Financial Select Five Year Return vs. Ten Year Return
| XLF Etf | USD 48.51 0.71 1.49% |
For Financial Select profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Financial Select to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Financial Select Sector utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Financial Select's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Financial Select Sector over time as well as its relative position and ranking within its peers.
Financial |
The market value of Financial Select Sector is measured differently than its book value, which is the value of Financial that is recorded on the company's balance sheet. Investors also form their own opinion of Financial Select's value that differs from its market value or its book value, called intrinsic value, which is Financial Select'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 Financial Select's market value can be influenced by many factors that don't directly affect Financial Select'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 Financial Select's value and its price as these two are different measures arrived at by different means. Investors typically determine if Financial Select is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Financial Select'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.
Financial Select Sector Ten Year Return vs. Five Year Return Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Financial Select's current stock value. Our valuation model uses many indicators to compare Financial Select value to that of its competitors to determine the firm's financial worth. Financial Select Sector is rated first in five year return as compared to similar ETFs. It is rated first in ten year return as compared to similar ETFs reporting about 0.77 of Ten Year Return per Five Year Return. The ratio of Five Year Return to Ten Year Return for Financial Select Sector is roughly 1.30 . Comparative valuation analysis is a catch-all technique that is used if you cannot value Financial Select by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.Financial Ten Year Return vs. Five Year Return
Five Year Return is considered one of the best measures to evaluate fund performance, especially from the mid and long term perspective. It shows the total annualized return generated from holding equity for the last five years and represents capital appreciation of the investment, including all dividends, losses, and capital gains distributions.
Financial Select |
| = | 11.60 % |
Although Five Year Returns can give a sense of overall investment potential, it is recommended to compare equity performance with similar assets for the same five year time interval. Similarly, comparing overall investment performance over the last five years with the appropriate market index is a great way to determine how this equity instrument will perform during unforeseen market fluctuations.
Ten Year Return shows the total annualized return generated from holding a fund for the last 10 years and represents fund's capital appreciation, including dividends losses and capital gains distributions. This return indicator is considered by many investors to be the ultimate measures of fund performance and can reflect the overall performance of the market or market segment it invests in.
Financial Select |
| = | 8.90 % |
Although Ten Year Fund Return indicator can give a sense of overall fund long-term potential, it is recommended to compare funds performances against other similar funds or market benchmarks for the same 10-year interval.
Financial Ten Year Return Comparison
Financial Select is currently under evaluation in ten year return as compared to similar ETFs.
Financial Select Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Financial Select, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Financial Select will eventually generate negative long term returns. The profitability progress is the general direction of Financial Select's change in net profit over the period of time. It can combine multiple indicators of Financial Select, 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 generally invests substantially all, but at least 95, of its total assets in the securities comprising the index. SP 500 is traded on NYSEARCA Exchange in the United States.
Financial Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Financial Select. 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 Financial Select 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 Financial Select's important profitability drivers and their relationship over time.
Use Financial Select 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 Financial Select 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 Financial Select will appreciate offsetting losses from the drop in the long position's value.Financial Select Pair Trading
Financial Select Sector Pair Trading Analysis
The ability to find closely correlated positions to Financial Select could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Financial Select 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 Financial Select - 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 Financial Select Sector to buy it.
The correlation of Financial Select 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 Financial Select moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Financial Select Sector 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 Financial Select 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.Use Investing Themes to Complement your Financial Select position
In addition to having Financial Select 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 Adviser Favorites Thematic Idea Now
Adviser Favorites
Financial advisors frequently recommend that individuals diversify their investment portfolios with a mix of different types of stocks. These can include blue-chip stocks, growth stocks, and dividend stocks. The Adviser Favorites theme has 17 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 Adviser Favorites Theme or any other thematic opportunities.
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To fully project Financial Select's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Financial Select Sector 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 Financial Select's income statement, its balance sheet, and the statement of cash flows.