Freedom 100 Beta vs. Five Year Return
| FRDM Etf | USD 34.48 0.30 0.88% |
For Freedom 100 profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Freedom 100 to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Freedom 100 Emerging utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Freedom 100's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Freedom 100 Emerging over time as well as its relative position and ranking within its peers.
Freedom |
The market value of Freedom 100 Emerging is measured differently than its book value, which is the value of Freedom that is recorded on the company's balance sheet. Investors also form their own opinion of Freedom 100's value that differs from its market value or its book value, called intrinsic value, which is Freedom 100'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 Freedom 100's market value can be influenced by many factors that don't directly affect Freedom 100'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 Freedom 100's value and its price as these two are different measures arrived at by different means. Investors typically determine if Freedom 100 is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Freedom 100'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.
Freedom 100 Emerging Five Year Return vs. Beta Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Freedom 100's current stock value. Our valuation model uses many indicators to compare Freedom 100 value to that of its competitors to determine the firm's financial worth. Freedom 100 Emerging is one of the top ETFs in beta as compared to similar ETFs. It also is one of the top ETFs in five year return as compared to similar ETFs reporting about 6.92 of Five Year Return per Beta. Comparative valuation analysis is a catch-all technique that is used if you cannot value Freedom 100 by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.Freedom Five Year Return vs. Beta
Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
Freedom 100 |
| = | 1.17 |
In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
Five Year Return is considered one of the best measures to evaluate fund performance, especially from the mid and long term perspective. It shows the total annualized return generated from holding equity for the last five years and represents capital appreciation of the investment, including all dividends, losses, and capital gains distributions.
Freedom 100 |
| = | 8.10 % |
Although Five Year Returns can give a sense of overall investment potential, it is recommended to compare equity performance with similar assets for the same five year time interval. Similarly, comparing overall investment performance over the last five years with the appropriate market index is a great way to determine how this equity instrument will perform during unforeseen market fluctuations.
Freedom Five Year Return Comparison
Freedom 100 is currently under evaluation in five year return as compared to similar ETFs.
Beta Analysis
As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Freedom 100 will likely underperform.
Freedom 100 Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Freedom 100, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Freedom 100 will eventually generate negative long term returns. The profitability progress is the general direction of Freedom 100's change in net profit over the period of time. It can combine multiple indicators of Freedom 100, 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.
Under normal circumstances, at least 80 percent of the funds total assets will be invested in the component securities of the index or in depositary receipts representing such component securities. Freedom 100 is traded on BATS Exchange in the United States.
Freedom Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Freedom 100. 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 Freedom 100 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 Freedom 100's important profitability drivers and their relationship over time.
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| Beta vs Equity Positions Weight |
Use Freedom 100 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 Freedom 100 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 Freedom 100 will appreciate offsetting losses from the drop in the long position's value.Freedom 100 Pair Trading
Freedom 100 Emerging Pair Trading Analysis
The ability to find closely correlated positions to Freedom 100 could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Freedom 100 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 Freedom 100 - 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 Freedom 100 Emerging to buy it.
The correlation of Freedom 100 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 Freedom 100 moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Freedom 100 Emerging 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 Freedom 100 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 Freedom 100 position
In addition to having Freedom 100 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 Apparel Thematic Idea Now
Apparel
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Apparel theme has 50 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 Apparel Theme or any other thematic opportunities.
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Check out Investing Opportunities. You can also try the Volatility Analysis module to get historical volatility and risk analysis based on latest market data.
To fully project Freedom 100's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Freedom 100 Emerging 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 Freedom 100's income statement, its balance sheet, and the statement of cash flows.