Ares Dynamic Credit Fund Manager Performance Evaluation
| ARDC Fund | USD 13.82 0.02 0.14% |
The fund shows a Beta (market volatility) of 0.35, which signifies possible diversification benefits within a given portfolio. As returns on the market increase, Ares Dynamic's returns are expected to increase less than the market. However, during the bear market, the loss of holding Ares Dynamic is expected to be smaller as well.
Risk-Adjusted Performance
8 of 100
Weak | Strong |
OK
Compared to the overall equity markets, risk-adjusted returns on investments in Ares Dynamic Credit are ranked lower than 8 (%) of all funds and portfolios of funds over the last 90 days. In spite of rather sound fundamental indicators, Ares Dynamic is not utilizing all of its potentials. The newest stock price tumult, may contribute to shorter-term losses for the shareholders.
...more1 | Ares Dynamic Credit Allocation Fund Declares a Monthly Distribution of 0.1175 Per Share - Investing.com India | 02/09/2024 |
2 | Month-End Portfolio Data Now Available For Ares Dynamic Credit Allocation Fund, Inc. - AccessWire | 03/25/2024 |
3 | Raymond James Associates Grows Stock Holdings in Ares Dynamic Credit Allocation Fund, Inc. - Defense World | 04/18/2024 |
| Expense Ratio | 2.7300 |
Ares |
Ares Dynamic Relative Risk vs. Return Landscape
If you would invest 1,329 in Ares Dynamic Credit on January 26, 2024 and sell it today you would earn a total of 53.00 from holding Ares Dynamic Credit or generate 3.99% return on investment over 90 days. Ares Dynamic Credit is currently generating 0.0647% in daily expected returns and assumes 0.5758% risk (volatility on return distribution) over the 90 days horizon. In different words, 5% of funds are less volatile than Ares, and 99% of all traded equity instruments are projected to make higher returns than the company over the 90 days investment horizon. Expected Return |
| Risk |
Ares Dynamic Current Valuation
Fairly Valued
Today
Please note that Ares Dynamic's price fluctuation is very steady at this time. At this time, the entity appears to be fairly valued. Ares Dynamic Credit shows a prevailing Real Value of $13.77 per share. The current price of the fund is $13.82. We determine the value of Ares Dynamic Credit from analyzing fund fundamentals and technical indicators as well as its Probability Of Bankruptcy. In general, we favor purchasing undervalued funds and exiting overvalued funds since, at some point, fund prices and their ongoing real values will blend.
Our valuation method for Ares Dynamic Credit is useful when determining the fair value of the Ares fund, which is usually determined by what a typical buyer is willing to pay for full or partial control of Ares Dynamic. Since Ares Dynamic is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Ares Fund. However, Ares Dynamic'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 13.82 | Real 13.77 | Hype 13.81 | Naive 13.9 |
The real value of Ares Fund, also known as its intrinsic value, is the underlying worth of Ares Dynamic Credit Fund, which is reflected in its stock price. It is based on Ares Dynamic's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Ares Dynamic'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 Ares Dynamic'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.
Estimating the potential upside or downside of Ares Dynamic Credit helps investors to forecast how Ares 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 Ares Dynamic more accurately as focusing exclusively on Ares Dynamic's fundamentals will not take into account other important factors: Ares Dynamic Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Ares Dynamic's investment risk. Standard deviation is the most common way to measure market volatility of funds, such as Ares Dynamic Credit, and traders can use it to determine the average amount a Ares Dynamic'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 = 0.1124
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Estimated Market Risk
| 0.58 actual daily | 5 95% of assets are more volatile |
Expected Return
| 0.06 actual daily | 1 99% of assets have higher returns |
Risk-Adjusted Return
| 0.11 actual daily | 8 92% of assets perform better |
Based on monthly moving average Ares Dynamic is performing at about 8% 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 Ares Dynamic by adding it to a well-diversified portfolio.
Ares Dynamic Fundamentals Growth
Ares Fund prices reflect investors' perceptions of the future prospects and financial health of Ares Dynamic, and Ares Dynamic 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 Ares Fund performance.
| Shares Outstanding | 22.91 M | |||
| Price To Earning | 7.13 X | |||
| Earnings Per Share | 1.62 X | |||
About Ares Dynamic Performance
To evaluate Ares Dynamic Credit 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 Ares Dynamic 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 Ares 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 Ares Dynamic Credit market performance in a much more refined way. The Macroaxis performance score is an integer between 0 and 100 that represents Ares'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.Ares Dynamic Credit Allocation Fund, Inc. is a closed-ended fixed income mutual fund launched by Ares Management LLC. Ares Dynamic Credit Allocation Fund, Inc. was formed on November 27, 2012 and is domiciled in the United States. Ares Dynamic is traded on New York Stock Exchange in the United States.Things to note about Ares Dynamic Credit performance evaluation
Checking the ongoing alerts about Ares Dynamic for important developments is a great way to find new opportunities for your next move. Fund alerts and notifications screener for Ares Dynamic Credit help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.| Latest headline from news.google.com: Raymond James Associates Grows Stock Holdings in Ares Dynamic Credit Allocation Fund, Inc. - Defense World |
- Analyzing Ares Dynamic'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 Ares Dynamic's stock is overvalued or undervalued compared to its peers.
- Examining Ares Dynamic'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 Ares Dynamic's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Ares Dynamic's management team can help you assess the Fund's leadership.
- Pay attention to analyst opinions and ratings of Ares Dynamic's fund. These opinions can provide insight into Ares Dynamic's potential for growth and whether the stock is currently undervalued or overvalued.
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Ares Dynamic Credit. Also, note that the market value of any fund could be tightly coupled with the direction of predictive economic indicators such as signals in unemployment. Note that the Ares Dynamic Credit information on this page should be used as a complementary analysis to other Ares Dynamic'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 Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.