Schwab Total Stock Fund Alpha and Beta Analysis
| SWTSX Fund | USD 102.79 0.44 0.43% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Schwab Total Stock. It also helps investors analyze the systematic and unsystematic risks associated with investing in Schwab Total over a specified time horizon. Remember, high Schwab Total'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 Schwab Total's market risk premium analysis include:
Beta 0.9 | Alpha 0.0192 | Risk 0.8 | Sharpe Ratio 0.17 | Expected Return 0.13 |
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.
Schwab |
Schwab Total Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Schwab Total market risk premium is the additional return an investor will receive from holding Schwab Total 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 Schwab Total. 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 Schwab Total's performance over market.| α | 0.02 | β | 0.90 |
Schwab Total 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 Schwab Total's Buy-and-hold return. Our buy-and-hold chart shows how Schwab Total performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Schwab Total Market Price Analysis
Market price analysis indicators help investors to evaluate how Schwab Total mutual fund reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Schwab Total shares will generate the highest return on investment. By understating and applying Schwab Total mutual fund market price indicators, traders can identify Schwab Total position entry and exit signals to maximize returns.
Schwab Total Return and Market Media
The median price of Schwab Total for the period between Thu, Aug 29, 2024 and Wed, Nov 27, 2024 is 97.49 with a coefficient of variation of 2.84. The daily time series for the period is distributed with a sample standard deviation of 2.78, arithmetic mean of 97.72, and mean deviation of 2.24. The Fund received some media coverage during the period. Price Growth (%) |
| Timeline |
1 | Is Schwab Total Stock Market Index a Strong Mutual Fund Pick Right Now - Yahoo Finance | 10/16/2024 |
About Schwab Total 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 Schwab or other funds. Alpha measures the amount that position in Schwab Total Stock 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 Schwab Total 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, Schwab Total's short interest history, or implied volatility extrapolated from Schwab Total options trading.
Build Portfolio with Schwab Total
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Other Information on Investing in Schwab Mutual Fund
Schwab Total financial ratios help investors to determine whether Schwab Mutual Fund is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Schwab with respect to the benefits of owning Schwab Total security.
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