Templeton World One Year Return vs. Price To Book

TEMWX Fund  USD 16.84  0.13  0.77%   
Based on the measurements of profitability obtained from Templeton World's financial statements, Templeton World Fund may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess Templeton World's ability to earn profits and add value for shareholders.
For Templeton World profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Templeton World to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Templeton World Fund utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Templeton World's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Templeton World Fund over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between Templeton World's value and its price as these two are different measures arrived at by different means. Investors typically determine if Templeton World is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Templeton World'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.

Templeton World Price To Book vs. One Year Return Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Templeton World's current stock value. Our valuation model uses many indicators to compare Templeton World value to that of its competitors to determine the firm's financial worth.
Templeton World Fund is rated top fund in one year return among similar funds. It also is rated top fund in price to book among similar funds fabricating about  0.05  of Price To Book per One Year Return. The ratio of One Year Return to Price To Book for Templeton World Fund is roughly  19.80 . The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Templeton World's earnings, one of the primary drivers of an investment's value.

Templeton Price To Book vs. One Year Return

One Year Return is the annualized return generated from holding a security for exactly 12 months. The measure is considered to be good short-term measures of fund performance. In other words, it represents the capital appreciation of fund investments over the last year. However when the market is volatile such as in recent years, One Year Return measure can be misleading.

Templeton World

One Year Return

 = 

(Mean of Monthly Returns - 1)

X

100%

 = 
21.78 %
Although One Year Fund Return indicator can give a sense of overall fund short-term potential, it is recommended to look at mid and long term return measure before selecting a particular fund or ETF. The great way to validate fund short-term performance is to compare it with other similar funds or ETFs for the same 12 months interval.
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.

Templeton World

P/B

 = 

MV Per Share

BV Per Share

 = 
1.10 X
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.

Templeton Price To Book Comparison

Templeton World is currently under evaluation in price to book among similar funds.

Templeton World Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Templeton World, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Templeton World will eventually generate negative long term returns. The profitability progress is the general direction of Templeton World's change in net profit over the period of time. It can combine multiple indicators of Templeton World, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
The fund invests predominantly in the equity securities of companies located anywhere in the world, including developing markets. Under normal circumstances, it will invest in issuers located in at least three different countries . The equity securities in which the fund invests are primarily common stock, and may include small and mid capitalization companies. Although the manager will search for investments across a large number of regions, countries and sectors, from time to time, based on economic conditions, it may have significant positions in particular regions, countries or sectors.

Templeton Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Templeton World. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Templeton World position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Templeton World's important profitability drivers and their relationship over time.

Use Templeton World in pair-trading

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 Templeton World 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 Templeton World will appreciate offsetting losses from the drop in the long position's value.

Templeton World Pair Trading

Templeton World Fund Pair Trading Analysis

The ability to find closely correlated positions to Templeton World could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Templeton World 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 Templeton World - 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 Templeton World Fund to buy it.
The correlation of Templeton World 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 Templeton World moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Templeton World 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 Templeton World 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.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Templeton World position

In addition to having Templeton World in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Volatility ETFs
Volatility ETFs Theme
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Volatility ETFs theme has 27 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Volatility ETFs Theme or any other thematic opportunities.
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Other Information on Investing in Templeton Mutual Fund

To fully project Templeton World's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Templeton World at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Templeton World's income statement, its balance sheet, and the statement of cash flows.
Potential Templeton World investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Templeton World investors may work on each financial statement separately, they are all related. The changes in Templeton World's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Templeton World's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.
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