Federated Bond Ten Year Return vs. Cash Position Weight
| FDBCX Fund | USD 8.42 0.03 0.36% |
For Federated Bond profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Federated Bond to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Federated Bond Fund utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Federated Bond's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Federated Bond Fund over time as well as its relative position and ranking within its peers.
Federated |
Federated Bond Cash Position Weight vs. Ten Year Return Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Federated Bond's current stock value. Our valuation model uses many indicators to compare Federated Bond value to that of its competitors to determine the firm's financial worth. Federated Bond Fund is one of the top funds in ten year return among similar funds. It also is one of the top funds in cash position weight among similar funds creating about 0.57 of Cash Position Weight per Ten Year Return. The ratio of Ten Year Return to Cash Position Weight for Federated Bond Fund is roughly 1.76 . The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Federated Bond's earnings, one of the primary drivers of an investment's value.Federated Cash Position Weight vs. Ten Year Return
Ten Year Return shows the total annualized return generated from holding a fund for the last 10 years and represents fund's capital appreciation, including dividends losses and capital gains distributions. This return indicator is considered by many investors to be the ultimate measures of fund performance and can reflect the overall performance of the market or market segment it invests in.
Federated Bond |
| = | 4.53 % |
Although Ten Year Fund Return indicator can give a sense of overall fund long-term potential, it is recommended to compare funds performances against other similar funds or market benchmarks for the same 10-year interval.
Percentage of fund asset invested in cash equivalents or risk-free instruments. About 40% of all global funds carry cash on their balance sheet.
Federated Bond |
| = | 2.58 % |
Funds or ETFs that have over 40% of their value invested in low-risk instruments or cash equivalents typically attract conservative investors.
Federated Cash Position Weight Comparison
Federated Bond is currently under evaluation in cash position weight among similar funds.
Federated Bond Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Federated Bond, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Federated Bond will eventually generate negative long term returns. The profitability progress is the general direction of Federated Bond's change in net profit over the period of time. It can combine multiple indicators of Federated Bond, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
The fund invests primarily in a diversified portfolio of investment-grade corporate debt securities. It may invest up to 35 percent of its assets in fixed-income securities rated below investment grade. The Adviser may lengthen or shorten duration from time to time based on its interest rate outlook, but the fund has no set duration parameters. It may invest in derivative contracts or hybrid contracts. The fund may also invest in government securities that are supported by the full faith and credit of the U.S. government.
Federated Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Federated Bond. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Federated Bond position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Federated Bond's important profitability drivers and their relationship over time.
Use Federated Bond in pair-trading
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 Federated Bond 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 Federated Bond will appreciate offsetting losses from the drop in the long position's value.Federated Bond Pair Trading
Federated Bond Fund Pair Trading Analysis
The ability to find closely correlated positions to Federated Bond could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Federated Bond 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 Federated Bond - 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 Federated Bond Fund to buy it.
The correlation of Federated Bond 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 Federated Bond moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Federated Bond 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 Federated Bond 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.Use Investing Themes to Complement your Federated Bond position
In addition to having Federated Bond in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Defense Thematic Idea Now
Defense
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Defense theme has 16 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Defense Theme or any other thematic opportunities.
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Other Information on Investing in Federated Mutual Fund
To fully project Federated Bond's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Federated Bond at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Federated Bond's income statement, its balance sheet, and the statement of cash flows.
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