Direxion Daily Technology Etf Performance
| TECS Etf | USD 47.81 0.05 0.10% |
The etf shows a Beta (market volatility) of -3.37, which means a somewhat significant risk relative to the market. As returns on the market increase, returns on owning Direxion Daily are expected to decrease by larger amounts. On the other hand, during market turmoil, Direxion Daily is expected to outperform it.
Risk-Adjusted Performance
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Over the last 90 days Direxion Daily Technology has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest conflicting performance, the Etf's fundamental indicators remain stable and the newest uproar on Wall Street may also be a sign of mid-term gains for the exchange-traded fund private investors. ...more
1 | TECL A Leveraged Bet On Large-Cap Tech - Seeking Alpha | 10/16/2024 |
| In Threey Sharp Ratio | -0.62 |
Direxion |
Direxion Daily Relative Risk vs. Return Landscape
If you would invest 5,703 in Direxion Daily Technology on August 27, 2024 and sell it today you would lose (922.00) from holding Direxion Daily Technology or give up 16.17% of portfolio value over 90 days. Direxion Daily Technology is currently does not generate positive expected returns and assumes 4.1394% risk (volatility on return distribution) over the 90 days horizon. In different words, 36% of etfs are less volatile than Direxion, and 99% of all traded equity instruments are projected to make higher returns than the company over the 90 days investment horizon. 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 Technology, 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 = -0.0464
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| Negative Returns | TECS |
Estimated Market Risk
| 4.14 actual daily | 36 64% of assets are more volatile |
Expected Return
| -0.19 actual daily | 0 Most of other assets have higher returns |
Risk-Adjusted Return
| -0.05 actual daily | 0 Most of other assets perform better |
Based on monthly moving average Direxion Daily 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 Direxion Daily by adding Direxion Daily 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.
| Total Asset | 250.49 M | |||
About Direxion Daily Performance
Assessing Direxion Daily's fundamental ratios provides investors with valuable insights into Direxion Daily's financial health and overall profitability. This information is crucial for making informed investment decisions. A high ROA would indicate that the Direxion Daily is effectively leveraging its assets and equity to generate significant profits, making it an appealing investment. Conversely, low Return on Assets could signal underlying management issues in assets and equity, indicating a necessity for operational refinements. Please also refer to our technical analysis and fundamental analysis pages.
The fund, under normal circumstances, invests in swap agreements, futures contracts, short positions or other financial instruments that, in combination, provide inverse or short leveraged exposure to the index equal to at least 80 percent of the funds net assets . Technology Bear is traded on NYSEARCA Exchange in the United States.| Direxion Daily generated a negative expected return over the last 90 days | |
| Direxion Daily has high historical volatility and very poor performance | |
| This fund created-57.0 ten year return of -57.0% | |
| Direxion Daily maintains most of the assets in different exotic instruments. |
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Direxion Daily Technology. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as signals in main economic indicators. You can also try the Bonds Directory module to find actively traded corporate debentures issued by US companies.
The market value of Direxion Daily Technology 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.