New Economy Fund Manager Performance Evaluation

RNGCX Fund  USD 57.51  0.14  0.24%   
The fund secures a Beta (Market Risk) of -0.0515, which conveys not very significant fluctuations relative to the market. As returns on the market increase, returns on owning New Economy are expected to decrease at a much lower rate. During the bear market, New Economy is likely to outperform the market.

Risk-Adjusted Performance

15 of 100

 
Low
 
High
Good
Compared to the overall equity markets, risk-adjusted returns on investments in New Economy Fund are ranked lower than 15 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak fundamental indicators, New Economy may actually be approaching a critical reversion point that can send shares even higher in April 2024.
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Expense Ratio1.0600
  

New Economy Relative Risk vs. Return Landscape

If you would invest  5,183  in New Economy Fund on December 29, 2023 and sell it today you would earn a total of  568.00  from holding New Economy Fund or generate 10.96% return on investment over 90 days. New Economy Fund is currently producing 0.1742% returns and takes up 0.8586% volatility of returns over 90 trading days. Put another way, 7% of traded mutual funds are less volatile than New, and 97% of all traded equity instruments are likely to generate higher returns over the next 90 trading days.
  Expected Return   
       Risk  
Assuming the 90 days horizon New Economy is expected to generate 1.5 times more return on investment than the market. However, the company is 1.5 times more volatile than its market benchmark. It trades about 0.2 of its potential returns per unit of risk. The NYSE Composite is currently generating roughly 0.23 per unit of risk.

New Economy Current Valuation

Overvalued
Today
57.51
Please note that New Economy's price fluctuation is very steady at this time. At this time, the fund appears to be overvalued. New Economy Fund secures a last-minute Real Value of $54.7 per share. The latest price of the fund is $57.51. We determine the value of New Economy Fund from analyzing fund fundamentals and technical indicators as well as its Probability Of Bankruptcy. In general, we recommend acquiring undervalued mutual funds and dropping overvalued mutual funds since, at some point, mutual fund prices and their ongoing real values will merge together.
Our valuation method for New Economy Fund is useful when determining the fair value of the New mutual fund, which is usually determined by what a typical buyer is willing to pay for full or partial control of New Economy. Since New Economy is currently traded on the exchange, buyers and sellers on that exchange determine the market value of New Mutual Fund. However, New Economy's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  57.51 Real  54.7 Hype  57.51 Naive  57.66
The real value of New Mutual Fund, also known as its intrinsic value, is the underlying worth of New Economy Fund Mutual Fund, which is reflected in its stock price. It is based on New Economy's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of New Economy's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence New Economy's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
54.70
Real Value
63.26
Upside
Estimating the potential upside or downside of New Economy Fund helps investors to forecast how New mutual fund's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of New Economy more accurately as focusing exclusively on New Economy's fundamentals will not take into account other important factors:
Bollinger
Band Projection (param)
LowerMiddle BandUpper
57.3357.4457.55
Details
Hype
Prediction
LowEstimatedHigh
56.6557.5158.37
Details
Naive
Forecast
LowNext ValueHigh
56.8057.6658.51
Details

New Economy Market Risk Analysis

Today, many novice investors tend to focus exclusively on investment returns with little concern for New Economy's investment risk. Standard deviation is the most common way to measure market volatility of mutual funds, such as New Economy Fund, and traders can use it to determine the average amount a New Economy's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.

Sharpe Ratio = 0.2029

Best PortfolioBest Equity
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Estimated Market Risk

 0.86
  actual daily
7
93% of assets are more volatile

Expected Return

 0.17
  actual daily
3
97% of assets have higher returns

Risk-Adjusted Return

 0.2
  actual daily
15
85% of assets perform better
Based on monthly moving average New Economy is performing at about 15% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of New Economy by adding it to a well-diversified portfolio.

New Economy Fundamentals Growth

New Mutual Fund prices reflect investors' perceptions of the future prospects and financial health of New Economy, and New Economy fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on New Mutual Fund performance.

About New Economy Performance

To evaluate New Economy Fund Mutual Fund as a possible investment, you need to clearly understand its upside potential, downside risk, and overall future performance outlook. You may be satisfied when New Economy generates a 15% return over the last few months, but what if the market is generating 25% over the same period? In this case, it makes sense to compare New Mutual Fund's performance with different market indexes, such as the Dow or NASDAQ Composite. These indexes can act as benchmarks that will help you to understand New Economy Fund market performance in a much more refined way. The Macroaxis performance score is an integer between 0 and 100 that represents New's market performance from a risk-adjusted return perspective. Generally speaking, the higher the score, the better is overall performance as compared to other investors. The score is normalized against the average investing universe (the best we can interpret from the data available). Within this methodology, scores of individual equity instruments will always be inferior to the scores of portfolios of equities as portfolios typically diversify a lot of unsystematic risks away. The formula to derive the Macroaxis score bases on multiple unequally-weighted factors. For more information, refer to our portfolio performance evaluation section.
Please also refer to our technical analysis and fundamental analysis pages.
The fund invests primarily in common stocks that the investment adviser believes have the potential for growth. It invests in securities of companies that can benefit from innovation, exploit new technologies or provide products and services that meet the demands of an evolving global economy. The fund may invest up to 50 percent of its assets outside the United States, including in developing countries.

Things to note about New Economy Fund performance evaluation

Checking the ongoing alerts about New Economy for important developments is a great way to find new opportunities for your next move. Mutual Fund alerts and notifications screener for New Economy Fund help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
The fund maintains about 13.06% of its assets in cash
Evaluating New Economy's performance can involve analyzing a variety of financial metrics and factors. Some of the key considerations to evaluate New Economy's mutual fund performance include:
  • Analyzing New Economy's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
  • Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether New Economy's stock is overvalued or undervalued compared to its peers.
  • Examining New Economy's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
  • Evaluating New Economy's management team can have a significant impact on its success or failure. Reviewing the track record and experience of New Economy's management team can help you assess the Mutual Fund's leadership.
  • Pay attention to analyst opinions and ratings of New Economy's mutual fund. These opinions can provide insight into New Economy's potential for growth and whether the stock is currently undervalued or overvalued.
It's essential to remember that evaluating New Economy's mutual fund performance is not an exact science, and many factors can impact New Economy's mutual fund market price. Therefore, it's also important to diversify your portfolio and not rely solely on one company or stock for your investments.
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in New Economy 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 New Economy Fund information on this page should be used as a complementary analysis to other New Economy'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 Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.

Complementary Tools for New Mutual Fund analysis

When running New Economy's price analysis, check to measure New Economy's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy New Economy is operating at the current time. Most of New Economy's value examination focuses on studying past and present price action to predict the probability of New Economy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move New Economy's price. Additionally, you may evaluate how the addition of New Economy to your portfolios can decrease your overall portfolio volatility.
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Please note, there is a significant difference between New Economy's value and its price as these two are different measures arrived at by different means. Investors typically determine if New Economy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, New Economy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.