Sentences with phrase «volatility of returns»

You can see that through the reduced volatility of returns that you can expect much smaller losses and gains over time than stocks.

The fund is characterized by a relatively low volatility of returns and held up well in the last major market downturn in 2008.

The use of leverage, as part of the investment process, can multiply market movements into greater changes in an investment's value, thus resulting in increased volatility of returns.

In addition, this reference portfolio would have a smaller volatility of returns.

Over a full interest rate cycle, we seek to outperform «money fund» products (intended for retail investors) while maintaining similar volatility of returns.

As a result, investors with long time horizons can take on more short - term volatility of returns.

The fund's standard deviation, a measure of annualized volatility of returns, was slightly above that o the reference portfolio.

Volatility of returns as well as other performance measures are not taken into account.

The Conservative Asset Allocation portfolio is a diversified portfolio designed for a long - term investor seeking a current income stream and looking to avoid excessive volatility of returns with some degree of capital appreciation.

A new metric for assessing investor skill: I'm not sold on this (or really any of the metrics that profess to measure investor skill based on volatility of returns) but the article is interesting nonetheless.

The Conservative Asset Allocation portfolio is a diversified portfolio designed for a long - term investor with an Individual Retirement Account seeking a current income stream and looking to avoid excessive volatility of returns with some degree of capital appreciation.

Such an investor cares greatly about volatility of returns, as the more volatile return streams increase the chances of being a forced seller at a very disadvantageous price for the portfolio.

However, consider that itâ $ ™ s a diversified fixed income â $ œbucketâ $ that includes non-US bonds which tend to have more volatility of return than US bonds.

Over the past ten years, the Hotchkis & Wiley Value Opportunities Fund has added value for its shareholders but at the expense of elevated volatility of returns.

Diversification reduces overall investment risk and reduces volatility of returns on your investment portfolio as a whole.

In my series «5 Simple Ways to Beat the Market», I demonstrated that the Dividend Aristocrats (BATS: NOBL), the subset of the S&P 500 (NYSEARCA: SPY) that has paid increasing dividends for at least twenty - five years, has produced higher returns than the market with lower volatility of returns.

This could result in increased volatility of returns.

Asset allocation and diversification may not protect against market risk, loss of principal or volatility of returns.

Standard deviation does not indicate how an investment actually performed, but it does indicate the volatility of its returns over time.

A risk measure that relates the fund's volatility of returns to the market.

They entail significant risks that can include losses due to leveraging or other speculative investment practices, lack of liquidity, volatility of returns, restrictions on transferring interests in a fund, potential lack of diversification, absence and / or delay of information regarding valuations and pricing, complex tax structures and delays in tax reporting, less regulation and higher fees than mutual funds.

In some strategies, it is acceptable to take an occasional 20 % loss, but in general, the greater the volatility of returns, the lower the compound annual average.

The chart below, based on data from the classic book A Random Walk Down Wall Street by Burton Malkiel, shows how adding a third or seventh or fifteenth position to a portfolio materially reduces the volatility of returns.

The volatility of returns generated by a mutual fund scheme can be measured by some important risk ratios like;

In that period, the large - cap value ETF handily outperformed its growth counterpart, albeit with a slightly higher standard deviation (a measure of volatility of returns).

While covered - call strategies appear to promise «a free lunch» of increased returns with less risk, investors who care about more than the volatility of returns will not find this an efficient strategy.

What needs to be kept in mind about this is that the volatility of returns as measured by standard deviation is much lower for bonds (0.19) and preferreds (0.21) than it is for equity (0.43).

Bear in mind that the volatility of the returns of an investment (meaning the size of its fluctuations, daily or otherwise, in a kind of average) is considered a measure of its risk; therefore, that penalty or premium is what they call risk adjustment.

As you can see from the analysis above, when the volatility of returns, as measured by the standard deviation, is reduced from 15 % annually to 10 % annually, the probability of the portfolio not lasting the full 30 years drops significantly — from 15 % to 3 %.

The Vanguard sector portfolio had the second highest alpha and Sharpe ratio as well as the second lowest standard deviation (a measure of volatility of returns).

Moreover, he rightly highlights that the real risk to investors is not the volatility of returns, as commonly viewed in the fund world, but rather that investors fail to cultivate the mental disposition necessary to productively embrace Mr. Market's tendency to sometimes offer good companies priced low enough that a level a margin of safety emerges.

The fund's standard deviation, a measure of volatility of returns, was about 0.5 % higher than that of the reference ETF portfolio.

At about 13.6 %, the fund's standard deviation (a measure of volatility of returns) was only 0.2 % higher than that of the reference portfolio.

As you can see, the volatility of returns in Canada and the US has been about 50 % lower in the last three and five years than it was during the past two decades.

The standard deviation of the fund, a measure of volatility of returns, was slightly higher than that of the reference portfolio.

At 15.1 %, the fund's standard deviation, a measure of volatility of returns, was about 2.4 % higher than that of the reference ETF portfolio.

Higher quality companies also had a lower volatility of returns, had lower betas, and more favorable risk - adjusted returns.

Wealth drawdowns and volatility of returns are not the only risks facing defined contribution (DC) retirement plan participants.

The volatilities of the factor portfolios are a measure of the volatility of a long — short portfolio; in other words, these volatilities measure the volatility of the return difference between the long and the short portfolios.

The larger the standard deviation, the greater the volatility of returns and therefore the greater the risk.

Considers risk management factors, such as the underlying funds» relative and absolute performance, as well as their volatility of returns over time.

Asset returns vary considerably, and the number of years from which average returns are calculated are few relative to the volatility of returns.

At 2.88 %, the fund's standard deviation (a measure of volatility of returns) was 0.08 % higher than that of the reference portfolio.

A municipal bond fund that strives to limit the volatility of returns caused by changes in interest rates and provide income that is typically exempt from federal taxes, and long - term total return.