GENESIS TECHNOLOGY (Taiwan) Volatility

6221
  

TWD 53.50  0.30  0.56%   

GENESIS TECHNOLOGY appears to be very steady, given 3 months investment horizon. GENESIS TECHNOLOGY INC holds Efficiency (Sharpe) Ratio of 0.21, which attests that the entity had 0.21% of return per unit of risk over the last 3 months. Our standpoint towards determining the volatility of a stock is to use all available market data together with stock-specific technical indicators that cannot be diversified away. We have found twenty-one technical indicators for GENESIS TECHNOLOGY INC, which you can use to evaluate the future volatility of the firm. Please utilize GENESIS TECHNOLOGY's Risk Adjusted Performance of 0.2419, semi deviation of 1.26, and Market Risk Adjusted Performance of (1.70) to validate if our risk estimates are consistent with your expectations.
  
GENESIS TECHNOLOGY Stock 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 GENESIS daily returns, and it is calculated using variance and standard deviation. We also use GENESIS's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of GENESIS TECHNOLOGY volatility.

30 Days Market Risk

Very steady

Chance of Distress

Below Average

30 Days Economic Sensitivity

Barely shadows the market
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as GENESIS TECHNOLOGY 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 GENESIS TECHNOLOGY at lower prices. For example, an investor can purchase GENESIS 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 GENESIS TECHNOLOGY'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 GENESIS TECHNOLOGY

+0.782885YUANTA FINANCIAL HOLPairCorr
+0.792880HUA NAN FINANCIALPairCorr

Moving against GENESIS TECHNOLOGY

-0.572905MERCURIES ASSOCIATESPairCorr
-0.552888BSHIN KONG FINANCIALPairCorr

GENESIS TECHNOLOGY Market Sensitivity And Downside Risk

GENESIS TECHNOLOGY's beta coefficient measures the volatility of GENESIS stock compared to the systematic risk of the entire stock 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 GENESIS stock's returns against your selected market. In other words, GENESIS TECHNOLOGY's beta of -0.26 provides an investor with an approximation of how much risk GENESIS TECHNOLOGY stock can potentially add to one of your existing portfolios.
GENESIS TECHNOLOGY INC has relatively low volatility with skewness of 1.26 and kurtosis of 3.75. However, we advise all investors to independently investigate GENESIS TECHNOLOGY INC to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure GENESIS TECHNOLOGY's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact GENESIS TECHNOLOGY's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
3 Months Beta |Analyze GENESIS TECHNOLOGY INC Demand Trend
Check current 90 days GENESIS TECHNOLOGY correlation with market (DOW)

GENESIS Beta

    
  -0.26  
GENESIS standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. Typical volatile equity 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

    
  2.23  
It is essential to understand the difference between upside risk (as represented by GENESIS TECHNOLOGY's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of GENESIS TECHNOLOGY's daily returns or price. Since the actual investment returns on holding a position in genesis stock 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 GENESIS TECHNOLOGY.

GENESIS TECHNOLOGY INC Stock Volatility Analysis

Volatility refers to the frequency at which GENESIS TECHNOLOGY stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with GENESIS TECHNOLOGY's price changes. Investors will then calculate the volatility of GENESIS TECHNOLOGY's stock to predict their future moves. A stock that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A stock with relatively stable price changes has low volatility. A highly volatile stock 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 GENESIS TECHNOLOGY's volatility:

Historical Volatility

This type of stock volatility measures GENESIS TECHNOLOGY's fluctuations based on previous trends. It's commonly used to predict GENESIS TECHNOLOGY's future behavior based on its past. However, it cannot conclusively determine the future direction of the stock.

Implied Volatility

This type of volatility provides a positive outlook on future price fluctuations for GENESIS TECHNOLOGY's current market price. This means that the stock will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on GENESIS TECHNOLOGY'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. The Median Price line plots median indexes of GENESIS TECHNOLOGY INC price series.
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GENESIS TECHNOLOGY Projected Return Density Against Market

Assuming the 90 days trading horizon GENESIS TECHNOLOGY INC has a beta of -0.2607 . This suggests as returns on benchmark increase, returns on holding GENESIS TECHNOLOGY are expected to decrease at a much lower rate. During the bear market, however, GENESIS TECHNOLOGY INC is likely to outperform the market.
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 GENESIS TECHNOLOGY or Technology 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 GENESIS TECHNOLOGY's price will be affected by overall stock 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 GENESIS stock'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.
The company has an alpha of 0.4271, implying that it can generate a 0.43 percent excess return over DOW after adjusting for the inherited market risk (beta).
   Predicted Return Density   
       Returns  
GENESIS TECHNOLOGY's volatility is measured either by using standard deviation or beta. Standard deviation will reflect the average amount of how genesis stock's price will differ from the mean after some time.To get its calculation, you should first determine the mean price during the specified period then subtract that from each price point.

What Drives a GENESIS TECHNOLOGY Price Volatility?

Several factors can influence a Stock's stock 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.

GENESIS TECHNOLOGY Stock Risk Measures

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 GENESIS TECHNOLOGY or Technology 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 GENESIS TECHNOLOGY's price will be affected by overall stock 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 GENESIS stock'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. Assuming the 90 days trading horizon the coefficient of variation of GENESIS TECHNOLOGY is 466.66. The daily returns are distributed with a variance of 4.99 and standard deviation of 2.23. The mean deviation of GENESIS TECHNOLOGY INC is currently at 1.58. For similar time horizon, the selected benchmark (DOW) has volatility of 1.19
α
Alpha over DOW
0.43
β
Beta against DOW-0.26
σ
Overall volatility
2.23
Ir
Information ratio 0.23

GENESIS TECHNOLOGY Stock Return Volatility

GENESIS TECHNOLOGY historical daily return volatility represents how much of GENESIS TECHNOLOGY stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The venture accepts 2.2328% volatility on return distribution over the 90 days horizon. By contrast, DOW inherits 1.2047% risk (volatility on return distribution) over the 90 days horizon.
 Performance (%) 
       Timeline  

About GENESIS TECHNOLOGY Volatility

Volatility is a rate at which the price of GENESIS TECHNOLOGY 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 GENESIS TECHNOLOGY may increase or decrease. In other words, similar to GENESIS's beta indicator, it measures the risk of GENESIS TECHNOLOGY and helps estimate the fluctuations that may happen in a short period of time. So if prices of GENESIS TECHNOLOGY 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.
Genesis Technology, Inc. provides various information technology solutions to enterprises in Taiwan. Genesis Technology, Inc. was founded in 1994 and is headquartered in Hsinchu, Taiwan. GENESIS TECHNOLOGY operates under Information Technology Services classification in Taiwan and is traded on Taiwan OTC Exchange.

GENESIS TECHNOLOGY Investment Opportunity

GENESIS TECHNOLOGY INC has a volatility of 2.23 and is 1.86 times more volatile than DOW. 19  of all equities and portfolios are less risky than GENESIS TECHNOLOGY. Compared to the overall equity markets, volatility of historical daily returns of GENESIS TECHNOLOGY INC is lower than 19 () of all global equities and portfolios over the last 90 days. Use GENESIS TECHNOLOGY INC to protect your portfolios against small market fluctuations. Benchmarks are essential to demonstrate the utility of optimization algorithms. The stock experiences a moderate downward daily trend and can be a good diversifier. Check odds of GENESIS TECHNOLOGY to be traded at NT$52.43 in 90 days.

Good diversification

The correlation between GENESIS TECHNOLOGY INC and DJI is -0.14 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding GENESIS TECHNOLOGY INC and DJI in the same portfolio, assuming nothing else is changed.

GENESIS TECHNOLOGY Additional Risk Indicators

The analysis of GENESIS TECHNOLOGY'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 GENESIS TECHNOLOGY's investment and either accepting that risk or mitigating it. Along with some common measures of GENESIS TECHNOLOGY stock'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.
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential stocks, we recommend comparing similar stocks with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.

GENESIS TECHNOLOGY 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 GENESIS TECHNOLOGY 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. GENESIS TECHNOLOGY'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, GENESIS TECHNOLOGY'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 GENESIS TECHNOLOGY INC.
Please continue to Trending Equities. You can also try Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.

Other Tools for GENESIS Stock

When running GENESIS TECHNOLOGY INC price analysis, check to measure GENESIS TECHNOLOGY'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 GENESIS TECHNOLOGY is operating at the current time. Most of GENESIS TECHNOLOGY's value examination focuses on studying past and present price action to predict the probability of GENESIS TECHNOLOGY's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move GENESIS TECHNOLOGY's price. Additionally, you may evaluate how the addition of GENESIS TECHNOLOGY to your portfolios can decrease your overall portfolio volatility.
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