INVESCO Mutual Fund Volatility

CNSFX
 Fund
  

USD 22.20  0.24  1.07%   

INVESCO CONVERTIBLE holds Efficiency (Sharpe) Ratio of -0.0115, which attests that the entity had -0.0115% of return per unit of volatility over the last 3 months. Macroaxis approach towards determining the risk of any fund is to look at both systematic and unsystematic factors of the business, including all available market data and technical indicators. INVESCO CONVERTIBLE exposes twenty-one different technical indicators, which can help you to evaluate volatility that cannot be diversified away. Please be advised to check out INVESCO CONVERTIBLE market risk adjusted performance of (0.11), and Risk Adjusted Performance of 0.0036 to validate the risk estimate we provide.
  
INVESCO CONVERTIBLE 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 INVESCO daily returns, and it is calculated using variance and standard deviation. We also use INVESCO's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of INVESCO CONVERTIBLE volatility.

30 Days Market Risk

Very steady

Chance of Distress

Very Low

30 Days Economic Sensitivity

Barely shadows the market
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as INVESCO CONVERTIBLE 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 INVESCO CONVERTIBLE at lower prices. For example, an investor can purchase INVESCO 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 INVESCO CONVERTIBLE'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.

Moving together with INVESCO CONVERTIBLE

+0.99FCSZXFRANKLIN CONVERTIBLEPairCorr
+0.92FISCXFRANKLIN CONVERTIBLEPairCorr
+0.92FROTXFRANKLIN CONVERTIBLEPairCorr
+0.99FCSKXFRANKLIN CONVERTIBLEPairCorr
+0.89ANZCXALLIANZGI CONVERTIBLEPairCorr
+0.83COCRXCOLUMBIA CONVERTIBLEPairCorr
+0.99FIQVXFIDELITY CONVERTIBLEPairCorr

INVESCO CONVERTIBLE Market Sensitivity And Downside Risk

INVESCO CONVERTIBLE's beta coefficient measures the volatility of INVESCO mutual fund compared to the systematic risk of the entire stock 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 INVESCO mutual fund's returns against your selected market. In other words, INVESCO CONVERTIBLE's beta of 0.0313 provides an investor with an approximation of how much risk INVESCO CONVERTIBLE mutual fund can potentially add to one of your existing portfolios.
INVESCO CONVERTIBLE SECURITIES has low volatility with Treynor Ratio of -0.12, Maximum Drawdown of 3.65 and kurtosis of 0.96. However, we advice all investors to further analyze INVESCO CONVERTIBLE SECURITIES to make certain all market information is desiminated and is consistent with the current expectations about INVESCO CONVERTIBLE upside potential. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure INVESCO CONVERTIBLE'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 INVESCO CONVERTIBLE'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 stocks as prices fall.
3 Months Beta |Analyze INVESCO CONVERTIBLE Demand Trend
Check current 90 days INVESCO CONVERTIBLE correlation with market (NYSE Composite)

INVESCO Beta

    
  0.0313  
INVESCO standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. Typical volatile equity 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

    
  0.86  
It is essential to understand the difference between upside risk (as represented by INVESCO CONVERTIBLE's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of INVESCO CONVERTIBLE's daily returns or price. Since the actual investment returns on holding a position in invesco 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 INVESCO CONVERTIBLE.

INVESCO CONVERTIBLE Mutual Fund Volatility Analysis

Volatility refers to the frequency at which INVESCO CONVERTIBLE fund price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with INVESCO CONVERTIBLE's price changes. Investors will then calculate the volatility of INVESCO CONVERTIBLE'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 INVESCO CONVERTIBLE's volatility:

Historical Volatility

This type of fund volatility measures INVESCO CONVERTIBLE's fluctuations based on previous trends. It's commonly used to predict INVESCO CONVERTIBLE'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 INVESCO CONVERTIBLE'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 INVESCO CONVERTIBLE'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. INVESCO CONVERTIBLE Typical Price indicator is an average of each day price and can be used instead of closing price when creating different INVESCO CONVERTIBLE moving average lines.
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INVESCO CONVERTIBLE Projected Return Density Against Market

Assuming the 90 days horizon INVESCO CONVERTIBLE has a beta of 0.0313 suggesting as returns on the market go up, INVESCO CONVERTIBLE average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding INVESCO CONVERTIBLE SECURITIES 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 INVESCO CONVERTIBLE or Invesco 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 INVESCO CONVERTIBLE'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 INVESCO 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.
The company has a negative alpha, implying that the risk taken by holding this instrument is not justified. INVESCO CONVERTIBLE is significantly underperforming NYSE Composite.
   Predicted Return Density   
       Returns  
INVESCO CONVERTIBLE's volatility is measured either by using standard deviation or beta. Standard deviation will reflect the average amount of how invesco mutual fund's price will differ from the mean after some time.To get its calculation, you should first determine the mean price during the specified period then subtract that from each price point.

What Drives an INVESCO CONVERTIBLE Price Volatility?

Several factors can influence a Fund's stock 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.

INVESCO CONVERTIBLE Mutual Fund Risk Measures

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 INVESCO CONVERTIBLE or Invesco 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 INVESCO CONVERTIBLE'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 INVESCO 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. Assuming the 90 days horizon the coefficient of variation of INVESCO CONVERTIBLE is -8703.4. The daily returns are distributed with a variance of 0.74 and standard deviation of 0.86. The mean deviation of INVESCO CONVERTIBLE SECURITIES is currently at 0.66. For similar time horizon, the selected benchmark (NYSE Composite) has volatility of 1.5
α
Alpha over NYSE Composite
-0.0057
β
Beta against NYSE Composite0.0313
σ
Overall volatility
0.86
Ir
Information ratio -0.08

INVESCO CONVERTIBLE Mutual Fund Return Volatility

INVESCO CONVERTIBLE historical daily return volatility represents how much of INVESCO CONVERTIBLE fund's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The fund shows 0.8609% volatility of returns over 90 . By contrast, NYSE Composite accepts 1.5193% volatility on return distribution over the 90 days horizon.
 Performance (%) 
       Timeline  

About INVESCO CONVERTIBLE Volatility

Volatility is a rate at which the price of INVESCO CONVERTIBLE 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 INVESCO CONVERTIBLE may increase or decrease. In other words, similar to INVESCO's beta indicator, it measures the risk of INVESCO CONVERTIBLE and helps estimate the fluctuations that may happen in a short period of time. So if prices of INVESCO CONVERTIBLE 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, under normal circumstances, at least 80 percent of its net assets in convertible securities, and in derivatives and other instruments that have economic characteristics similar to such securities. Invesco Convertible is traded on NASDAQ Exchange in the United States.

INVESCO CONVERTIBLE Investment Opportunity

NYSE Composite has a standard deviation of returns of 1.52 and is 1.77 times more volatile than INVESCO CONVERTIBLE SECURITIES. of all equities and portfolios are less risky than INVESCO CONVERTIBLE. Compared to the overall equity markets, volatility of historical daily returns of INVESCO CONVERTIBLE SECURITIES is lower than 7 () of all global equities and portfolios over the last 90 days. Use INVESCO CONVERTIBLE SECURITIES to protect your portfolios against small market fluctuations. Benchmarks are essential to demonstrate the utility of optimization algorithms. The mutual fund experiences a somewhat bearish sentiment, but the market may correct it shortly. Check odds of INVESCO CONVERTIBLE to be traded at $21.53 in 90 days.

Significant diversification

The correlation between INVESCO CONVERTIBLE SECURITIES and NYA is 0.05 (i.e., Significant diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding INVESCO CONVERTIBLE SECURITIES and NYA in the same portfolio, assuming nothing else is changed.

INVESCO CONVERTIBLE Additional Risk Indicators

The analysis of INVESCO CONVERTIBLE'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 INVESCO CONVERTIBLE's investment and either accepting that risk or mitigating it. Along with some common measures of INVESCO CONVERTIBLE 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.
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.

INVESCO CONVERTIBLE 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 INVESCO CONVERTIBLE 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. INVESCO CONVERTIBLE'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, INVESCO CONVERTIBLE'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 INVESCO CONVERTIBLE SECURITIES.
Continue to Trending Equities. Note that the INVESCO CONVERTIBLE information on this page should be used as a complementary analysis to other INVESCO CONVERTIBLE'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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.

Complementary Tools for INVESCO Mutual Fund analysis

When running INVESCO CONVERTIBLE price analysis, check to measure INVESCO CONVERTIBLE'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 INVESCO CONVERTIBLE is operating at the current time. Most of INVESCO CONVERTIBLE's value examination focuses on studying past and present price action to predict the probability of INVESCO CONVERTIBLE's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move INVESCO CONVERTIBLE's price. Additionally, you may evaluate how the addition of INVESCO CONVERTIBLE to your portfolios can decrease your overall portfolio volatility.
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Please note, there is a significant difference between INVESCO CONVERTIBLE's value and its price as these two are different measures arrived at by different means. Investors typically determine INVESCO CONVERTIBLE value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, INVESCO CONVERTIBLE's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.