Arch Capital (Germany) Alpha and Beta Analysis
| RSK Stock | EUR 89.97 3.45 3.69% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Arch Capital Group. It also helps investors analyze the systematic and unsystematic risks associated with investing in Arch Capital over a specified time horizon. Remember, high Arch Capital's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to Arch Capital's market risk premium analysis include:
Beta (0.11) | Alpha 0.0286 | Risk 2.1 | Sharpe Ratio (0.01) | Expected Return (0.01) |
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
Arch |
Arch Capital Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Arch Capital market risk premium is the additional return an investor will receive from holding Arch Capital long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Arch Capital. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Arch Capital's performance over market.| α | 0.03 | β | -0.11 |
Arch Capital expected buy-and-hold returns
Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Arch Capital's Buy-and-hold return. Our buy-and-hold chart shows how Arch Capital performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Arch Capital Market Price Analysis
Market price analysis indicators help investors to evaluate how Arch Capital stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Arch Capital shares will generate the highest return on investment. By understating and applying Arch Capital stock market price indicators, traders can identify Arch Capital position entry and exit signals to maximize returns.
Arch Capital Return and Market Media
The median price of Arch Capital for the period between Mon, Aug 26, 2024 and Sun, Nov 24, 2024 is 93.8 with a coefficient of variation of 4.01. The daily time series for the period is distributed with a sample standard deviation of 3.73, arithmetic mean of 93.08, and mean deviation of 2.87. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
| Timeline |
About Arch Capital Beta and Alpha
For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including Arch or other stocks. Alpha measures the amount that position in Arch Capital Group has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Arch Capital in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Arch Capital's short interest history, or implied volatility extrapolated from Arch Capital options trading.
Build Portfolio with Arch Capital
Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.Build Diversified Portfolios
Align your risk with return expectations
Additional Information and Resources on Investing in Arch Stock
When determining whether Arch Capital Group is a strong investment it is important to analyze Arch Capital's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Arch Capital's future performance. For an informed investment choice regarding Arch Stock, refer to the following important reports:Check out Arch Capital Backtesting, Arch Capital Valuation, Arch Capital Correlation, Arch Capital Hype Analysis, Arch Capital Volatility, Arch Capital History and analyze Arch Capital Performance. You can also try the Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.
Arch Capital technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.