Voya Bond Index Fund Volatility
| ILABX Fund | USD 8.99 0.01 0.11% |
Voya Bond Index owns Efficiency Ratio (i.e., Sharpe Ratio) of -0.11, which indicates the fund had a -0.11% return per unit of risk over the last 3 months. Voya Bond Index exposes twenty-two different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please validate Voya Bond's Coefficient Of Variation of (1,151), risk adjusted performance of (0.08), and Variance of 0.0915 to confirm the risk estimate we provide. Key indicators related to Voya Bond's volatility include:
90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
Voya Bond 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 Voya daily returns, and it is calculated using variance and standard deviation. We also use Voya's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Voya Bond volatility.
Voya |
Downward market volatility can be a perfect environment for investors who play the long game with Voya Bond. They may decide to buy additional shares of Voya Bond at lower prices to lower the average cost per share, thereby improving their portfolio's performance when markets normalize.
Moving together with Voya Mutual Fund
Moving against Voya Mutual Fund
| 0.78 | IMOPX | Voya Midcap Opportunities | PairCorr |
| 0.78 | IMORX | Voya Midcap Opportunities | PairCorr |
| 0.78 | IMOWX | Voya Midcap Opportunities | PairCorr |
| 0.78 | IMOZX | Voya Midcap Opportunities | PairCorr |
| 0.75 | INGIX | Voya Stock Index | PairCorr |
| 0.65 | VPRSX | Voya Jpmorgan Small | PairCorr |
| 0.6 | VPRAX | Voya T Rowe | PairCorr |
| 0.54 | IMCVX | Voya Multi Manager | PairCorr |
| 0.53 | VPISX | Voya Index Solution | PairCorr |
Voya Bond Market Sensitivity And Downside Risk
Voya Bond's beta coefficient measures the volatility of Voya 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 Voya mutual fund's returns against your selected market. In other words, Voya Bond's beta of -0.0785 provides an investor with an approximation of how much risk Voya Bond mutual fund can potentially add to one of your existing portfolios. Voya Bond Index exhibits very low volatility with skewness of -0.26 and kurtosis of 0.99. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Voya Bond'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 Voya Bond'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 Voya Bond Index Demand TrendCheck current 90 days Voya Bond correlation with market (Dow Jones Industrial)Voya Beta |
Voya 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 | 0.3 |
It is essential to understand the difference between upside risk (as represented by Voya Bond's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Voya Bond's daily returns or price. Since the actual investment returns on holding a position in voya 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 Voya Bond.
Voya Bond Index Mutual Fund Volatility Analysis
Volatility refers to the frequency at which Voya Bond fund price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Voya Bond's price changes. Investors will then calculate the volatility of Voya Bond'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 Voya Bond's volatility:
Historical Volatility
This type of fund volatility measures Voya Bond's fluctuations based on previous trends. It's commonly used to predict Voya Bond'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 Voya Bond'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 Voya Bond'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. Voya Bond Index 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.
Voya Bond Projected Return Density Against Market
Assuming the 90 days horizon Voya Bond Index has a beta of -0.0785 . This usually indicates as returns on the benchmark increase, returns on holding Voya Bond are expected to decrease at a much lower rate. During a bear market, however, Voya Bond Index is likely to outperform the market.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 Voya Bond or Voya 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 Voya Bond'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 Voya 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.
Voya Bond Index 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 Voya Bond 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.Voya Bond Mutual Fund Risk Measures
Assuming the 90 days horizon the coefficient of variation of Voya Bond is -942.37. The daily returns are distributed with a variance of 0.09 and standard deviation of 0.3. The mean deviation of Voya Bond Index is currently at 0.22. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.77
α | Alpha over Dow Jones | -0.03 | |
β | Beta against Dow Jones | -0.08 | |
σ | Overall volatility | 0.30 | |
Ir | Information ratio | -0.52 |
Voya Bond Mutual Fund Return Volatility
Voya Bond historical daily return volatility represents how much of Voya Bond fund's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The fund shows 0.299% volatility of returns over 90 . By contrast, Dow Jones Industrial accepts 0.7626% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About Voya Bond Volatility
Volatility is a rate at which the price of Voya Bond 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 Voya Bond may increase or decrease. In other words, similar to Voya's beta indicator, it measures the risk of Voya Bond and helps estimate the fluctuations that may happen in a short period of time. So if prices of Voya Bond 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 invests at least 80 percent of its net assets in investment-grade debt instruments rated at least A by Moodys Investors Service, Inc., at least A by SP Global Ratings, or are of comparable quality if unrated, which are at the time of purchase, included in the index derivatives whose economic returns are, by design, closely equivalent to the returns of the index or its components and exchange-traded funds that track the index.
Voya Bond'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 Voya Mutual Fund over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Voya Bond's price varies over time.
3 ways to utilize Voya Bond's volatility to invest better
Higher Voya Bond's fund volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Voya Bond Index 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. Voya Bond Index 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 Voya Bond Index investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Voya Bond'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 Voya Bond's fund relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Voya Bond Investment Opportunity
Dow Jones Industrial has a standard deviation of returns of 0.76 and is 2.53 times more volatile than Voya Bond Index. 2 percent of all equities and portfolios are less risky than Voya Bond. You can use Voya Bond Index to enhance the returns of your portfolios. The mutual fund experiences a normal upward fluctuation. Check odds of Voya Bond to be traded at $9.44 in 90 days.Good diversification
The correlation between Voya Bond Index and DJI is -0.2 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Voya Bond Index and DJI in the same portfolio, assuming nothing else is changed.
Voya Bond Additional Risk Indicators
The analysis of Voya Bond'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 Voya Bond's investment and either accepting that risk or mitigating it. Along with some common measures of Voya Bond 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 | (0.08) | |||
| Market Risk Adjusted Performance | 0.4721 | |||
| Mean Deviation | 0.2226 | |||
| Coefficient Of Variation | (1,151) | |||
| Standard Deviation | 0.3024 | |||
| Variance | 0.0915 | |||
| Information Ratio | (0.52) |
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.
Voya Bond 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 Voya Bond 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. Voya Bond'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, Voya Bond'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 Voya Bond Index.
Other Information on Investing in Voya Mutual Fund
Voya Bond financial ratios help investors to determine whether Voya 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 Voya with respect to the benefits of owning Voya Bond security.
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