Vanguard Total Beta vs. One Year Return

VUS Etf  CAD 103.59  0.99  0.96%   
Taking into consideration Vanguard Total's profitability measurements, Vanguard Total Market may not be well positioned to generate adequate gross income at the present time. It has a very high likelihood of underperforming in January. Profitability indicators assess Vanguard Total's ability to earn profits and add value for shareholders.
For Vanguard Total profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Vanguard Total to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Vanguard Total Market utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Vanguard Total's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Vanguard Total Market 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 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.

Vanguard Total Market One Year Return vs. Beta Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Vanguard Total's current stock value. Our valuation model uses many indicators to compare Vanguard Total value to that of its competitors to determine the firm's financial worth.
Vanguard Total Market is rated fourth in beta as compared to similar ETFs. It is rated below average in one year return as compared to similar ETFs reporting about  21.02  of One Year Return per Beta. Comparative valuation analysis is a catch-all model that can be used if you cannot value Vanguard Total by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Vanguard Total's Etf. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.

Vanguard One Year Return vs. Beta

Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.

Vanguard Total

Beta

 = 

Covariance

Variance

 = 
1.18
In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
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.

Vanguard Total

One Year Return

 = 

(Mean of Monthly Returns - 1)

X

100%

 = 
24.80 %
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.

Vanguard One Year Return Comparison

Vanguard Total is rated third in one year return as compared to similar ETFs.

Beta Analysis

As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Vanguard Total will likely underperform.

Vanguard Total Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Vanguard Total, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Vanguard Total will eventually generate negative long term returns. The profitability progress is the general direction of Vanguard Total's change in net profit over the period of time. It can combine multiple indicators of Vanguard Total, 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 ETF seeks to track, to the extent reasonably possible and before fees and expenses, the performance of a broad U.S. equity index that measures the investment return of primarily large-capitalization U.S. stocks, which Index is hedged to the Canadian dollar. VANGUARD is traded on Toronto Stock Exchange in Canada.

Vanguard Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Vanguard Total. 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 Vanguard Total 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 Vanguard Total's important profitability drivers and their relationship over time.

Use Vanguard Total 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 Vanguard Total 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 Vanguard Total will appreciate offsetting losses from the drop in the long position's value.

Vanguard Total Pair Trading

Vanguard Total Market Pair Trading Analysis

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

In addition to having Vanguard Total 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.

Did You Try This Idea?

Run Millennials Best Thematic Idea Now

Millennials Best
Millennials Best Theme
Companies or funds that provide products or services that appeal to the generation of millennials and that are expected to experience growth in the next 5 years. The millennial generation usually refers to the demographic population that were born between 1980 to 2000. The Millennials Best theme has 77 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 Millennials Best Theme or any other thematic opportunities.
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Other Information on Investing in Vanguard Etf

To fully project Vanguard Total's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Vanguard Total Market 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 Vanguard Total's income statement, its balance sheet, and the statement of cash flows.
Potential Vanguard Total investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Vanguard Total investors may work on each financial statement separately, they are all related. The changes in Vanguard Total's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Vanguard Total'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.