Oak Valley Market Risk Adjusted Performance
| OVLY Stock | | | USD 33.78 -0.21 -0.62% |
Market Risk-Adjusted Performance (MRAP) measures return relative to systematic risk (beta) rather than total risk (standard deviation). This isolates the return earned per unit of market exposure, filtering out idiosyncratic volatility that can be diversified away. Below is Oak Valley's current Market Risk Adjusted Performance with peer comparisons and related risk metrics.
Current Market Risk Adjusted Performance Value
Oak Valley carries a Market Risk Adjusted Performance of 0.1158, consistent with positive but modest risk-adjusted return. Oak Valley has produced a positive return relative to risk, though the margin is limited.
MRAP | = | ER[a] + (1/BETA - 1) | X | ER[a] - RFR) |
| = | 0.1158 | |
| ER[a] | = | Expected return on investing in Oak Valley |
| RFR | = | Risk Free Rate of return. Typically T-Bill Rate |
| BETA | = | Beta of the asset with market or selected benchmark. |
Market Risk Adjusted Performance Peers Comparison
Relative to peers, Oak Valley's Market Risk Adjusted Performance is above the group average of 0.02. Peer readings range from -0.33 (First Savings Financial) to 0.2314 (Timberland Bancorp), reflecting wide dispersion across the sector. Oak Valley's risk-adjusted return exceeds the peer average, indicating more efficient compensation for risk taken.
Market Risk Adjusted Performance Relative To Other Indicators
The chart below plots Market Risk Adjusted Performance against Maximum Drawdown for Oak Valley and its peers. Each point represents one equity — position along the horizontal axis shows Market Risk Adjusted Performance while the vertical axis shows Maximum Drawdown. Equities that cluster in different quadrants carry distinct risk-return profiles. Use the dropdowns to swap in other indicators for either axis.
Oak Valley's Maximum Drawdown of
5.05 runs about
43.59 times its Market Risk Adjusted Performance of
0.12 . This indicates Maximum Drawdown substantially exceeds Market Risk Adjusted Performance for Oak Valley.
Methodology, Assumptions & Data Sources
The current Market Risk Adjusted Performance for Oak Valley is 0.1158. Oak Valley's Market Risk Adjusted Performance is computed from historical closing prices over the selected time horizon, applying the indicator's defined mathematical transformation to raw price data. The underlying data comes from exchange-reported daily closes with corporate action adjustments applied where relevant. Oak Valley operates in the financial services sector, which may exhibit distinct volatility and momentum characteristics relative to the broader market. The calculation assumes continuous price data across the selected period. All readings are presented as reference data.
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