Wasatch Small Cap Fund Volatility

WAAEX Fund  USD 34.90  -0.32  -0.91%   
Wasatch Small Cap shows a minimal volatility profile over the current evaluation window. At this stage, Wasatch Small Cap shows a Sharpe Ratio (Efficiency) of -0.11, reflecting negative risk-adjusted performance over the last 3 months. We identified 21 technical indicators influencing current risk dynamics.

Sharpe Ratio = -0.1142

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Negative ReturnsWAAEX
Wasatch Small Cap's financial profile includes a Market Risk Adjusted Performance of -0.1%, a Risk of 1.16, and a Risk Adjusted Performance of -0.1%. Based on recent moving average trends, WASATCH SMALL has not achieved its theoretical performance maximum. Pairing it with a well-diversified portfolio structure may improve overall efficiency.
Key indicators related to WASATCH SMALL's volatility include:
90 Days Market Risk
Chance Of Distress
90 Days Economic Sensitivity
The volatility profile of WASATCH SMALL determines how much WASATCH SMALL's price can move in either direction over a given time frame. Investors use volatility estimates to size positions, set stop-loss levels, and price the cost of hedging WASATCH SMALL exposure.
  

Volatility Strategy

Volatility in Wasatch Small Cap reflects changing market conditions that influence diversification outcomes. Current statistical measures show total volatility near 1.16% with a beta coefficient of 1.2, indicating sensitivity relative to the broader market benchmark. Risk-adjusted efficiency, represented by a Sharpe ratio of -0.11, evaluates return per unit of total risk. An alpha value of -0.0293 reflects performance relative to systematic market exposure. Expected return estimates near -0.13% are derived from historical distribution modeling and help frame forward-looking return assumptions within a portfolio context. Volatility effects depend on underlying market structure and exposure characteristics.

Main indicators related to WASATCH SMALL's market risk premium analysis include:

 Beta
1.2
 Alpha
-0.03
 Risk
1.16
 Sharpe Ratio
-0.11
 Expected Return
-0.13

Moving together with WASATCH Mutual Fund

  0.66WAESX Wasatch Emerging MarketsPairCorr
  0.94WAGSX Wasatch Global SelectPairCorr
  0.67WAGOX Wasatch GlobalPairCorr
  0.91WAMCX Wasatch Ultra GrowthPairCorr
  0.91WGMCX Wasatch Ultra GrowthPairCorr
  0.79WGROX Wasatch E GrowthPairCorr
  0.92WGUSX Wasatch Select InstPairCorr
  0.8WIGRX Wasatch E GrowthPairCorr
  0.67WIGOX Wasatch GlobalPairCorr
  0.68WMICX Wasatch Micro CapPairCorr
  0.65VSGAX Vanguard Small CapPairCorr
  0.65VSGIX Vanguard Small CapPairCorr
  0.65VISGX Vanguard Small CapPairCorr
  0.69VEXPX Vanguard ExplorerPairCorr
  0.69VEXRX Vanguard ExplorerPairCorr
  0.69JGMIX Janus TritonPairCorr
  0.69JGMRX Janus TritonPairCorr

Sensitivity To Market

The beta coefficient of 1.2 for Wasatch Small Cap measures how its returns respond to broader market changes. In regression terms, beta captures the slope between asset returns and index returns. Historical volatility is currently near 1.16%.Wasatch Small Cap return patterns over the selected horizon reflect a minimal level of variability, based on dispersion and downside-focused statistics. Fund volatility reflects the combined movement of its underlying holdings and the fund’s asset mix.
Check current 90 days WASATCH SMALL correlation with market (Dow Jones Industrial)
α-0.0293   β1.20
3 Months Beta |Analyze Wasatch Small Cap Demand Trend
Check current 90 days WASATCH SMALL correlation with market (Dow Jones Industrial)

Downside Risk

WASATCH standard deviation quantifies the typical daily price movement relative to its average over your selected period. Volatile instruments show high standard deviation; stable instruments show low.
Standard Deviation
    
  1.16  
The difference between upside risk and downside risk is meaningful for WASATCH SMALL investors. Upside risk is measured by WASATCH SMALL's standard deviation, while downside risk is captured by semi-deviation or downside deviation of WASATCH SMALL's daily returns. Wasatch Small Cap's financial profile includes a Maximum Drawdown of 6.09.

Mutual Fund Volatility Analysis

When measuring the risk of WASATCH SMALL mutual fund, volatility is a critical metric. It indicates how dramatically WASATCH SMALL's price swings over a specific time horizon. A mutual fund with high volatility can produce outsized gains or losses compared to a low-volatility alternative.
Transformation
This analysis covers sixty-one data points across the selected time horizon. Wasatch Small Cap Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input.

Projected Return Density Against Market

Assuming a 90-day horizon WASATCH SMALL has a beta of 1.196 . This entails as the benchmark fluctuates upward, the fund is expected to outperform it on average. However, if the benchmark returns are projected to be negative, WASATCH SMALL will likely underperform.
WASATCH SMALL carries exposure to broad market movements as well as company or sector-specific developments. While portfolio diversification can reduce asset-level risk, systematic volatility cannot be avoided. Standard deviation and beta quantify this exposure. Wasatch Small Cap's financial profile includes a Mean Deviation of 0.90 and a Standard Deviation of 1.20.
Wasatch Small Cap has a negative alpha, implying that the risk taken by holding this instrument is not justified. The fund is significantly underperforming the Dow Jones Industrial.
   Predicted Return Density   
       Returns  
WASATCH SMALL's volatility is measured either by using standard deviation or beta. Standard deviation reflects how much WASATCH SMALL's price typically deviates from the mean over a given period.

What Drives WASATCH SMALL's Price Volatility?

Several factors can influence WASATCH SMALL's market volatility:

Industry Dynamics

Sector-level events can directly affect WASATCH SMALL's price stability. Regulatory changes, supply disruptions, or shifts in demand within WASATCH SMALL's industry may create volatility even when the broader market is calm. Competitive dynamics and industry consolidation can also amplify price swings for companies like WASATCH SMALL.

Political and Economic Environment

Macroeconomic conditions and policy decisions shape the backdrop for WASATCH SMALL's price movements. Interest rate changes, trade policy shifts, and fiscal legislation can all alter investor sentiment toward WASATCH SMALL. During periods of economic expansion, WASATCH SMALL's price tends to benefit from broader market optimism, while downturns can amplify selling pressure.

WASATCH SMALL's Company-Specific Factors

Volatility can also stem from events unique to WASATCH SMALL. Earnings surprises, management changes, product launches, or legal developments may trigger sharp price reactions in WASATCH SMALL's stock. Conversely, operational setbacks, guidance revisions, or data breaches can weigh on WASATCH SMALL's share price.

Mutual Fund Risk Measures

Assuming a 90-day horizon the coefficient of variation of WASATCH SMALL is -875.44. The daily returns are distributed with a variance of 1.35 and standard deviation of 1.16. The mean deviation of Wasatch Small Cap is currently at 0.86. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.8
α
Alpha over Dow Jones
-0.0293
β
Beta against Dow Jones1.20
σ
Overall volatility
1.16
Ir
Information ratio -0.0384

Mutual Fund Return Volatility

Volatility for WASATCH SMALL quantifies the day-to-day dispersion of fund returns around their historical average. The fund carries 1.1632% return volatility across the 90-day horizon. As a benchmark, Dow Jones Industrial has volatility of 0.8255% on return distribution over a 90-day investment horizon.
 Performance 
       Timeline  

Related Correlations Analysis


Correlation Matchups

Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.

High positive correlations

CDHIXCDHRX
CDHRXJOEAX
CDHIXJOEAX
CDHAXCVMAX
CDHAXCDHRX
CDHAXCDHIX
  

High negative correlations

CVMAXNEFSX
CDHAXNEFSX
CDHIXNEFSX
CDHRXNEFSX
NEFSXJOEAX
NEFSXPACIX

Risk-Adjusted Indicators

WASATCH SMALL Mutual Fund may look attractive on headline returns alone, but deeper analysis often tells a different story. A thorough review of WASATCH SMALL's risk-adjusted indicators provides a clearer picture of whether returns are being earned efficiently. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.

Risk Metrics, Assumptions & Methodology

Volatility for WASATCH SMALL reflects NAV dispersion and exposure stability across disclosure periods. Standard deviation provides a baseline measure of variability magnitude.

This section for Wasatch Small Cap is built from fund disclosures and market reference feeds, with harmonization applied to align reporting definitions. Values may update on different source schedules. Volatility and downside metrics are estimated from historical return dispersion.

This content is curated and reviewed by:

Michael Smolkin - Member of Macroaxis Board of Directors
Last reviewed on February 23rd, 2026

WASATCH SMALL Investment Opportunity

Wasatch Small Cap is about 1.4 times more volatile than Dow Jones Industrial based on recent return behavior. Investors typically want to know whether the additional volatility is buying them more upside or simply more noise.You can use Wasatch Small Cap to protect your portfolios against small market fluctuations. This directional read frames the latest price swing through a simple momentum and follow-through lens. It works best as a directional cue rather than as a standalone forecast. a moderate downward daily trend and can be a good diversifier. Check odds of WASATCH SMALL to be traded at $34.2 in 90 days.
Poor diversification
For the present investment horizon, the measured correlation between WAAEX and DJI stands at 0.68, or Poor diversification. This matters because lower overlap can improve diversification, while higher overlap leaves more of the same risk inside the portfolio.

WASATCH SMALL Additional Risk Indicators

Risk analysis around Wasatch Small Cap becomes more useful when investors review secondary indicators that can confirm, refine, or challenge the basic volatility picture. A disciplined risk review helps investors decide whether exposure should be maintained, reduced, or offset elsewhere in the portfolio.

WASATCH SMALL Suggested Diversification Pairs

Using WASATCH SMALL in a pair-trading setup can improve risk control because gains and losses are judged against a second position instead of against the market alone. Used properly, pair trading is less about prediction in isolation and more about identifying relative mispricing between related positions.
Risk reduction through pair trading is real but has limits - not every type of exposure can be offset by a second leg. WASATCH SMALL's exposure to overall market risk stays intact regardless of pairing. The value of a second leg lies in reducing WASATCH SMALL's idiosyncratic risk - the part that comes from company-level events rather than macro conditions.