Federated Hermes Conservative Fund Buy Hold or Sell Recommendation
| FHCOX Fund | USD 9.99 0.00 0.00% |
Assuming the 90 days horizon and your above-average risk tolerance, our recommendation regarding Federated Hermes Conservative is 'Sell'. Macroaxis provides Federated Hermes buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding FHCOX positions. The advice algorithm takes into account all of Federated Hermes' available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Federated Hermes' buy or sell advice are summarized below:
Real Value 9.88 | Hype Value 9.99 | Market Value 9.99 | Naive Value 9.98 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Federated Hermes Conservative given historical horizon and risk tolerance towards Federated Hermes. When Macroaxis issues a 'buy' or 'sell' recommendation for Federated Hermes Conservative, the advice is generated through an automated system that utilizes algorithms and statistical models.
Federated |
Execute Federated Hermes Buy or Sell Advice
The Federated recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Federated Hermes Conservative. Macroaxis does not own or have any residual interests in Federated Hermes Conservative or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Federated Hermes' advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Sell
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Analyst Consensus | Not Available | Details |
Federated Hermes Trading Alerts and Improvement Suggestions
| The fund retains about 72.63% of its assets under management (AUM) in cash |
Federated Hermes Returns Distribution Density
The distribution of Federated Hermes' historical returns is an attempt to chart the uncertainty of Federated Hermes' future price movements. The chart of the probability distribution of Federated Hermes daily returns describes the distribution of returns around its average expected value. We use Federated Hermes Conservative price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Federated Hermes returns is essential to provide solid investment advice for Federated Hermes.
| Mean Return | 0.02 | Value At Risk | -0.1 | Potential Upside | 0.10 | Standard Deviation | 0.10 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Federated Hermes historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Federated Hermes Greeks
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 Federated Hermes or Federated 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 Federated Hermes' price will be affected by overall mutual fund 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 Federated fund'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.
α | Alpha over NYSE Composite | 0.01 | |
β | Beta against NYSE Composite | -0.0041 | |
σ | Overall volatility | 0.08 | |
Ir | Information ratio | -0.13 |
Federated Hermes Volatility Alert
Federated Hermes Conservative exhibits very low volatility with skewness of 3.66 and kurtosis of 15.26. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Federated Hermes' mutual fund risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Federated Hermes' mutual fund 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.Federated Hermes Fundamentals Vs Peers
Comparing Federated Hermes' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Federated Hermes' direct or indirect competition across all of the common fundamentals between Federated Hermes and the related equities. This way, we can detect undervalued stocks with similar characteristics as Federated Hermes or determine the mutual funds which would be an excellent addition to an existing portfolio. Peer analysis of Federated Hermes' fundamental indicators could also be used in its relative valuation, which is a method of valuing Federated Hermes by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average |