Ark 21shares Active Etf Performance
| ARKA Etf | 53.87 0.15 0.28% |
The etf shows a Beta (market volatility) of -0.21, which signifies not very significant fluctuations relative to the market. As returns on the market increase, returns on owning ARK 21Shares are expected to decrease at a much lower rate. During the bear market, ARK 21Shares is likely to outperform the market.
Risk-Adjusted Performance
Very Weak
Weak | Strong |
Over the last 90 days ARK 21Shares Active has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest uncertain performance, the Etf's forward-looking signals remain strong and the current disturbance on Wall Street may also be a sign of long term gains for the ETF investors. ...more
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ARK 21Shares Relative Risk vs. Return Landscape
If you would invest 6,081 in ARK 21Shares Active on December 23, 2024 and sell it today you would lose (694.00) from holding ARK 21Shares Active or give up 11.41% of portfolio value over 90 days. ARK 21Shares Active is currently does not generate positive expected returns and assumes 3.0676% risk (volatility on return distribution) over the 90 days horizon. In different words, 27% of etfs are less volatile than ARK, and 99% of all traded equity instruments are projected to make higher returns than the company over the 90 days investment horizon. Expected Return |
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ARK 21Shares Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for ARK 21Shares' investment risk. Standard deviation is the most common way to measure market volatility of etfs, such as ARK 21Shares Active, and traders can use it to determine the average amount a ARK 21Shares' price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = -0.0495
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| Negative Returns | ARKA |
Estimated Market Risk
| 3.07 actual daily | 27 73% of assets are more volatile |
Expected Return
| -0.15 actual daily | 0 Most of other assets have higher returns |
Risk-Adjusted Return
| -0.05 actual daily | 0 Most of other assets perform better |
Based on monthly moving average ARK 21Shares 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 ARK 21Shares by adding ARK 21Shares to a well-diversified portfolio.
About ARK 21Shares Performance
By analyzing ARK 21Shares' fundamental ratios, stakeholders can gain valuable insights into ARK 21Shares' financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if ARK 21Shares has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if ARK 21Shares has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
| ARK 21Shares Active generated a negative expected return over the last 90 days | |
| ARK 21Shares Active has high historical volatility and very poor performance |
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in ARK 21Shares Active. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as signals in industry. You can also try the Portfolio Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.
The market value of ARK 21Shares Active is measured differently than its book value, which is the value of ARK that is recorded on the company's balance sheet. Investors also form their own opinion of ARK 21Shares' value that differs from its market value or its book value, called intrinsic value, which is ARK 21Shares' 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 ARK 21Shares' market value can be influenced by many factors that don't directly affect ARK 21Shares' 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 ARK 21Shares' value and its price as these two are different measures arrived at by different means. Investors typically determine if ARK 21Shares is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, ARK 21Shares' 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.