Small Cap Growth Fund Alpha and Beta Analysis
| JSJAX Fund | USD 18.82 0.20 1.07% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Small Cap Growth. It also helps investors analyze the systematic and unsystematic risks associated with investing in Small Cap over a specified time horizon. Remember, high Small Cap's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to Small Cap's market risk premium analysis include:
Beta 1.47 | Alpha (0.02) | Risk 1.31 | Sharpe Ratio 0.11 | Expected Return 0.15 |
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
Small |
Small Cap Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Small Cap market risk premium is the additional return an investor will receive from holding Small Cap long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Small Cap. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Small Cap's performance over market.| α | -0.02 | β | 1.47 |
Small Cap expected buy-and-hold returns
Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Small Cap's Buy-and-hold return. Our buy-and-hold chart shows how Small Cap performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Small Cap Market Price Analysis
Market price analysis indicators help investors to evaluate how Small Cap mutual fund reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Small Cap shares will generate the highest return on investment. By understating and applying Small Cap mutual fund market price indicators, traders can identify Small Cap position entry and exit signals to maximize returns.
Small Cap Return and Market Media
The median price of Small Cap for the period between Tue, Aug 27, 2024 and Mon, Nov 25, 2024 is 17.48 with a coefficient of variation of 3.5. The daily time series for the period is distributed with a sample standard deviation of 0.61, arithmetic mean of 17.51, and mean deviation of 0.45. The Fund did not receive any noticable media coverage during the period. Price Growth (%) |
| Timeline |
About Small Cap Beta and Alpha
For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including Small or other funds. Alpha measures the amount that position in Small Cap Growth has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Small Cap in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Small Cap's short interest history, or implied volatility extrapolated from Small Cap options trading.
Build Portfolio with Small Cap
Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.Build Diversified Portfolios
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Other Information on Investing in Small Mutual Fund
Small Cap financial ratios help investors to determine whether Small 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 Small with respect to the benefits of owning Small Cap security.
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance |