 days ProShares UltraShort correlation with market (DOW)|
β = 0.5904
ProShares UltraShort Technical Analysis
Projected Return Density Against MarketGiven the investment horizon of 30 days, ProShares UltraShort has beta of 0.5904 indicating as returns on market go up, ProShares UltraShort average returns are expected to increase less than the benchmark. However during bear market, the loss on holding ProShares UltraShort Bloomberg Natrl Gas will be expected to be much smaller as well. In addition to that, ProShares UltraShort Bloomberg Natrl Gas has an alpha of 1.3193 implying that it can potentially generate 1.3193% excess return over DOW after adjusting for the inherited market risk (beta).
Given the investment horizon of 30 days, the coefficient of variation of ProShares UltraShort is 343.93. The daily returns are destributed with a variance of 21.56 and standard deviation of 4.64. The mean deviation of ProShares UltraShort Bloomberg Natrl Gas is currently at 3.72. For similar time horizon, the selected benchmark (DOW) has volatility of 0.5