# Nasdaq Etf Volatility

QQQ | Etf | ## USD 284.20 2.72 0.95% |

Nasdaq QQQ Invesco has Sharpe Ratio of -0.0266, which conveys that the entity had -0.0266% of return per unit of risk over the last 3 months. Macroaxis standpoint towards estimating the risk of any etf is to look at both systematic and unsystematic factors of the business, including all available market data and technical indicators. Nasdaq QQQ exposes twenty-seven different technical indicators, which can help you to evaluate volatility that cannot be diversified away. Please be advised to verify Nasdaq QQQ Invesco mean deviation of 1.57, and Risk Adjusted Performance of (0.08) to check out the risk estimate we provide.

Nasdaq |

Nasdaq QQQ Etf 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 Nasdaq daily returns, and it is calculated using variance and standard deviation. We also use Nasdaq's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Nasdaq QQQ volatility.

### 60 Days Market Risk

### Chance of Distress

### 60 Days Economic Sensitivity

Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Nasdaq QQQ 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 Nasdaq QQQ at lower prices. For example, an investor can purchase Nasdaq 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 Nasdaq QQQ'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 Nasdaq QQQ

+ | 1.0 | VUG | Vanguard Growth ETF | PairCorr | |||

+ | 0.99 | IWF | Russell 1000 Growth | PairCorr | |||

+ | 1.0 | IVW | SP 500 Growth | PairCorr | |||

+ | 1.0 | SPYG | SPDR SP 500 | PairCorr | |||

+ | 1.0 | IUSG | SP US Growth | PairCorr | |||

+ | 0.99 | VONG | Russell 1000 Growth | PairCorr | |||

+ | 0.99 | MGK | Vanguard Mega Cap | PairCorr |

## Nasdaq QQQ Market Sensitivity And Downside Risk

Nasdaq QQQ's beta coefficient measures the volatility of Nasdaq etf 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 Nasdaq etf's returns against your selected market. In other words, Nasdaq QQQ's beta of 1.32 provides an investor with an approximation of how much risk Nasdaq QQQ etf can potentially add to one of your existing portfolios.

Nasdaq QQQ Invesco exhibits very low volatility with skewness of 0.44 and kurtosis of 1.92. However, we advise investors to further study Nasdaq QQQ Invesco technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Nasdaq QQQ's etf risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Nasdaq QQQ's etf 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 Nasdaq QQQ Invesco Demand TrendCheck current 90 days Nasdaq QQQ correlation with market (DOW)## Nasdaq Beta |

Nasdaq 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 | 2.01 |

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

## Using Nasdaq Put Option to Manage Risk

Put options written on Nasdaq QQQ grant holders of the option the right to sell a specified amount of Nasdaq QQQ at a specified price within a specified time frame. The put buyer has a limited loss and, while not fully unlimited gains, as the price of Nasdaq Etf cannot fall below zero, the put buyer does gain as the price drops. So, one way investors can hedge Nasdaq QQQ's position is by buying a put option against it. The put option used this way is usually referred to as insurance. If an undesired outcome occurs and loss on holding Nasdaq QQQ will be realized, the loss incurred will be offset by the profits made with the option trade.

### Nasdaq QQQ's PUT expiring on 2022-11-28

Profit |

Share

Nasdaq QQQ Price At Expiration |

### Current Nasdaq QQQ Insurance Chain

Delta | Gamma | Open Int | Expiration | Current Spread | Last Price | |||

Put | 2022-11-28 PUT at $330.0 | -0.9875 | 0.0019 | 6 | 2022-11-28 | 42.85 - 43.42 | 42.67 | View |

Put | 2022-11-28 PUT at $315.0 | -0.9804 | 0.0057 | 11 | 2022-11-28 | 27.85 - 28.44 | 28.15 | View |

Put | 2022-11-28 PUT at $310.0 | -0.936 | 0.0088 | 13 | 2022-11-28 | 22.86 - 23.44 | 22.99 | View |

Put | 2022-11-28 PUT at $308.0 | -0.9771 | 0.0054 | 1 | 2022-11-28 | 20.85 - 21.44 | 20.65 | View |

Put | 2022-11-28 PUT at $307.0 | -0.9751 | 0.006 | 1 | 2022-11-28 | 19.86 - 20.44 | 23.16 | View |

Put | 2022-11-28 PUT at $303.0 | -0.9722 | 0.0079 | 3 | 2022-11-28 | 15.85 - 16.44 | 15.53 | View |

Put | 2022-11-28 PUT at $302.0 | -0.9709 | 0.0087 | 2 | 2022-11-28 | 14.85 - 15.44 | 14.82 | View |

Put | 2022-11-28 PUT at $301.0 | -0.9695 | 0.0096 | 8 | 2022-11-28 | 13.85 - 14.44 | 13.31 | View |

Put | 2022-11-28 PUT at $300.0 | -0.9678 | 0.0106 | 27 | 2022-11-28 | 12.94 - 13.35 | 12.47 | View |

Put | 2022-11-28 PUT at $298.0 | -0.9689 | 0.0122 | 6 | 2022-11-28 | 10.86 - 11.44 | 11.13 | View |

Put | 2022-11-28 PUT at $297.0 | -0.9807 | 0.0098 | 3 | 2022-11-28 | 9.85 - 10.45 | 10.1 | View |

## Nasdaq QQQ Invesco Etf Volatility Analysis

Volatility refers to the frequency at which Nasdaq QQQ etf price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Nasdaq QQQ's price changes. Investors will then calculate the volatility of Nasdaq QQQ's etf to predict their future moves. A etf that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A etf with relatively stable price changes has low volatility. A highly volatile etf 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 Nasdaq QQQ's volatility:

### Historical Volatility

This type of etf volatility measures Nasdaq QQQ's fluctuations based on previous trends. It's commonly used to predict Nasdaq QQQ's future behavior based on its past. However, it cannot conclusively determine the future direction of the etf.### Implied Volatility

This type of volatility provides a positive outlook on future price fluctuations for Nasdaq QQQ's current market price. This means that the etf will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on Nasdaq QQQ'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. The Median Price line plots median indexes of Nasdaq QQQ Invesco price series..

## Nasdaq QQQ Projected Return Density Against Market

Considering the 90-day investment horizon the etf has the beta coefficient of 1.3197 indicating as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are projected to be negative, Nasdaq QQQ will likely underperform.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 Nasdaq QQQ 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 Nasdaq QQQ's price will be affected by overall etf 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 Nasdaq etf'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. Nasdaq QQQ Invesco is significantly underperforming DOW. Predicted Return Density |

Returns |

## What Drives a Nasdaq QQQ Price Volatility?

Several factors can influence a Etf'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.## Nasdaq QQQ Etf 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 Nasdaq QQQ 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 Nasdaq QQQ's price will be affected by overall etf 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 Nasdaq etf'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. Considering the 90-day investment horizon the coefficient of variation of Nasdaq QQQ is -3759.29. The daily returns are distributed with a variance of 4.03 and standard deviation of 2.01. The mean deviation of Nasdaq QQQ Invesco is currently at 1.5. For similar time horizon, the selected benchmark (DOW) has volatility of 1.41

α | Alpha over DOW | -0.21 | |

β | Beta against DOW | 1.32 | |

σ | Overall volatility | 2.01 | |

Ir | Information ratio | -0.09 |

## Nasdaq QQQ Etf Return Volatility

Nasdaq QQQ historical daily return volatility represents how much of Nasdaq QQQ etf's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The ETF has volatility of**2.0081%**on return distribution over 90 days investment horizon. By contrast, DOW inherits 1.3692% risk (volatility on return distribution) over the 90 days horizon.

Performance (%) |

Timeline |

## About Nasdaq QQQ Volatility

Volatility is a rate at which the price of Nasdaq QQQ 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 Nasdaq QQQ may increase or decrease. In other words, similar to Nasdaq's beta indicator, it measures the risk of Nasdaq QQQ and helps estimate the fluctuations that may happen in a short period of time. So if prices of Nasdaq QQQ 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.To maintain the correspondence between the composition and weights of the securities in the trust and the stocks in the NASDAQ-100 Index, the adviser adjusts the securities from time to time to conform to periodic changes in the identity andor relative weights of index securities. Nasdaq QQQ is traded on NASDAQ Exchange in the United States.

## Nasdaq QQQ Investment Opportunity

Nasdaq QQQ Invesco has a volatility of 2.01 and is 1.47 times more volatile than DOW.**17**of all equities and portfolios are less risky than Nasdaq QQQ. Compared to the overall equity markets, volatility of historical daily returns of Nasdaq QQQ Invesco is lower than

**17 ()**of all global equities and portfolios over the last 90 days. Use Nasdaq QQQ Invesco to protect your portfolios against small market fluctuations. Benchmarks are essential to demonstrate the utility of optimization algorithms. The etf experiences a moderate downward daily trend and can be a good diversifier. Check odds of Nasdaq QQQ to be traded at $278.52 in 90 days.

### Almost no diversification

The correlation between Nasdaq QQQ Invesco and DJI is

**0.91**(i.e., Almost no diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Nasdaq QQQ Invesco and DJI in the same portfolio, assuming nothing else is changed.## Nasdaq QQQ Additional Risk Indicators

The analysis of Nasdaq QQQ'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 Nasdaq QQQ's investment and either accepting that risk or mitigating it. Along with some common measures of Nasdaq QQQ etf'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 | (0.09) | |||

Mean Deviation | 1.57 | |||

Coefficient Of Variation | (1,746) | |||

Standard Deviation | 2.06 | |||

Variance | 4.24 | |||

Information Ratio | (0.09) |

Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential etfs, we recommend comparing similar etfs with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.

## Nasdaq QQQ 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 Nasdaq QQQ 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. Nasdaq QQQ'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, Nasdaq QQQ'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 Nasdaq QQQ Invesco.

Please see Your Equity Center. You can also try Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .

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When running Nasdaq QQQ Invesco price analysis, check to measure Nasdaq QQQ'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 Nasdaq QQQ is operating at the current time. Most of Nasdaq QQQ's value examination focuses on studying past and present price action to predict the probability of Nasdaq QQQ's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Nasdaq QQQ's price. Additionally, you may evaluate how the addition of Nasdaq QQQ to your portfolios can decrease your overall portfolio volatility.

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The market value of Nasdaq QQQ Invesco is measured differently than its book value, which is the value of Nasdaq that is recorded on the company's balance sheet. Investors also form their own opinion of Nasdaq QQQ's value that differs from its market value or its book value, called intrinsic value, which is Nasdaq QQQ's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Nasdaq QQQ's market value can be influenced by many factors that don't directly affect Nasdaq QQQ's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Nasdaq QQQ's value and its price as these two are different measures arrived at by different means. Investors typically determine Nasdaq QQQ value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Nasdaq QQQ'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.