Direxion Daily Energy Etf Performance
| ERX Etf | USD 71.63 0.15 0.21% |
The etf shows a Beta (market volatility) of 1.5, which means 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, Direxion Daily will likely underperform.
Risk-Adjusted Performance
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Compared to the overall equity markets, risk-adjusted returns on investments in Direxion Daily Energy are ranked lower than 7 (%) of all global equities and portfolios over the last 90 days. In spite of fairly unsteady basic indicators, Direxion Daily showed solid returns over the last few months and may actually be approaching a breakup point. ...more
1 | My 3-ETF Future-Growth Portfolio Targeting 3 Sectors Set to Explode Soon Leveraged, Regular, and EU Variants - substack.com | 10/25/2024 |
| In Threey Sharp Ratio | 0.61 |
Direxion |
Direxion Daily Relative Risk vs. Return Landscape
If you would invest 6,246 in Direxion Daily Energy on August 27, 2024 and sell it today you would earn a total of 917.00 from holding Direxion Daily Energy or generate 14.68% return on investment over 90 days. Direxion Daily Energy is generating 0.2428% of daily returns assuming volatility of 2.4065% on return distribution over 90 days investment horizon. In other words, 21% of etfs are less volatile than Direxion, and above 96% of all equities are expected to generate higher returns over the next 90 days. Expected Return |
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Direxion Daily Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Direxion Daily's investment risk. Standard deviation is the most common way to measure market volatility of etfs, such as Direxion Daily Energy, and traders can use it to determine the average amount a Direxion Daily'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 = 0.1009
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Estimated Market Risk
| 2.41 actual daily | 21 79% of assets are more volatile |
Expected Return
| 0.24 actual daily | 4 96% of assets have higher returns |
Risk-Adjusted Return
| 0.1 actual daily | 7 93% of assets perform better |
Based on monthly moving average Direxion Daily is performing at about 7% of its full potential. 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 Direxion Daily by adding it to a well-diversified portfolio.
Direxion Daily Fundamentals Growth
Direxion Etf prices reflect investors' perceptions of the future prospects and financial health of Direxion Daily, and Direxion Daily fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on Direxion Etf performance.
| Price To Earning | 30.96 X | |||
| Price To Book | 1.85 X | |||
| Price To Sales | 1.54 X | |||
| Total Asset | 404.1 M | |||
About Direxion Daily Performance
Evaluating Direxion Daily's performance through its fundamental ratios, provides valuable insights into its operational efficiency and profitability. For instance, if Direxion Daily 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 Direxion Daily has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements. Please also refer to our technical analysis and fundamental analysis pages.
The fund invests at least 80 percent of its net assets in financial instruments, such as swap agreements, securities of the index, and ETFs that track the index and other financial instruments that provide daily leveraged exposure to the index or to ETFs that track the index. Energy Bull is traded on NYSEARCA Exchange in the United States.| Direxion Daily Energy generated-21.0 ten year return of -21.0% | |
| This fund retains 85.48% of its assets under management (AUM) in equities |
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Direxion Daily Energy. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area. You can also try the Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
The market value of Direxion Daily Energy is measured differently than its book value, which is the value of Direxion that is recorded on the company's balance sheet. Investors also form their own opinion of Direxion Daily's value that differs from its market value or its book value, called intrinsic value, which is Direxion Daily'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 Direxion Daily's market value can be influenced by many factors that don't directly affect Direxion Daily'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 Direxion Daily's value and its price as these two are different measures arrived at by different means. Investors typically determine if Direxion Daily is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Direxion Daily'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.