TCW Strategic Price To Book vs. Beta
| TSI Etf | USD 4.99 0.02 0.40% |
For TCW Strategic profitability analysis, we use financial ratios and fundamental drivers that measure the ability of TCW Strategic to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well TCW Strategic Income utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between TCW Strategic's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of TCW Strategic Income over time as well as its relative position and ranking within its peers.
TCW |
The market value of TCW Strategic Income is measured differently than its book value, which is the value of TCW that is recorded on the company's balance sheet. Investors also form their own opinion of TCW Strategic's value that differs from its market value or its book value, called intrinsic value, which is TCW Strategic'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 TCW Strategic's market value can be influenced by many factors that don't directly affect TCW Strategic'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 TCW Strategic's value and its price as these two are different measures arrived at by different means. Investors typically determine if TCW Strategic is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, TCW Strategic'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.
TCW Strategic Income Beta vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining TCW Strategic's current stock value. Our valuation model uses many indicators to compare TCW Strategic value to that of its competitors to determine the firm's financial worth. TCW Strategic Income is presently regarded as number one ETF in price to book as compared to similar ETFs. It is rated below average in beta as compared to similar ETFs totaling about 0.43 of Beta per Price To Book. The ratio of Price To Book to Beta for TCW Strategic Income is roughly 2.31 . 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 TCW Strategic's earnings, one of the primary drivers of an investment's value.TCW Beta vs. Price To Book
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
TCW Strategic |
| = | 0.81 X |
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
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.
TCW Strategic |
| = | 0.35 |
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.
TCW Beta Comparison
TCW Strategic is currently under evaluation in beta as compared to similar ETFs.
Beta Analysis
As returns on the market increase, TCW Strategic's returns are expected to increase less than the market. However, during the bear market, the loss of holding TCW Strategic is expected to be smaller as well.
TCW Strategic Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in TCW Strategic, profitability is also one of the essential criteria for including it into their portfolios because, without profit, TCW Strategic will eventually generate negative long term returns. The profitability progress is the general direction of TCW Strategic's change in net profit over the period of time. It can combine multiple indicators of TCW Strategic, 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.
TCW Strategic Income Fund, Inc. is a close-ended balanced mutual fund launched by The TCW Group, Inc. The fund is managed by TCW Investment Management Company. It invests in the public equity and fixed income markets of the United States. The fund makes its investments in securities of companies operating across diversified sectors. For its equity investments, it seeks to invest in growth and value stocks of companies. The funds fixed income investments are comprised of mortgage related securities, asset-backed securities, money market securities, convertible securities, high yield bonds, collateralized debt obligations , and securities issued or guaranteed by the United States Government, its agencies and instrumentalities. It benchmarks the performance of its portfolio against the SP 500 Index, NASDAQ, and a customized benchmark comprised of Barclays U.S. Aggregate Bond Index, Citigroup High Yield Cash Pay Index, SP 500 Index, and BofA Merrill Lynch All Convertibles All Qualities. The fund was previously known as TCW Convertible Securities Fund, Inc. TCW Strategic Income Fund, Inc. was formed on January 13, 1987 and is domiciled in the United States.
TCW Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on TCW Strategic. 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 TCW Strategic 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 TCW Strategic's important profitability drivers and their relationship over time.
Use TCW Strategic 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 TCW Strategic 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 TCW Strategic will appreciate offsetting losses from the drop in the long position's value.TCW Strategic Pair Trading
TCW Strategic Income Pair Trading Analysis
The ability to find closely correlated positions to TCW Strategic could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace TCW Strategic 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 TCW Strategic - 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 TCW Strategic Income to buy it.
The correlation of TCW Strategic 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 TCW Strategic moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if TCW Strategic Income 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 TCW Strategic 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 TCW Strategic position
In addition to having TCW Strategic 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 Consumer Goods Thematic Idea Now
Consumer Goods
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Consumer Goods theme has 61 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 Consumer Goods Theme or any other thematic opportunities.
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Other Information on Investing in TCW Etf
To fully project TCW Strategic's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of TCW Strategic Income 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 TCW Strategic's income statement, its balance sheet, and the statement of cash flows.