Telecom Italia Capital Performance
| 87927VAF5 | 88.64 13.13 12.90% |
The entity has a beta of -0.11, which indicates not very significant fluctuations relative to the market. As returns on the market increase, returns on owning Telecom are expected to decrease at a much lower rate. During the bear market, Telecom is likely to outperform the market.
Risk-Adjusted Performance
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Very Weak
Over the last 90 days Telecom Italia Capital has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest weak performance, the Bond's basic indicators remain strong and the current disturbance on Wall Street may also be a sign of long term gains for Telecom Italia Capital investors. ...more
Telecom |
Telecom Relative Risk vs. Return Landscape
If you would invest 10,116 in Telecom Italia Capital on September 12, 2024 and sell it today you would lose (1,252) from holding Telecom Italia Capital or give up 12.38% of portfolio value over 90 days. Telecom Italia Capital is generating negative expected returns and assumes 1.773% volatility on return distribution over the 90 days horizon. Simply put, 15% of bonds are less volatile than Telecom, and 99% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days. Expected Return |
| Risk |
Telecom Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Telecom's investment risk. Standard deviation is the most common way to measure market volatility of bonds, such as Telecom Italia Capital, and traders can use it to determine the average amount a Telecom's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = -0.1126
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| Cash | Small Risk | Average Risk | High Risk | Huge Risk |
| Negative Returns | 87927VAF5 |
Estimated Market Risk
| 1.77 actual daily | 15 85% of assets are more volatile |
Expected Return
| -0.2 actual daily | 0 Most of other assets have higher returns |
Risk-Adjusted Return
| -0.11 actual daily | 0 Most of other assets perform better |
Based on monthly moving average Telecom is not performing at its full potential. However, if added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Telecom by adding Telecom to a well-diversified portfolio.
About Telecom Performance
By analyzing Telecom's fundamental ratios, stakeholders can gain valuable insights into Telecom's financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Telecom has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Telecom has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
| Telecom generated a negative expected return over the last 90 days |
Other Information on Investing in Telecom Bond
Telecom financial ratios help investors to determine whether Telecom Bond 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 Telecom with respect to the benefits of owning Telecom security.