Sprott Lithium Miners Etf Market Value
| LITP Etf | 8.46 0.03 0.36% |
| Symbol | Sprott |
The market value of Sprott Lithium Miners is measured differently than its book value, which is the value of Sprott that is recorded on the company's balance sheet. Investors also form their own opinion of Sprott Lithium's value that differs from its market value or its book value, called intrinsic value, which is Sprott Lithium's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Sprott Lithium's market value can be influenced by many factors that don't directly affect Sprott Lithium's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Sprott Lithium's value and its price as these two are different measures arrived at by different means. Investors typically determine if Sprott Lithium is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sprott Lithium's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Sprott Lithium 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Sprott Lithium's etf what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Sprott Lithium.
| 10/23/2024 |
| 11/22/2024 |
If you would invest 0.00 in Sprott Lithium on October 23, 2024 and sell it all today you would earn a total of 0.00 from holding Sprott Lithium Miners or generate 0.0% return on investment in Sprott Lithium over 30 days. Sprott Lithium is related to or competes with Sprott Energy, Sprott Junior, Sprott Junior, and Sprott Nickel. Sprott Lithium is entity of United States More
Sprott Lithium Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Sprott Lithium's etf current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Sprott Lithium Miners upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 3.18 | |||
| Information Ratio | 0.0647 | |||
| Maximum Drawdown | 19.46 | |||
| Value At Risk | (4.85) | |||
| Potential Upside | 7.08 |
Sprott Lithium Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Sprott Lithium's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Sprott Lithium's standard deviation. In reality, there are many statistical measures that can use Sprott Lithium historical prices to predict the future Sprott Lithium's volatility.| Risk Adjusted Performance | 0.0764 | |||
| Jensen Alpha | 0.2121 | |||
| Total Risk Alpha | (0.09) | |||
| Sortino Ratio | 0.074 | |||
| Treynor Ratio | 0.2518 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Sprott Lithium's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Sprott Lithium Miners Backtested Returns
Sprott Lithium appears to be slightly risky, given 3 months investment horizon. Sprott Lithium Miners owns Efficiency Ratio (i.e., Sharpe Ratio) of 0.0756, which indicates the etf had a 0.0756% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Sprott Lithium Miners, which you can use to evaluate the volatility of the etf. Please review Sprott Lithium's Risk Adjusted Performance of 0.0764, semi deviation of 2.89, and Coefficient Of Variation of 1100.35 to confirm if our risk estimates are consistent with your expectations. The entity has a beta of 1.27, which indicates a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Sprott Lithium will likely underperform.
Auto-correlation | 0.15 |
Insignificant predictability
Sprott Lithium Miners has insignificant predictability. Overlapping area represents the amount of predictability between Sprott Lithium time series from 23rd of October 2024 to 7th of November 2024 and 7th of November 2024 to 22nd of November 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Sprott Lithium Miners price movement. The serial correlation of 0.15 indicates that less than 15.0% of current Sprott Lithium price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.15 | |
| Spearman Rank Test | -0.08 | |
| Residual Average | 0.0 | |
| Price Variance | 0.01 |
Sprott Lithium Miners lagged returns against current returns
Autocorrelation, which is Sprott Lithium etf's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Sprott Lithium's etf expected returns. We can calculate the autocorrelation of Sprott Lithium returns to help us make a trade decision. For example, suppose you find that Sprott Lithium has exhibited high autocorrelation historically, and you observe that the etf is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Sprott Lithium regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Sprott Lithium etf is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Sprott Lithium etf is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Sprott Lithium etf over time.
Current vs Lagged Prices |
| Timeline |
Sprott Lithium Lagged Returns
When evaluating Sprott Lithium's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Sprott Lithium etf have on its future price. Sprott Lithium autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Sprott Lithium autocorrelation shows the relationship between Sprott Lithium etf current value and its past values and can show if there is a momentum factor associated with investing in Sprott Lithium Miners.
Regressed Prices |
| Timeline |
Pair Trading with Sprott Lithium
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Sprott Lithium position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Sprott Lithium will appreciate offsetting losses from the drop in the long position's value.Moving together with Sprott Etf
| 0.81 | EV | Mast Global Battery | PairCorr |
| 0.61 | XLB | Materials Select Sector | PairCorr |
| 0.77 | VAW | Vanguard Materials Index | PairCorr |
| 0.89 | XME | SPDR SP Metals | PairCorr |
| 0.64 | PHO | Invesco Water Resources | PairCorr |
The ability to find closely correlated positions to Sprott Lithium could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Sprott Lithium when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Sprott Lithium - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Sprott Lithium Miners to buy it.
The correlation of Sprott Lithium is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Sprott Lithium moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Sprott Lithium Miners moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Sprott Lithium can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Sprott Lithium Correlation, Sprott Lithium Volatility and Sprott Lithium Alpha and Beta module to complement your research on Sprott Lithium. You can also try the Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
Sprott Lithium technical etf 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, etf market cycles, or different charting patterns.