Ftfa Franklin Templeton Growth Fund Volatility
| FGTZX Fund | USD 21.21 0.12 0.57% |
At this stage we consider Ftfa Mutual Fund to be very steady. Ftfa Franklin Templeton secures Sharpe Ratio (or Efficiency) of 0.16, which denotes the fund had a 0.16% return per unit of risk over the last 3 months. We have found twenty-seven technical indicators for Ftfa Franklin Templeton Growth, which you can use to evaluate the volatility of the entity. Please confirm Ftfa Franklin's Downside Deviation of 0.6543, mean deviation of 0.445, and Coefficient Of Variation of 862.05 to check if the risk estimate we provide is consistent with the expected return of 0.0855%. Key indicators related to Ftfa Franklin's volatility include:
720 Days Market Risk | Chance Of Distress | 720 Days Economic Sensitivity |
Ftfa Franklin Mutual 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 Ftfa daily returns, and it is calculated using variance and standard deviation. We also use Ftfa's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Ftfa Franklin volatility.
Ftfa |
Downward market volatility can be a perfect environment for investors who play the long game with Ftfa Franklin. They may decide to buy additional shares of Ftfa Franklin at lower prices to lower the average cost per share, thereby improving their portfolio's performance when markets normalize.
Moving together with Ftfa Mutual Fund
Moving against Ftfa Mutual Fund
Ftfa Franklin Market Sensitivity And Downside Risk
Ftfa Franklin's beta coefficient measures the volatility of Ftfa mutual 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 Ftfa mutual fund's returns against your selected market. In other words, Ftfa Franklin's beta of 0.61 provides an investor with an approximation of how much risk Ftfa Franklin mutual fund can potentially add to one of your existing portfolios. Ftfa Franklin Templeton Growth exhibits relatively low volatility with skewness of -0.5 and kurtosis of 1.01. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Ftfa Franklin's mutual fund risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Ftfa Franklin's mutual 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 Ftfa Franklin Templeton Demand TrendCheck current 90 days Ftfa Franklin correlation with market (Dow Jones Industrial)Ftfa Beta |
Ftfa 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.
Standard Deviation | 0.54 |
It is essential to understand the difference between upside risk (as represented by Ftfa Franklin's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Ftfa Franklin's daily returns or price. Since the actual investment returns on holding a position in ftfa mutual fund tend to have a non-normal distribution, there will be different probabilities for losses than for gains. The likelihood of losses is reflected in the downside risk of an investment in Ftfa Franklin.
Ftfa Franklin Templeton Mutual Fund Volatility Analysis
Volatility refers to the frequency at which Ftfa Franklin fund price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Ftfa Franklin's price changes. Investors will then calculate the volatility of Ftfa Franklin's mutual fund to predict their future moves. A fund that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A mutual 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 Ftfa Franklin's volatility:
Historical Volatility
This type of fund volatility measures Ftfa Franklin's fluctuations based on previous trends. It's commonly used to predict Ftfa Franklin's future behavior based on its past. However, it cannot conclusively determine the future direction of the mutual fund.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for Ftfa Franklin'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 Ftfa Franklin'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. Ftfa Franklin Templeton 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.
Ftfa Franklin Projected Return Density Against Market
Assuming the 90 days horizon Ftfa Franklin has a beta of 0.6121 . This usually indicates as returns on the market go up, Ftfa Franklin average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Ftfa Franklin Templeton Growth 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 Ftfa Franklin or Franklin Templeton Investments 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 Ftfa Franklin's price will be affected by overall mutual 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 Ftfa 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.
Ftfa Franklin Templeton Growth has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the Dow Jones Industrial. Predicted Return Density |
| Returns |
What Drives a Ftfa Franklin 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 many investors to purchase the company. This positive attention will raise the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.Ftfa Franklin Mutual Fund Risk Measures
Assuming the 90 days horizon the coefficient of variation of Ftfa Franklin is 637.42. The daily returns are distributed with a variance of 0.3 and standard deviation of 0.54. The mean deviation of Ftfa Franklin Templeton Growth is currently at 0.42. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.76
α | Alpha over Dow Jones | -0.02 | |
β | Beta against Dow Jones | 0.61 | |
σ | Overall volatility | 0.54 | |
Ir | Information ratio | -0.12 |
Ftfa Franklin Mutual Fund Return Volatility
Ftfa Franklin historical daily return volatility represents how much of Ftfa Franklin fund's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The fund shows 0.5449% volatility of returns over 90 . By contrast, Dow Jones Industrial accepts 0.7444% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About Ftfa Franklin Volatility
Volatility is a rate at which the price of Ftfa Franklin 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 Ftfa Franklin may increase or decrease. In other words, similar to Ftfa's beta indicator, it measures the risk of Ftfa Franklin and helps estimate the fluctuations that may happen in a short period of time. So if prices of Ftfa Franklin 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.The fund is a fund of funds meaning that it seeks to achieve its investment goal by investing its assets primarily in other funds, predominantly other Franklin Templeton and Legg Mason mutual funds and ETFs. The investment manager uses the following as a general guide in allocating the funds assets among the broad asset classes 80 percent equity funds and 20 percent fixed-income funds. These percentages may be changed from time to time by the funds investment manager without the approval of shareholders, and may vary up to 10 percent from these percentages of fund assets.
Ftfa Franklin'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 Ftfa Mutual Fund over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Ftfa Franklin's price varies over time.
3 ways to utilize Ftfa Franklin's volatility to invest better
Higher Ftfa Franklin's fund volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Ftfa Franklin Templeton 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. Ftfa Franklin Templeton 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 Ftfa Franklin Templeton investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Ftfa Franklin'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 Ftfa Franklin's fund relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Ftfa Franklin Investment Opportunity
Dow Jones Industrial has a standard deviation of returns of 0.74 and is 1.37 times more volatile than Ftfa Franklin Templeton Growth. 4 percent of all equities and portfolios are less risky than Ftfa Franklin. You can use Ftfa Franklin Templeton Growth to enhance the returns of your portfolios. The mutual fund experiences a moderate upward volatility. Check odds of Ftfa Franklin to be traded at $23.33 in 90 days.Very poor diversification
The correlation between Ftfa Franklin Templeton Growth and DJI is 0.8 (i.e., Very poor diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Ftfa Franklin Templeton Growth and DJI in the same portfolio, assuming nothing else is changed.
Ftfa Franklin Additional Risk Indicators
The analysis of Ftfa Franklin'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 Ftfa Franklin's investment and either accepting that risk or mitigating it. Along with some common measures of Ftfa Franklin mutual 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 | 0.0857 | |||
| Market Risk Adjusted Performance | 0.105 | |||
| Mean Deviation | 0.445 | |||
| Semi Deviation | 0.5141 | |||
| Downside Deviation | 0.6543 | |||
| Coefficient Of Variation | 862.05 | |||
| Standard Deviation | 0.5876 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential mutual funds, we recommend comparing similar funds with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
Ftfa Franklin 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 Ftfa Franklin 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. Ftfa Franklin'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, Ftfa Franklin'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 Ftfa Franklin Templeton Growth.
Other Information on Investing in Ftfa Mutual Fund
Ftfa Franklin financial ratios help investors to determine whether Ftfa 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 Ftfa with respect to the benefits of owning Ftfa Franklin security.
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital |