3power Energy Group Stock Volatility
| PSPW Stock | USD 0.0002 0.00 0.00% |
3Power Energy Group secures Sharpe Ratio (or Efficiency) of -0.13, which signifies that the company had a -0.13 % return per unit of standard deviation over the last 3 months. 3Power Energy Group exposes sixteen different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please confirm 3Power Energy's mean deviation of 1.79, and Risk Adjusted Performance of (0.09) to double-check the risk estimate we provide.
Sharpe Ratio = -0.126
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Based on monthly moving average 3Power Energy 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 3Power Energy by adding 3Power Energy to a well-diversified portfolio.
Key indicators related to 3Power Energy's volatility include:90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
3Power Energy Pink Sheet 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 3Power daily returns, and it is calculated using variance and standard deviation. We also use 3Power's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of 3Power Energy volatility.
3Power |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as 3Power Energy can benefit from it. Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of 3Power Energy at lower prices. For example, an investor can purchase 3Power stock that has halved in price over a short period. This will lower your average cost per share, thereby improving your portfolio's performance when the markets normalize. Similarly, when the prices of 3Power Energy's stock rises, investors can sell out and invest the proceeds in other equities with better opportunities. Investing when markets are volatile with better valuations will accord both investors and companies the opportunity to generate better long-term returns. Main indicators related to 3Power Energy's market risk premium analysis include:
Beta 0.25 | Alpha (0.94) | Risk 7.56 | Sharpe Ratio (0.13) | Expected Return (0.95) |
Moving together with 3Power Pink Sheet
| 0.82 | POM | POMDOCTOR LIMITED | PairCorr |
| 0.88 | CMWCF | Cromwell Property | PairCorr |
| 0.61 | PBCRF | PT Bank Central | PairCorr |
Moving against 3Power Pink Sheet
| 0.75 | CNL | Collective Mining | PairCorr |
| 0.42 | JPM | JPMorgan Chase | PairCorr |
| 0.4 | PBMRF | PT Bumi Resources | PairCorr |
| 0.36 | CSCO | Cisco Systems | PairCorr |
| 0.33 | HD | Home Depot Sell-off Trend | PairCorr |
3Power Energy Market Sensitivity And Downside Risk
3Power Energy's beta coefficient measures the volatility of 3Power pink sheet 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 3Power pink sheet's returns against your selected market. In other words, 3Power Energy's beta of 0.25 provides an investor with an approximation of how much risk 3Power Energy pink sheet can potentially add to one of your existing portfolios. 3Power Energy Group is displaying above-average volatility over the selected time horizon. 3Power Energy Group appears to be a penny stock. Although 3Power Energy Group may be, in fact, a solid short-term or long term investment, many penny pink sheets are speculative investment instruments that are often subject to artificial stock promotion and campaigns of hype which may lead to misinformation and misrepresentation. Please make sure you fully understand upside potential and downside risks of investing in 3Power Energy Group or similar risky assets. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswing without any event/news,and sudden news releases. We also encourage traders to check biographies and work history of company President, CEO or other officers before investing in high-volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on 3Power instrument if you perfectly time your entry and exit. However, remember that penny pink sheets that have been the subject of artificial hype usually unable to maintain their increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.
3 Months Beta |Analyze 3Power Energy Group Demand TrendCheck current 90 days 3Power Energy correlation with market (Dow Jones Industrial)3Power Energy Volatility and Downside Risk
3Power 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.
3Power Energy Group Pink Sheet Volatility Analysis
Volatility refers to the frequency at which 3Power Energy pink sheet price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with 3Power Energy's price changes. Investors will then calculate the volatility of 3Power Energy's pink sheet to predict their future moves. A pink sheet that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A pink sheet with relatively stable price changes has low volatility. A highly volatile pink sheet 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 3Power Energy's volatility:
Historical Volatility
This type of pink sheet volatility measures 3Power Energy's fluctuations based on previous trends. It's commonly used to predict 3Power Energy's future behavior based on its past. However, it cannot conclusively determine the future direction of the pink sheet.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for 3Power Energy's current market price. This means that the pink sheet will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on 3Power 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. 3Power Energy Group 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.
3Power Energy Projected Return Density Against Market
Given the investment horizon of 90 days 3Power Energy has a beta of 0.25 indicating as returns on the market go up, 3Power Energy average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding 3Power Energy Group 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 3Power Energy or Independent Power and Renewable Electricity Producers 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 3Power Energy's price will be affected by overall pink sheet 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 3Power pink sheet'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 3Power Energy Price Volatility?
Several factors can influence a pink sheet'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.3Power Energy Pink Sheet Risk Measures
Given the investment horizon of 90 days the coefficient of variation of 3Power Energy is -793.73. The daily returns are distributed with a variance of 57.14 and standard deviation of 7.56. The mean deviation of 3Power Energy Group is currently at 1.87. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.79
α | Alpha over Dow Jones | -0.94 | |
β | Beta against Dow Jones | 0.25 | |
σ | Overall volatility | 7.56 | |
Ir | Information ratio | -0.14 |
3Power Energy Pink Sheet Return Volatility
3Power Energy historical daily return volatility represents how much of 3Power Energy pink sheet's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The venture inherits 7.5593% risk (volatility on return distribution) over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.7876% 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 3Power Pink Sheet performing well and 3Power Energy Company 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 3Power 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 | ||
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| GEECF | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| AEPT | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| ETRXF | 1.32 | 0.66 | 0.00 | 6.01 | 0.00 | 0.00 | 25.00 | |||
| CGFEF | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| HYFXF | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| TPII | 3.01 | 1.12 | 0.00 | (0.19) | 0.00 | 0.00 | 150.00 | |||
| VSPC | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| ARSC | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| IICN | 593.89 | 312.26 | 0.00 | (2.62) | 0.00 | 0.00 | 0.00 | |||
| QSPW | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
About 3Power Energy Volatility
Volatility is a rate at which the price of 3Power 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 3Power Energy may increase or decrease. In other words, similar to 3Power's beta indicator, it measures the risk of 3Power Energy and helps estimate the fluctuations that may happen in a short period of time. So if prices of 3Power 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.3Power Energy Group, Inc. focuses on developing, building, and operating power plants. The company was formerly known as Prime Sun Power Inc. and changed its name to 3Power Energy Group, Inc. in March 2011. 3Power Energy Group, Inc. was incorporated in 2002 and is based in Dubai, the United Arab Emirates. 3Power Energy is traded on OTC Exchange in the United States.
3Power Energy'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 3Power Pink Sheet over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much 3Power Energy's price varies over time.
3 ways to utilize 3Power Energy's volatility to invest better
Higher 3Power Energy's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of 3Power Energy Group stock 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. 3Power Energy Group stock 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 3Power Energy Group investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in 3Power Energy's stock 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 3Power Energy's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
3Power Energy Investment Opportunity
3Power Energy Group has a volatility of 7.56 and is 9.57 times more volatile than Dow Jones Industrial. Compared to the overall equity markets, volatility of historical daily returns of 3Power Energy Group is higher than 67 percent of all global equities and portfolios over the last 90 days. You can use 3Power Energy Group to protect your portfolios against small market fluctuations. The pink sheet experiences a normal downward fluctuation but is a risky buy. Check odds of 3Power Energy to be traded at $2.0E-4 in 90 days.Pay attention - limited upside
The correlation between 3Power Energy Group and DJI is -0.77 (i.e., Pay attention - limited upside) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding 3Power Energy Group and DJI in the same portfolio, assuming nothing else is changed.
3Power Energy Additional Risk Indicators
The analysis of 3Power 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 3Power Energy's investment and either accepting that risk or mitigating it. Along with some common measures of 3Power Energy pink sheet'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 | (0.09) | |||
| Market Risk Adjusted Performance | (3.67) | |||
| Mean Deviation | 1.79 | |||
| Coefficient Of Variation | (812.40) | |||
| Standard Deviation | 7.39 | |||
| Variance | 54.55 | |||
| Information Ratio | (0.14) |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential pink sheets, we recommend comparing similar pink sheets with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
3Power 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 3Power 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. 3Power 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, 3Power 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 3Power Energy Group.
Additional Tools for 3Power Pink Sheet Analysis
When running 3Power Energy's price analysis, check to measure 3Power Energy's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy 3Power Energy is operating at the current time. Most of 3Power Energy's value examination focuses on studying past and present price action to predict the probability of 3Power Energy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move 3Power Energy's price. Additionally, you may evaluate how the addition of 3Power Energy to your portfolios can decrease your overall portfolio volatility.