Wisdomtree Japan Smallcap Etf Market Value
| DFJ Etf | USD 75.52 1.59 2.15% |
| Symbol | WisdomTree |
The market value of WisdomTree Japan SmallCap is measured differently than its book value, which is the value of WisdomTree that is recorded on the company's balance sheet. Investors also form their own opinion of WisdomTree Japan's value that differs from its market value or its book value, called intrinsic value, which is WisdomTree Japan'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 WisdomTree Japan's market value can be influenced by many factors that don't directly affect WisdomTree Japan'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 WisdomTree Japan's value and its price as these two are different measures arrived at by different means. Investors typically determine if WisdomTree Japan is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, WisdomTree Japan'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.
WisdomTree Japan 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to WisdomTree Japan's etf what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of WisdomTree Japan.
| 03/03/2024 |
| 05/02/2024 |
If you would invest 0.00 in WisdomTree Japan on March 3, 2024 and sell it all today you would earn a total of 0.00 from holding WisdomTree Japan SmallCap or generate 0.0% return on investment in WisdomTree Japan over 60 days. WisdomTree Japan is related to or competes with WisdomTree Global, WisdomTree Europe, WisdomTree International, WisdomTree Global, and WisdomTree Japan. Under normal circumstances, at least 95 percent of the funds total assets will be invested in component securities of th... More
WisdomTree Japan Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure WisdomTree Japan's etf current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess WisdomTree Japan SmallCap upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.08) | |||
| Maximum Drawdown | 4.15 | |||
| Value At Risk | (1.34) | |||
| Potential Upside | 1.05 |
WisdomTree Japan Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for WisdomTree Japan's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as WisdomTree Japan's standard deviation. In reality, there are many statistical measures that can use WisdomTree Japan historical prices to predict the future WisdomTree Japan's volatility.| Risk Adjusted Performance | (0.01) | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.08) | |||
| Treynor Ratio | (0.90) |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of WisdomTree Japan's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
WisdomTree Japan SmallCap Backtested Returns
WisdomTree Japan SmallCap shows Sharpe Ratio of -0.0142, which attests that the etf had a -0.0142% return per unit of risk over the last 3 months. WisdomTree Japan SmallCap exposes twenty-four different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please check out WisdomTree Japan's Mean Deviation of 0.6429, standard deviation of 0.8026, and Market Risk Adjusted Performance of (0.89) to validate the risk estimate we provide. The entity maintains a market beta of 0.0237, which attests to not very significant fluctuations relative to the market. As returns on the market increase, WisdomTree Japan's returns are expected to increase less than the market. However, during the bear market, the loss of holding WisdomTree Japan is expected to be smaller as well.
Auto-correlation | -0.61 |
Very good reverse predictability
WisdomTree Japan SmallCap has very good reverse predictability. Overlapping area represents the amount of predictability between WisdomTree Japan time series from 3rd of March 2024 to 2nd of April 2024 and 2nd of April 2024 to 2nd of May 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of WisdomTree Japan SmallCap price movement. The serial correlation of -0.61 indicates that roughly 61.0% of current WisdomTree Japan price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.61 | |
| Spearman Rank Test | -0.42 | |
| Residual Average | 0.0 | |
| Price Variance | 1.04 |
WisdomTree Japan SmallCap lagged returns against current returns
Autocorrelation, which is WisdomTree Japan etf's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting WisdomTree Japan's etf expected returns. We can calculate the autocorrelation of WisdomTree Japan returns to help us make a trade decision. For example, suppose you find that WisdomTree Japan has exhibited high autocorrelation historically, and you observe that the etf is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
WisdomTree Japan regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If WisdomTree Japan etf is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if WisdomTree Japan etf is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in WisdomTree Japan etf over time.
Current vs Lagged Prices |
| Timeline |
WisdomTree Japan Lagged Returns
When evaluating WisdomTree Japan's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of WisdomTree Japan etf have on its future price. WisdomTree Japan autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, WisdomTree Japan autocorrelation shows the relationship between WisdomTree Japan etf current value and its past values and can show if there is a momentum factor associated with investing in WisdomTree Japan SmallCap.
Regressed Prices |
| Timeline |
Pair Trading with WisdomTree Japan
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if WisdomTree Japan position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in WisdomTree Japan will appreciate offsetting losses from the drop in the long position's value.Moving together with WisdomTree Etf
| 0.91 | EWJ | iShares MSCI Japan | PairCorr |
| 0.93 | BBJP | JPMorgan BetaBuilders Low Volatility | PairCorr |
| 0.61 | DXJ | WisdomTree Japan Hedged | PairCorr |
| 0.93 | FLJP | Franklin FTSE Japan | PairCorr |
| 0.69 | HEWJ | iShares Currency Hedged | PairCorr |
The ability to find closely correlated positions to WisdomTree Japan could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace WisdomTree Japan when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back WisdomTree Japan - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling WisdomTree Japan SmallCap to buy it.
The correlation of WisdomTree Japan is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as WisdomTree Japan moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if WisdomTree Japan SmallCap moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for WisdomTree Japan can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out WisdomTree Japan Correlation, WisdomTree Japan Volatility and WisdomTree Japan Alpha and Beta module to complement your research on WisdomTree Japan. Note that the WisdomTree Japan SmallCap information on this page should be used as a complementary analysis to other WisdomTree Japan'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 the Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
WisdomTree Japan technical etf analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, etf market cycles, or different charting patterns.