GLOBAL QUALITY PORTFOLIO holds Efficiency (Sharpe) Ratio of -0.0382, which attests that the entity had -0.0382% of return per unit of volatility over the last 3 months. Our approach 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. GLOBAL QUALITY PORTFOLIO exposes fifteen different technical indicators, which can help you to evaluate volatility embedded in its stock price that cannot be diversified away. Please check out GLOBAL QUALITY market risk adjusted performance of (0.26), and Risk Adjusted Performance of (0.024474) to validate the risk estimate we provide.
30 Days Market Risk
Chance of Distress
30 Days Economic Sensitivity
GLOBAL QUALITY 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 GLOBAL daily returns, and it is calculated using variance and standard deviation. We also use GLOBAL's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of GLOBAL QUALITY volatility.
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as GLOBAL QUALITY 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 GLOBAL QUALITY at lower prices. For example, an investor can purchase GLOBAL 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 GLOBAL QUALITY'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 GLOBAL Mutual Fund
GLOBAL QUALITY Market Sensitivity And Downside Risk
GLOBAL QUALITY's beta coefficient measures the volatility of GLOBAL 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 GLOBAL mutual fund's returns against your selected market. In other words, GLOBAL QUALITY's beta of 0.14 provides an investor with an approximation of how much risk GLOBAL QUALITY mutual fund can potentially add to one of your existing portfolios.GLOBAL QUALITY PORTFOLIO exhibits very low volatility with skewness of 0.08 and kurtosis of -0.33. However, we advise investors to further study GLOBAL QUALITY PORTFOLIO technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure GLOBAL QUALITY's mutual fund risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact GLOBAL QUALITY's mutual fund 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 GLOBAL QUALITY PORTFOLIO Demand TrendCheck current 90 days GLOBAL QUALITY correlation with market (NYSE Composite)
GLOBAL 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.
It is essential to understand the difference between upside risk (as represented by GLOBAL QUALITY's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of GLOBAL QUALITY's daily returns or price. Since the actual investment returns on holding a position in global mutual fund 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 GLOBAL QUALITY.
GLOBAL QUALITY PORTFOLIO Mutual Fund Volatility Analysis
Volatility refers to the frequency at which GLOBAL QUALITY fund price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with GLOBAL QUALITY's price changes. Investors will then calculate the volatility of GLOBAL QUALITY's mutual fund to predict their future moves. A fund that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A mutual fund with relatively stable price changes has low volatility. A highly volatile fund 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 GLOBAL QUALITY's volatility:
Historical VolatilityThis type of fund volatility measures GLOBAL QUALITY's fluctuations based on previous trends. It's commonly used to predict GLOBAL QUALITY's future behavior based on its past. However, it cannot conclusively determine the future direction of the mutual fund.
Implied VolatilityThis type of volatility provides a positive outlook on future price fluctuations for GLOBAL QUALITY's current market price. This means that the fund will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on GLOBAL QUALITY's to be redeemed at a future date.
GLOBAL QUALITY Projected Return Density Against MarketAssuming the 90 days horizon GLOBAL QUALITY has a beta of 0.1368 . This indicates as returns on the market go up, GLOBAL QUALITY average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding GLOBAL QUALITY PORTFOLIO 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 GLOBAL QUALITY or Morgan Stanley 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 GLOBAL QUALITY's price will be affected by overall mutual fund 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 GLOBAL fund'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. GLOBAL QUALITY PORTFOLIO is significantly underperforming NYSE Composite. GLOBAL QUALITY's volatility is measured either by using standard deviation or beta. Standard deviation will reflect the average amount of how global mutual fund'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 GLOBAL QUALITY Price Volatility?Several factors can influence a fund's market volatility:
IndustrySpecific 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 environmentWhen 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 PerformanceSometimes 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.
GLOBAL QUALITY 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 GLOBAL QUALITY or Morgan Stanley 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 GLOBAL QUALITY's price will be affected by overall mutual fund 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 GLOBAL fund'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 GLOBAL QUALITY is -2619.03. The daily returns are distributed with a variance of 0.43 and standard deviation of 0.66. The mean deviation of GLOBAL QUALITY PORTFOLIO is currently at 0.53. For similar time horizon, the selected benchmark (NYSE Composite) has volatility of 0.6
GLOBAL QUALITY Mutual Fund Return VolatilityGLOBAL QUALITY historical daily return volatility represents how much of GLOBAL QUALITY fund's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The fund shows 0.6552% volatility of returns over 90 . By contrast, NYSE Composite accepts 0.6033% volatility on return distribution over the 90 days horizon.
About GLOBAL QUALITY Volatility
Volatility is a rate at which the price of GLOBAL QUALITY 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 GLOBAL QUALITY may increase or decrease. In other words, similar to GLOBAL's beta indicator, it measures the risk of GLOBAL QUALITY and helps estimate the fluctuations that may happen in a short period of time. So if prices of GLOBAL QUALITY 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.
GLOBAL QUALITY's stock volatility refers to the amount of uncertainty or risk involved with the size of changes in its stock's price. It is a statistical measure of the dispersion of returns on GLOBAL Mutual Fund over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much GLOBAL QUALITY's price varies over time.
3 ways to utilize GLOBAL QUALITY's volatility to invest betterHigher GLOBAL QUALITY's fund volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of GLOBAL QUALITY PORTFOLIO fund is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. GLOBAL QUALITY PORTFOLIO fund volatility can provide helpful information for making investment decisions in the following ways:
- Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of GLOBAL QUALITY PORTFOLIO investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in GLOBAL QUALITY's fund can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
- Diversification: Understanding how the volatility of GLOBAL QUALITY's fund relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
GLOBAL QUALITY Investment OpportunityGLOBAL QUALITY PORTFOLIO has a volatility of 0.66 and is 1.1 times more volatile than NYSE Composite. 5 of all equities and portfolios are less risky than GLOBAL QUALITY. Compared to the overall equity markets, volatility of historical daily returns of GLOBAL QUALITY PORTFOLIO is lower than 5 () of all global equities and portfolios over the last 90 days. Use GLOBAL QUALITY PORTFOLIO to protect your portfolios against small market fluctuations. Benchmarks are essential to demonstrate the utility of optimization algorithms. The mutual fund experiences a normal downward trend and little activity. Check odds of GLOBAL QUALITY to be traded at $16.65 in 90 days.
GLOBAL QUALITY Additional Risk Indicators
The analysis of GLOBAL QUALITY'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 GLOBAL QUALITY's investment and either accepting that risk or mitigating it. Along with some common measures of GLOBAL QUALITY mutual fund'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 mutual funds, we recommend comparing similar funds with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
GLOBAL QUALITY 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 GLOBAL QUALITY 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. GLOBAL QUALITY'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, GLOBAL QUALITY'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 GLOBAL QUALITY PORTFOLIO.
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in GLOBAL QUALITY PORTFOLIO. 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 population. You can also try the Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
Complementary Tools for GLOBAL Mutual Fund analysis
When running GLOBAL QUALITY's price analysis, check to measure GLOBAL QUALITY'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 GLOBAL QUALITY is operating at the current time. Most of GLOBAL QUALITY's value examination focuses on studying past and present price action to predict the probability of GLOBAL QUALITY's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move GLOBAL QUALITY's price. Additionally, you may evaluate how the addition of GLOBAL QUALITY to your portfolios can decrease your overall portfolio volatility.