AAVE Alpha and Beta Analysis

AAVE
 Crypto
  

USD 110.54  4.28  3.73%   

This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as AAVE. It also helps investors analyze the systematic and unsystematic risks associated with investing in AAVE over a specified time horizon. Remember, high AAVE's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation.
Please continue to AAVE Backtesting, Portfolio Optimization, AAVE Correlation, Bitcoin Browser, AAVE Volatility, AAVE History and analyze AAVE Performance.
  
Please note that although AAVE alpha is a measure of relative return and represented here as a single number, it indicates the percentage above or below your selected benchmark (i.e., DOW index.) So in this particular case, AAVE did 0.89  better than the index. Remember, a high alpha is always good. Beta, on the other hand, measures the volatility (or risk) of an investment. It is an indication of AAVE crypto's relative risk over its benchmark. AAVE has a beta of 1.42  . Let's try to break down what AAVE's beta means in this case. As returns on the market increase, returns on owning AAVE are expected to decrease by larger amounts. On the other hand, during market turmoil, AAVE is expected to outperform it.
.
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.

AAVE Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. AAVE market risk premium is the additional return an investor will receive from holding AAVE long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in AAVE. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate AAVE's performance over market.
α0.89   β-1.42
90 days against DJI

AAVE Price Momentum Analysis

AAVE Market Price Analysis

Market price analysis indicators help investors to evaluate how AAVE crypto coin reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading AAVE shares will generate the highest return on investment. By understating and applying AAVE crypto coin market price indicators, traders can identify AAVE position entry and exit signals to maximize returns.

AAVE Return and Market Media

The median price of AAVE for the period between Tue, May 17, 2022 and Mon, Aug 15, 2022 is 91.19 with a coefficient of variation of 20.41. The daily time series for the period is distributed with a sample standard deviation of 17.56, arithmetic mean of 86.05, and mean deviation of 14.99. The Crypto received substential amount of media coverage during this period.
 Price Growth (%)  
       Timeline  

About AAVE Beta and Alpha

For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all equity instruments such as Ford or other stocks, funds, and ETFs. Alpha measures the amount that position in AAVE has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.

AAVE Investors Sentiment

The influence of AAVE's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in AAVE. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock markets does not have a solid backing from leading economists and market statisticians.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards AAVE in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, AAVE's short interest history, or implied volatility extrapolated from AAVE options trading.

Build Portfolio with AAVE

Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.

Build Diversified Portfolios

Align your risk with return expectations

Fix your portfolio
By capturing your risk tolerance and investment horizon Macroaxis technology of instant portfolio optimization will compute exactly how much risk is acceptable for your desired return expectations
Please continue to AAVE Backtesting, Portfolio Optimization, AAVE Correlation, Bitcoin Browser, AAVE Volatility, AAVE History and analyze AAVE Performance. Note that the AAVE information on this page should be used as a complementary analysis to other AAVE's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.

Other Tools for AAVE Crypto Coin

When running AAVE price analysis, check to measure AAVE'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 AAVE is operating at the current time. Most of AAVE's value examination focuses on studying past and present price action to predict the probability of AAVE's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move AAVE's price. Additionally, you may evaluate how the addition of AAVE to your portfolios can decrease your overall portfolio volatility.
Money Flow Index
Determine momentum by analyzing Money Flow Index and other technical indicators
Go
Portfolio Comparator
Compare the composition, asset allocations and performance of any two portfolios in your account
Go
Idea Optimizer
Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio
Go
Watchlist Optimization
Optimize watchlists to build efficient portfolio or rebalance existing positions based on mean-variance optimization algorithm
Go
Portfolio Rebalancing
Analyze risk-adjusted returns against different time horizons to find asset-allocation targets
Go
Idea Analyzer
Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas
Go
Idea Breakdown
Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes
Go
Crypto Correlations
Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins
Go
Portfolio Optimization
Compute new portfolio that will generate highest expected return given your specified tolerance for risk
Go
Instant Ratings
Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance
Go
Headlines Timeline
Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity
Go
Technical Analysis
Check basic technical indicators and analysis based on most latest market data
Go