Franklin K2 Alternative Fund Manager Performance Evaluation
| FAAAX Fund | USD 12.07 0.04 0.33% |
The fund shows a Beta (market volatility) of 0.15, which means not very significant fluctuations relative to the market. As returns on the market increase, Franklin's returns are expected to increase less than the market. However, during the bear market, the loss of holding Franklin is expected to be smaller as well.
Risk-Adjusted Performance
23 of 100
Weak | Strong |
Solid
Compared to the overall equity markets, risk-adjusted returns on investments in Franklin K2 Alternative are ranked lower than 23 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly strong basic indicators, Franklin is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.
...more| Expense Ratio Date | 1st of October 2022 | |
| Expense Ratio | 2.4400 |
Franklin |
Franklin Relative Risk vs. Return Landscape
If you would invest 1,166 in Franklin K2 Alternative on September 1, 2024 and sell it today you would earn a total of 41.00 from holding Franklin K2 Alternative or generate 3.52% return on investment over 90 days. Franklin K2 Alternative is currently producing 0.0542% returns and takes up 0.1855% volatility of returns over 90 trading days. Put another way, 1% of traded mutual funds are less volatile than Franklin, and 99% of all traded equity instruments are likely to generate higher returns over the next 90 trading days. Expected Return |
| Risk |
Franklin Current Valuation
Overvalued
Today
Please note that Franklin's price fluctuation is very steady at this time. At this time, the entity appears to be overvalued. Franklin K2 Alternative shows a prevailing Real Value of $11.06 per share. The current price of the fund is $12.07. We determine the value of Franklin K2 Alternative from reviewing fund fundamentals and technical indicators as well as its Probability Of Bankruptcy. In general, we advise acquiring undervalued mutual funds and dropping overvalued mutual funds since, at some point, mutual fund prices and their ongoing real values will submerge.
Since Franklin is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Franklin Mutual Fund. However, Franklin's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 12.07 | Real 11.06 | Hype 12.07 | Naive 12.05 |
The intrinsic value of Franklin's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Franklin's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Franklin K2 Alternative helps investors to forecast how Franklin mutual fund's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Franklin more accurately as focusing exclusively on Franklin's fundamentals will not take into account other important factors: Franklin Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Franklin's investment risk. Standard deviation is the most common way to measure market volatility of mutual funds, such as Franklin K2 Alternative, and traders can use it to determine the average amount a Franklin'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 = 0.2921
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| Cash | FAAAX | Average Risk | High Risk | Huge Risk |
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Estimated Market Risk
| 0.19 actual daily | 1 99% of assets are more volatile |
Expected Return
| 0.05 actual daily | 0 Most of other assets have higher returns |
Risk-Adjusted Return
| 0.29 actual daily | 23 77% of assets perform better |
Based on monthly moving average Franklin is performing at about 23% 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 Franklin by adding it to a well-diversified portfolio.
Franklin Fundamentals Growth
Franklin Mutual Fund prices reflect investors' perceptions of the future prospects and financial health of Franklin, and Franklin 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 Franklin Mutual Fund performance.
| Price To Earning | 22.28 X | ||||
| Price To Book | 2.73 X | ||||
| Price To Sales | 1.33 X | ||||
| Total Asset | 76.63 M | ||||
About Franklin Performance
Evaluating Franklin's performance through its fundamental ratios, provides valuable insights into its operational efficiency and profitability. For instance, if Franklin 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 Franklin 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 seeks to achieve its investment goal by allocating its assets across multiple non-traditional or alternative strategies, including, but not limited to, some or all of the following strategies Long Short Equity, Relative Value, Event Driven and Global Macro. It may invest in a wide range of securities and other investments including, but not limited to equity securities and debt securities.Things to note about Franklin K2 Alternative performance evaluation
Checking the ongoing alerts about Franklin for important developments is a great way to find new opportunities for your next move. Mutual Fund alerts and notifications screener for Franklin K2 Alternative help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.| The fund retains about 38.58% of its assets under management (AUM) in cash |
- Analyzing Franklin's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
- Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Franklin's stock is overvalued or undervalued compared to its peers.
- Examining Franklin's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
- Evaluating Franklin's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Franklin's management team can help you assess the Mutual Fund's leadership.
- Pay attention to analyst opinions and ratings of Franklin's mutual fund. These opinions can provide insight into Franklin's potential for growth and whether the stock is currently undervalued or overvalued.
Other Information on Investing in Franklin Mutual Fund
Franklin financial ratios help investors to determine whether Franklin 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 Franklin with respect to the benefits of owning Franklin security.
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