Highland Mutual Fund Volatility

HHCZX -  USA Fund  

USD 15.67  0.02  0.13%

Highland LongShort holds Efficiency (Sharpe) Ratio of -0.16, which attests that the entity had -0.16% of return per unit of risk over the last 6 months. Macroaxis standpoint towards determining the risk of any fund is to look at both systematic and unsystematic factors of the business, including all available market data and technical indicators. Highland LongShort exposes twenty-one different technical indicators, which can help you to evaluate volatility that cannot be diversified away. Please be advised to check out Highland LongShort market risk adjusted performance of (0.33), and Risk Adjusted Performance of (0.09) to validate the risk estimate we provide.

Highland Volatility 

 
Refresh
Highland LongShort 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 Highland daily returns, and it is calculated using variance and standard deviation. We also use Highland's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Highland LongShort volatility.

60 Days Market Risk

Very steady

Chance of Distress

Very Small

60 Days Economic Sensitivity

Follows the market closely

Highland LongShort Market Sensitivity And Downside Risk

Highland LongShort's beta coefficient measures the volatility of Highland mutual fund 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 Highland mutual fund's returns against your selected market. In other words, Highland LongShort's beta of 0.53 provides an investor with an approximation of how much risk Highland LongShort mutual fund can potentially add to one of your existing portfolios.
Let's try to break down what Highland's beta means in this case. As returns on the market increase, Highland LongShort returns are expected to increase less than the market. However, during the bear market, the loss on holding Highland LongShort will be expected to be smaller as well.
6 Months Beta |Analyze Highland LongShort Demand Trend
Check current 90 days Highland LongShort correlation with market (DOW)

Highland Beta

    
  0.53  
Highland 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

    
  1.3  
It is essential to understand the difference between upside risk (as represented by Highland LongShort's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Highland LongShort stock's daily returns or price. Since the actual investment returns on holding a position in Highland LongShort 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 Highland LongShort.

Highland LongShort Mutual Fund Volatility Analysis

Transformation
The output start index for this execution was zero with a total number of output elements of one hundred twenty-seven. Highland LongShort 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. View also all equity analysis or get more info about average price price transform indicator.

Highland LongShort Projected Return Density Against Market

Assuming the 90 days horizon Highland LongShort has a beta of 0.5292 . This usually indicates as returns on the market go up, Highland LongShort average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Highland LongShort Healthcare will be expected to be much smaller as well.
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 Highland LongShort or Highland Funds 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 Highland LongShort stock'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 Highland 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 a negative alpha, implying that the risk taken by holding this instrument is not justified. Highland LongShort is significantly underperforming DOW.
 Predicted Return Density 
      Returns 

Highland LongShort Mutual Fund 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 Highland LongShort or Highland Funds 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 Highland LongShort stock'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 Highland 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 horizon the coefficient of variation of Highland LongShort is -644.14. The daily returns are distributed with a variance of 1.69 and standard deviation of 1.3. The mean deviation of Highland LongShort Healthcare is currently at 0.97. For similar time horizon, the selected benchmark (DOW) has volatility of 0.73
α
Alpha over DOW
-0.2
β
Beta against DOW0.53
σ
Overall volatility
1.30
Ir
Information ratio -0.16

Highland LongShort Mutual Fund Return Volatility

Highland LongShort historical daily return volatility represents how much Highland LongShort stock's price daily returns swing around its mean daily price change - it is a statistical measure of its dispersion of returns. The fund shows 1.3012% volatility of returns over 90 . By contrast, DOW inherits 0.7259% risk (volatility on return distribution) over the 90 days horizon.
 Performance (%) 
      Timeline 

About Highland LongShort Volatility

Volatility is a rate at which the price of Highland LongShort 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 Highland LongShort may increase or decrease. In other words, similar to Highland's beta indicator, it measures the risk of Highland LongShort and helps estimate the fluctuations that may happen in a short period of time. So if prices of Highland LongShort 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.
The fund seeks to achieve its investment objective by investing at least 80 percent of the value of its total assets under normal circumstances in securities of companies principally engaged in the design, development, production, sale, management or distribution of products, services or facilities used for or in connection with healthcare or medicine . Highland LongShort is traded on NASDAQ Exchange in the United States.

Highland LongShort Investment Opportunity

Highland LongShort Healthcare has a volatility of 1.3 and is 1.78 times more volatile than DOW. 11  of all equities and portfolios are less risky than Highland LongShort. Compared to the overall equity markets, volatility of historical daily returns of Highland LongShort Healthcare is lower than 11 () of all global equities and portfolios over the last 90 days. Use Highland LongShort Healthcare to enhance returns of your portfolios. The mutual fund experiences a normal upward fluctuation. Check odds of Highland LongShort to be traded at $16.45 in 90 days. . Let's try to break down what Highland's beta means in this case. As returns on the market increase, Highland LongShort returns are expected to increase less than the market. However, during the bear market, the loss on holding Highland LongShort will be expected to be smaller as well.

Weak diversification

The correlation between Highland LongShort Healthcare and DJI is Weak diversification for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Highland LongShort Healthcare and DJI in the same portfolio assuming nothing else is changed.

Highland LongShort Additional Risk Indicators

The analysis of Highland LongShort'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 Highland LongShort's investment and either accepting that risk or mitigating it. Along with some common measures of Highland LongShort stock 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(0.09)
Market Risk Adjusted Performance(0.33)
Mean Deviation0.9743
Coefficient Of Variation(760.24)
Standard Deviation1.3
Variance1.69
Information Ratio(0.16)
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential stock investments, we recommend comparing similar equities with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.

Highland LongShort 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.
GM vs. Highland LongShort
Manulife Financial vs. Highland LongShort
ALGONQUIN POWER vs. Highland LongShort
Mountain Valley vs. Highland LongShort
Plantfuel Life vs. Highland LongShort
Citigroup vs. Highland LongShort
Ford vs. Highland LongShort
CORUS ENTERTAINMENT vs. Highland LongShort
BIRCHCLIFF ENERGY vs. Highland LongShort
Union Pacific vs. Highland LongShort
ANDREW PELLER vs. Highland LongShort
Freeport Mcmoran vs. Highland LongShort
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 Highland LongShort 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. Highland LongShort'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, Highland LongShort'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 Highland LongShort Healthcare.
Please check Risk vs Return Analysis. Note that the Highland LongShort information on this page should be used as a complementary analysis to other Highland LongShort'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 Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .

Complementary Tools for Highland Mutual Fund analysis

When running Highland LongShort price analysis, check to measure Highland LongShort'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 Highland LongShort is operating at the current time. Most of Highland LongShort's value examination focuses on studying past and present price action to predict the probability of Highland LongShort's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Highland LongShort's price. Additionally, you may evaluate how the addition of Highland LongShort to your portfolios can decrease your overall portfolio volatility.
Cryptocurrency Center
Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency
Go
Financial Widgets
Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets
Go
Alpha Finder
Use alpha and beta coefficients to find investment opportunities after accounting for the risk
Go
Global Markets Map
Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes
Go
Correlation Analysis
Reduce portfolio risk simply by holding instruments which are not perfectly correlated
Go
Equity Forecasting
Use basic forecasting models to generate price predictions and determine price momentum
Go
Probability Of Bankruptcy
Get analysis of equity chance of financial distress in the next 2 years
Go
Focused Opportunities
Build portfolios using our predefined set of ideas and optimize them against your investing preferences
Go
Transaction History
View history of all your transactions and understand their impact on performance
Go
Please note, there is a significant difference between Highland LongShort's value and its price as these two are different measures arrived at by different means. Investors typically determine Highland LongShort value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Highland LongShort'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.