Vanguard Total Bond Etf Volatility

BND Etf  USD 72.72  0.25  0.34%   
Vanguard Total Bond owns Efficiency Ratio (i.e., Sharpe Ratio) of -0.0247, which indicates the etf had a -0.0247% return per unit of risk over the last 3 months. Vanguard Total Bond exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please validate Vanguard Total's Coefficient Of Variation of (6,933), variance of 0.121, and Risk Adjusted Performance of (0.01) to confirm the risk estimate we provide. Key indicators related to Vanguard Total's volatility include:
30 Days Market Risk
Chance Of Distress
30 Days Economic Sensitivity
Vanguard Total 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 Vanguard daily returns, and it is calculated using variance and standard deviation. We also use Vanguard's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Vanguard Total volatility.
  
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Vanguard Total 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 Vanguard Total at lower prices. For example, an investor can purchase Vanguard 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 Vanguard Total'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 Vanguard Etf

  0.83AGG IShares Core USPairCorr
  0.82BIV Vanguard IntermediatePairCorr
  1.0SPAB SPDR Portfolio AggregatePairCorr
  0.84EAGG IShares ESG USPairCorr
  0.83FLCB Franklin Templeton ETFPairCorr
  0.82UITB VictoryShares USAA CorePairCorr
  0.82DFCF Dimensional ETF TrustPairCorr
  0.81AGGY WisdomTree Yield EnhancedPairCorr

Vanguard Total Market Sensitivity And Downside Risk

Vanguard Total's beta coefficient measures the volatility of Vanguard etf compared to the systematic risk of the entire 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 Vanguard etf's returns against your selected market. In other words, Vanguard Total's beta of 0.29 provides an investor with an approximation of how much risk Vanguard Total etf can potentially add to one of your existing portfolios. Vanguard Total Bond exhibits very low volatility with skewness of -0.43 and kurtosis of 0.12. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Vanguard Total'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 Vanguard Total'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 financial instruments as prices fall.
3 Months Beta |Analyze Vanguard Total Bond Demand Trend
Check current 90 days Vanguard Total correlation with market (NYSE Composite)

Vanguard Beta

    
  0.29  
Vanguard standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. A typical volatile entity 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

    
  0.35  
It is essential to understand the difference between upside risk (as represented by Vanguard Total's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Vanguard Total's daily returns or price. Since the actual investment returns on holding a position in vanguard 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 Vanguard Total.

Using Vanguard Put Option to Manage Risk

Put options written on Vanguard Total grant holders of the option the right to sell a specified amount of Vanguard Total 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 Vanguard Etf cannot fall below zero, the put buyer does gain as the price drops. So, one way investors can hedge Vanguard Total'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 Vanguard Total will be realized, the loss incurred will be offset by the profits made with the option trade.

Vanguard Total's PUT expiring on 2024-04-19

   Profit   
       Vanguard Total Price At Expiration  

Current Vanguard Total Insurance Chain

DeltaGammaOpen IntExpirationCurrent SpreadLast Price
Put
2024-04-19 PUT at $85.0-0.76720.022112024-04-1910.7 - 14.113.0View
Put
2024-04-19 PUT at $73.0-0.6430.311692024-04-190.6 - 0.850.69View
Put
2024-04-19 PUT at $72.0-0.26040.34271452024-04-190.1 - 0.20.19View
View All Vanguard Total Options

Vanguard Total Bond Etf Volatility Analysis

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

Historical Volatility

This type of etf volatility measures Vanguard Total's fluctuations based on previous trends. It's commonly used to predict Vanguard Total'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 Vanguard Total'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 Vanguard Total'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. Vanguard Total Bond Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input.

Vanguard Total Projected Return Density Against Market

Considering the 90-day investment horizon Vanguard Total has a beta of 0.2938 suggesting as returns on the market go up, Vanguard Total average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Vanguard Total Bond 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 Vanguard Total or Vanguard 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 Vanguard Total'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 Vanguard 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.
Vanguard Total Bond has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming NYSE Composite.
   Predicted Return Density   
       Returns  
Vanguard Total's volatility is measured either by using standard deviation or beta. Standard deviation will reflect the average amount of how vanguard etf'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 a Vanguard Total Price Volatility?

Several factors can influence a etf's market 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.

Vanguard Total Etf Risk Measures

Considering the 90-day investment horizon the coefficient of variation of Vanguard Total is -4053.09. The daily returns are distributed with a variance of 0.12 and standard deviation of 0.35. The mean deviation of Vanguard Total Bond is currently at 0.28. For similar time horizon, the selected benchmark (NYSE Composite) has volatility of 0.56
α
Alpha over NYSE Composite
-0.05
β
Beta against NYSE Composite0.29
σ
Overall volatility
0.35
Ir
Information ratio -0.4

Vanguard Total Etf Return Volatility

Vanguard Total historical daily return volatility represents how much of Vanguard Total etf's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The fund has volatility of 0.3494% on return distribution over 90 days investment horizon. By contrast, NYSE Composite accepts 0.5731% volatility on return distribution over the 90 days horizon.
 Performance 
       Timeline  

About Vanguard Total Volatility

Volatility is a rate at which the price of Vanguard Total 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 Vanguard Total may increase or decrease. In other words, similar to Vanguard's beta indicator, it measures the risk of Vanguard Total and helps estimate the fluctuations that may happen in a short period of time. So if prices of Vanguard Total 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.
This index measures the performance of a wide spectrum of public, investment-grade, taxable, fixed income securities in the United States-including government, corporate, and international dollar-denominated bonds, as well as mortgage-backed and asset-backed securities-all with maturities of more than 1 year. Total Bond is traded on NASDAQ Exchange in the United States.
Vanguard Total's stock volatility refers to the amount of uncertainty or risk involved with the size of changes in its stock's price. It is a statistical measure of the dispersion of returns on Vanguard Etf over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Vanguard Total's price varies over time.

3 ways to utilize Vanguard Total's volatility to invest better

Higher Vanguard Total's etf volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Vanguard Total Bond etf is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. Vanguard Total Bond etf volatility can provide helpful information for making investment decisions in the following ways:
  • Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of Vanguard Total Bond investment. A higher volatility means higher risk and potentially larger changes in value.
  • Identifying Opportunities: High volatility in Vanguard Total's etf can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
  • Diversification: Understanding how the volatility of Vanguard Total's etf relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Remember it's essential to remember that stock volatility is just one of many factors to consider when making investment decisions, and it should be used in conjunction with other fundamental and technical analysis tools.

Vanguard Total Investment Opportunity

NYSE Composite has a standard deviation of returns of 0.57 and is 1.63 times more volatile than Vanguard Total Bond. Compared to the overall equity markets, volatility of historical daily returns of Vanguard Total Bond is lower than 3 percent of all global equities and portfolios over the last 90 days. You can use Vanguard Total Bond to enhance the returns of your portfolios. The etf experiences a normal upward fluctuation. Check odds of Vanguard Total to be traded at $76.36 in 90 days.

Very weak diversification

The correlation between Vanguard Total Bond and NYA is 0.47 (i.e., Very weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Vanguard Total Bond and NYA in the same portfolio, assuming nothing else is changed.

Vanguard Total Additional Risk Indicators

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

Vanguard Total 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 Vanguard Total 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. Vanguard Total'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, Vanguard Total'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 Vanguard Total Bond.
When determining whether Vanguard Total Bond is a strong investment it is important to analyze Vanguard Total's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Vanguard Total's future performance. For an informed investment choice regarding Vanguard Etf, refer to the following important reports:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Vanguard Total Bond. Also, note that the market value of any etf could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors.
You can also try the AI Investment Finder module to use AI to screen and filter profitable investment opportunities.

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When running Vanguard Total's price analysis, check to measure Vanguard Total'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 Vanguard Total is operating at the current time. Most of Vanguard Total's value examination focuses on studying past and present price action to predict the probability of Vanguard Total's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Vanguard Total's price. Additionally, you may evaluate how the addition of Vanguard Total to your portfolios can decrease your overall portfolio volatility.
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The market value of Vanguard Total Bond is measured differently than its book value, which is the value of Vanguard that is recorded on the company's balance sheet. Investors also form their own opinion of Vanguard Total's value that differs from its market value or its book value, called intrinsic value, which is Vanguard Total'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 Vanguard Total's market value can be influenced by many factors that don't directly affect Vanguard Total'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 Vanguard Total's value and its price as these two are different measures arrived at by different means. Investors typically determine if Vanguard Total is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Vanguard Total'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.