Vaneck Energy Income Etf Volatility
| EINC Etf | USD 106.53 0.81 0.77% |
VanEck Energy appears to be very steady, given 3 months investment horizon. VanEck Energy Income owns Efficiency Ratio (i.e., Sharpe Ratio) of 0.23, which indicates the etf had a 0.23 % return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for VanEck Energy Income, which you can use to evaluate the volatility of the etf. Please review VanEck Energy's Coefficient Of Variation of 349.55, risk adjusted performance of 0.2307, and Semi Deviation of 0.6325 to confirm if our risk estimates are consistent with your expectations.
Sharpe Ratio = 0.2271
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Based on monthly moving average VanEck Energy is performing at about 18% of its full potential. 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 VanEck Energy by adding it to a well-diversified portfolio.
Key indicators related to VanEck Energy's volatility include:90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
VanEck Energy Etf 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 VanEck daily returns, and it is calculated using variance and standard deviation. We also use VanEck's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of VanEck Energy volatility.
Downward market volatility can be a perfect environment for investors who play the long game with VanEck Energy. They may decide to buy additional shares of VanEck Energy at lower prices to lower the average cost per share, thereby improving their portfolio's performance when markets normalize.
Moving together with VanEck Etf
| 0.95 | EMLP | First Trust North | PairCorr |
| 0.94 | MLPA | Global X MLP | PairCorr |
| 1.0 | MLPX | Global X MLP | PairCorr |
| 0.99 | TPYP | Tortoise Capital Series | PairCorr |
| 0.96 | AMZA | InfraCap MLP ETF | PairCorr |
| 0.94 | MLPB | UBS AG London | PairCorr |
| 0.96 | ATMP | Barclays ETN Select Low Volatility | PairCorr |
| 1.0 | ENFR | Alerian Energy Infra | PairCorr |
| 0.96 | AMUB | UBS AG London | PairCorr |
| 0.79 | MUU | Direxion Daily MU Downward Rally | PairCorr |
| 0.79 | MULL | GraniteShares 2x Long Downward Rally | PairCorr |
| 0.69 | JNUG | Direxion Daily Junior | PairCorr |
| 0.65 | GDXU | MicroSectors Gold Miners Trending | PairCorr |
| 0.84 | KORU | Direxion Daily South | PairCorr |
| 0.71 | NUGT | Direxion Daily Gold | PairCorr |
| 0.78 | SHNY | Microsectors Gold Trending | PairCorr |
| 0.75 | SIL | Global X Silver | PairCorr |
| 0.67 | SIVR | abrdn Physical Silver | PairCorr |
| 0.84 | THD | iShares MSCI Thailand | PairCorr |
| 0.8 | SYLD | Cambria Shareholder Yield Low Volatility | PairCorr |
| 0.77 | DBJP | Xtrackers MSCI Japan | PairCorr |
| 0.79 | BINC | BlackRock ETF Trust | PairCorr |
| 0.86 | RDIV | Invesco SP Ultra | PairCorr |
| 0.78 | GSIG | Goldman Sachs Access | PairCorr |
| 0.78 | BBEU | JPMorgan BetaBuilders | PairCorr |
| 0.9 | XES | SPDR SP Oil | PairCorr |
| 0.8 | VUSB | Vanguard Ultra Short | PairCorr |
VanEck Energy Market Sensitivity And Downside Risk
VanEck Energy's beta coefficient measures the volatility of VanEck etf 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 VanEck etf's returns against your selected market. In other words, VanEck Energy's beta of 0.0308 provides an investor with an approximation of how much risk VanEck Energy etf can potentially add to one of your existing portfolios. VanEck Energy Income has low volatility with Treynor Ratio of 8.2, Maximum Drawdown of 4.54 and kurtosis of 0.8. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure VanEck Energy's etf risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact VanEck Energy's etf 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 VanEck Energy Income Demand TrendCheck current 90 days VanEck Energy correlation with market (Dow Jones Industrial)VanEck Energy Volatility and Downside Risk
VanEck 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.
Using VanEck Put Option to Manage Risk
Put options written on VanEck Energy grant holders of the option the right to sell a specified amount of VanEck Energy at a specified price within a specified time frame. The put buyer has a limited loss and, while not fully unlimited gains, as the price of VanEck Etf cannot fall below zero, the put buyer does gain as the price drops. So, one way investors can hedge VanEck Energy's position is by buying a put option against it. The put option used this way is usually referred to as insurance. If an undesired outcome occurs and loss on holding VanEck Energy will be realized, the loss incurred will be offset by the profits made with the option trade.
VanEck Energy's PUT expiring on 2026-04-17
Profit |
| VanEck Energy Price At Expiration |
VanEck Energy Income Etf Volatility Analysis
Volatility refers to the frequency at which VanEck Energy etf price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with VanEck Energy's price changes. Investors will then calculate the volatility of VanEck Energy's etf to predict their future moves. A etf that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A etf with relatively stable price changes has low volatility. A highly volatile etf 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 VanEck Energy's volatility:
Historical Volatility
This type of etf volatility measures VanEck Energy's fluctuations based on previous trends. It's commonly used to predict VanEck Energy's future behavior based on its past. However, it cannot conclusively determine the future direction of the etf.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for VanEck Energy's current market price. This means that the etf will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on VanEck Energy'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. VanEck Energy Income 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.
VanEck Energy Projected Return Density Against Market
Given the investment horizon of 90 days VanEck Energy has a beta of 0.0308 suggesting as returns on the market go up, VanEck Energy average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding VanEck Energy Income 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 VanEck Energy or VanEck 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 VanEck Energy's price will be affected by overall etf 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 VanEck etf'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 VanEck Energy Price Volatility?
Several factors can influence a etf'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.VanEck Energy Etf Risk Measures
Given the investment horizon of 90 days the coefficient of variation of VanEck Energy is 440.41. The daily returns are distributed with a variance of 0.89 and standard deviation of 0.95. The mean deviation of VanEck Energy Income is currently at 0.74. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.8
α | Alpha over Dow Jones | 0.25 | |
β | Beta against Dow Jones | 0.03 | |
σ | Overall volatility | 0.94 | |
Ir | Information ratio | 0.18 |
VanEck Energy Etf Return Volatility
VanEck Energy historical daily return volatility represents how much of VanEck Energy etf's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The fund inherits 0.945% risk (volatility on return distribution) over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.8099% 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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VanEck Energy Constituents Risk-Adjusted Indicators
There is a big difference between VanEck Etf performing well and VanEck Energy ETF 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 VanEck Energy'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 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| DIG | 2.13 | 0.59 | 0.21 | 1.07 | 2.16 | 4.85 | 11.11 | |||
| INKM | 0.27 | 0.06 | (0.01) | 0.27 | 0.07 | 0.61 | 1.52 | |||
| IAUG | 0.28 | 0.05 | (0.03) | 0.23 | 0.15 | 0.61 | 1.40 | |||
| RSPC | 0.56 | (0.04) | 0.00 | (0.79) | 0.00 | 0.92 | 3.94 | |||
| FKU | 0.71 | 0.18 | 0.16 | 0.32 | 0.70 | 1.61 | 4.95 | |||
| XSHD | 0.76 | 0.08 | 0.07 | 0.21 | 0.61 | 1.86 | 4.45 | |||
| SPVM | 0.59 | 0.11 | 0.14 | 0.24 | 0.36 | 1.43 | 3.00 | |||
| PRNT | 0.95 | 0.03 | (0.05) | (0.28) | 1.28 | 2.32 | 4.54 | |||
| TMFS | 0.94 | (0.02) | 0.00 | 0.07 | 0.98 | 2.44 | 5.72 | |||
| FDIV | 0.57 | 0.09 | 0.09 | 0.23 | 0.37 | 1.50 | 3.37 |
About VanEck Energy Volatility
Volatility is a rate at which the price of VanEck Energy 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 VanEck Energy may increase or decrease. In other words, similar to VanEck's beta indicator, it measures the risk of VanEck Energy and helps estimate the fluctuations that may happen in a short period of time. So if prices of VanEck Energy 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.3 ways to utilize VanEck Energy's volatility to invest better
Higher VanEck Energy's etf volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of VanEck Energy Income etf 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. VanEck Energy Income etf 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 VanEck Energy Income investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in VanEck Energy's etf 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 VanEck Energy's etf relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
VanEck Energy Investment Opportunity
VanEck Energy Income has a volatility of 0.95 and is 1.17 times more volatile than Dow Jones Industrial. 8 percent of all equities and portfolios are less risky than VanEck Energy. You can use VanEck Energy Income to enhance the returns of your portfolios. The etf experiences a moderate upward volatility. Check odds of VanEck Energy to be traded at $117.18 in 90 days.Poor diversification
The correlation between VanEck Energy Income and DJI is 0.63 (i.e., Poor diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding VanEck Energy Income and DJI in the same portfolio, assuming nothing else is changed.
VanEck Energy Additional Risk Indicators
The analysis of VanEck Energy'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 VanEck Energy's investment and either accepting that risk or mitigating it. Along with some common measures of VanEck Energy etf'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 | 0.2307 | |||
| Market Risk Adjusted Performance | 8.21 | |||
| Mean Deviation | 0.7159 | |||
| Semi Deviation | 0.6325 | |||
| Downside Deviation | 0.9141 | |||
| Coefficient Of Variation | 349.55 | |||
| Standard Deviation | 0.9175 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential etfs, we recommend comparing similar etfs with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
VanEck Energy 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 VanEck Energy 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. VanEck Energy'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, VanEck Energy'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 VanEck Energy Income.
When determining whether VanEck Energy Income offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of VanEck Energy's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Vaneck Energy Income Etf. Outlined below are crucial reports that will aid in making a well-informed decision on Vaneck Energy Income Etf: Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in VanEck Energy Income. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area. You can also try the Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
Understanding VanEck Energy Income requires distinguishing between market price and book value, where the latter reflects VanEck's accounting equity. The concept of intrinsic value - what VanEck Energy's is actually worth based on fundamentals - guides informed investors toward better entry and exit points. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. Market sentiment, economic cycles, and investor behavior can push VanEck Energy's price substantially above or below its fundamental value.
It's important to distinguish between VanEck Energy's intrinsic value and market price, which are calculated using different methodologies. Investment decisions regarding VanEck Energy should consider multiple factors including financial performance, growth metrics, competitive position, and professional analysis. In contrast, VanEck Energy's trading price reflects the actual exchange value where willing buyers and sellers reach mutual agreement.