Liberty All Star Fund Volatility
| ASG Fund | USD 5.18 0.12 2.37% |
Liberty All Star has Sharpe Ratio of -0.0117, which conveys that the entity had a -0.0117 % return per unit of risk over the last 3 months. Liberty All exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify Liberty All's Risk Adjusted Performance of (0.01), standard deviation of 0.9475, and Mean Deviation of 0.7247 to check out the risk estimate we provide.
Sharpe Ratio = -0.0117
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| Cash | Small Risk | Average Risk | High Risk | Huge Risk |
| Negative Returns | ASG |
Based on monthly moving average Liberty All 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 Liberty All by adding Liberty All to a well-diversified portfolio.
Key indicators related to Liberty All's volatility include:90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
Liberty All Fund volatility depicts how high the prices fluctuate around the mean (or its average) price. In other words, it is a statistical measure of the distribution of Liberty daily returns, and it is calculated using variance and standard deviation. We also use Liberty's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Liberty All volatility.
Liberty |
Downward market volatility can be a perfect environment for investors who play the long game with Liberty All. They may decide to buy additional shares of Liberty All at lower prices to lower the average cost per share, thereby improving their portfolio's performance when markets normalize.
Moving together with Liberty Fund
| 0.63 | TDF | Templeton Dragon Closed | PairCorr |
| 0.65 | JAKQX | Jpmorgan Smartretirement | PairCorr |
| 0.65 | STLAX | Blackrock Lifepath | PairCorr |
| 0.71 | VTTSX | Vanguard Target Reti | PairCorr |
| 0.66 | RHYAX | Rbc Bluebay Global | PairCorr |
| 0.64 | FWMMX | American Funds Washington | PairCorr |
| 0.69 | MMNWX | Mmnwx | PairCorr |
| 0.61 | LPEFX | Alpsred Rocks Listed | PairCorr |
| 0.69 | IOBAX | Icon Bond Fund | PairCorr |
Moving against Liberty Fund
Liberty All Market Sensitivity And Downside Risk
Liberty All's beta coefficient measures the volatility of Liberty fund compared to the systematic risk of the entire market represented by your selected benchmark. In mathematical terms, beta represents the slope of the line through a regression of data points where each of these points represents Liberty fund's returns against your selected market. In other words, Liberty All's beta of 0.0732 provides an investor with an approximation of how much risk Liberty All fund can potentially add to one of your existing portfolios. Liberty All Star exhibits very low volatility with skewness of 0.31 and kurtosis of 0.34. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Liberty All's fund risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Liberty All's fund price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.
3 Months Beta |Analyze Liberty All Star Demand TrendCheck current 90 days Liberty All correlation with market (Dow Jones Industrial)Liberty All Volatility and Downside Risk
Liberty standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. A typical volatile entity has a high standard deviation, while the deviation of a stable instrument is usually low. As a downside, the standard deviation calculates all uncertainty as risk, even when it is in your favor, such as above-average returns.
Liberty All Star Fund Volatility Analysis
Volatility refers to the frequency at which Liberty All fund price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Liberty All's price changes. Investors will then calculate the volatility of Liberty All's fund to predict their future moves. A fund that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A fund with relatively stable price changes has low volatility. A highly volatile fund is riskier, but the risk cuts both ways. Investing in highly volatile security can either be highly successful, or you may experience significant failure. There are two main types of Liberty All's volatility:
Historical Volatility
This type of fund volatility measures Liberty All's fluctuations based on previous trends. It's commonly used to predict Liberty All's future behavior based on its past. However, it cannot conclusively determine the future direction of the fund.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for Liberty All's current market price. This means that the fund will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on Liberty All's to be redeemed at a future date.Transformation |
The output start index for this execution was zero with a total number of output elements of sixty-one. Liberty All Star Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input.
Liberty All Projected Return Density Against Market
Considering the 90-day investment horizon Liberty All has a beta of 0.0732 . This suggests as returns on the market go up, Liberty All average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Liberty All Star will be expected to be much smaller as well.Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Liberty All or Financial Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Liberty All's price will be affected by overall fund market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Liberty fund's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
Predicted Return Density |
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What Drives a Liberty All Price Volatility?
Several factors can influence a fund's market volatility:Industry
Specific events can influence volatility within a particular industry. For instance, a significant weather upheaval in a crucial oil-production site may cause oil prices to increase in the oil sector. The direct result will be the rise in the stock price of oil distribution companies. Similarly, any government regulation in a specific industry could negatively influence stock prices due to increased regulations on compliance that may impact the company's future earnings and growth.Political and Economic environment
When governments make significant decisions regarding trade agreements, policies, and legislation regarding specific industries, they will influence stock prices. Everything from speeches to elections may influence investors, who can directly influence the stock prices in any particular industry. The prevailing economic situation also plays a significant role in stock prices. When the economy is doing well, investors will have a positive reaction and hence, better stock prices and vice versa.The Company's Performance
Sometimes volatility will only affect an individual company. For example, a revolutionary product launch or strong earnings report may attract investor attention to the company. This positive attention may impact the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.Liberty All Fund Risk Measures
Considering the 90-day investment horizon the coefficient of variation of Liberty All is -8546.86. The daily returns are distributed with a variance of 0.9 and standard deviation of 0.95. The mean deviation of Liberty All Star is currently at 0.72. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.81
α | Alpha over Dow Jones | -0.03 | |
β | Beta against Dow Jones | 0.07 | |
σ | Overall volatility | 0.95 | |
Ir | Information ratio | -0.11 |
Liberty All Fund Return Volatility
Liberty All historical daily return volatility represents how much of Liberty All fund's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The mutual fund has volatility of 0.9475% on return distribution over 90 days investment horizon. By contrast, Dow Jones Industrial accepts 0.8125% volatility on return distribution over the 90 days horizon. Performance |
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Related Correlations Analysis
Correlation Matchups
Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.High positive correlations
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Risk-Adjusted Indicators
There is a big difference between Liberty Fund performing well and Liberty All Fund doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze Liberty All's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.| Mean Deviation | Jensen Alpha | Sortino Ratio | Treynor Ratio | Semi Deviation | Expected Shortfall | Potential Upside | Value @Risk | Maximum Drawdown | ||
|---|---|---|---|---|---|---|---|---|---|---|
| EDD | 0.56 | 0.24 | 0.19 | 9.60 | 0.34 | 1.46 | 3.29 | |||
| TWN | 1.07 | 0.29 | 0.18 | (1.29) | 0.84 | 2.09 | 4.70 | |||
| FOF | 0.68 | 0.19 | 0.11 | 5.99 | 0.69 | 1.34 | 6.22 | |||
| ARDC | 0.34 | (0.03) | 0.00 | (2.43) | 0.00 | 0.84 | 2.22 | |||
| RCS | 1.39 | (0.31) | 0.00 | (0.39) | 0.00 | 2.25 | 10.30 | |||
| SPXX | 0.61 | 0.07 | (0.03) | (0.58) | 0.60 | 1.34 | 2.87 | |||
| RFI | 0.55 | 0.02 | (0.09) | (0.13) | 0.67 | 1.18 | 2.61 | |||
| AWP | 0.59 | 0.05 | (0.01) | 0.32 | 0.55 | 1.35 | 3.66 | |||
| WAMVX | 1.14 | 0.23 | 0.21 | 0.28 | 0.73 | 2.60 | 15.47 | |||
| DIISX | 0.58 | 0.13 | 0.08 | 1.25 | 0.48 | 1.30 | 3.02 |
About Liberty All Volatility
Volatility is a rate at which the price of Liberty All or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of Liberty All may increase or decrease. In other words, similar to Liberty's beta indicator, it measures the risk of Liberty All and helps estimate the fluctuations that may happen in a short period of time. So if prices of Liberty All fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.
Please read more on our technical analysis page.Liberty All-Star Growth Fund, Inc. is a closed-ended equity mutual fund launched and managed by ALPS Advisers, Inc. Liberty All-Star Growth Fund, Inc. was formed on March 14, 1986 and is domiciled in the United States. Liberty All-Star operates under Asset Management classification in the United States and is traded on New York Stock Exchange.
Liberty All's stock volatility refers to the amount of uncertainty or risk involved with the size of changes in its stock's price. It is a statistical measure of the dispersion of returns on Liberty Fund over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Liberty All's price varies over time.
3 ways to utilize Liberty All's volatility to invest better
Higher Liberty All's fund volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Liberty All Star fund is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. Liberty All Star fund volatility can provide helpful information for making investment decisions in the following ways:- Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of Liberty All Star investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Liberty All's fund can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
- Diversification: Understanding how the volatility of Liberty All's fund relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Liberty All Investment Opportunity
Liberty All Star has a volatility of 0.95 and is 1.17 times more volatile than Dow Jones Industrial. Compared to the overall equity markets, volatility of historical daily returns of Liberty All Star is lower than 8 percent of all global equities and portfolios over the last 90 days. You can use Liberty All Star to enhance the returns of your portfolios. The fund experiences an unexpected upward trend. Watch out for market signals. Check odds of Liberty All to be traded at $6.22 in 90 days.Poor diversification
The correlation between Liberty All Star and DJI is 0.64 (i.e., Poor diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Liberty All Star and DJI in the same portfolio, assuming nothing else is changed.
Liberty All Additional Risk Indicators
The analysis of Liberty All's secondary risk indicators is one of the essential steps in making a buy or sell decision. The process involves identifying the amount of risk involved in Liberty All's investment and either accepting that risk or mitigating it. Along with some common measures of Liberty All fund's risk such as standard deviation, beta, or value at risk, we also provide a set of secondary indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Risk Adjusted Performance | (0.01) | |||
| Market Risk Adjusted Performance | (0.28) | |||
| Mean Deviation | 0.7247 | |||
| Coefficient Of Variation | (8,547) | |||
| Standard Deviation | 0.9475 | |||
| Variance | 0.8977 | |||
| Information Ratio | (0.11) |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential funds, we recommend comparing similar funds with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
Liberty All Suggested Diversification Pairs
Pair trading is one of the very effective strategies used by professional day traders and hedge funds capitalizing on short-time and mid-term market inefficiencies. The approach is based on the fact that the ratio of prices of two correlating shares is long-term stable and oscillates around the average value. If the correlation ratio comes outside the common area, you can speculate with a high success rate that the ratio will return to the mean value and collect a profit.
The effect of pair diversification on risk is to reduce it, but we should note this doesn't apply to all risk types. When we trade pairs against Liberty All as a counterpart, there is always some inherent risk that will never be diversified away no matter what. This volatility limits the effect of tactical diversification using pair trading. Liberty All's systematic risk is the inherent uncertainty of the entire market, and therefore cannot be mitigated even by pair-trading it against the equity that is not highly correlated to it. On the other hand, Liberty All's unsystematic risk describes the types of risk that we can protect against, at least to some degree, by selecting a matching pair that is not perfectly correlated to Liberty All Star.
Other Information on Investing in Liberty Fund
Liberty All financial ratios help investors to determine whether Liberty 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 Liberty with respect to the benefits of owning Liberty All security.
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