Investment Themes
Low volatility can be measured in two ways. The first is standard deviation, which measures the volatility of each stock in isolation, and the second is beta, which measures the volatility and correlation of a stock relative to the market as a whole. The market has a beta of 1, so a stock with a beta below 1 is considered less volatile than the market, and vice versa for a stock with a beta above 1.
Below are the top-rated low-volatility stocks based on a volatility composite. Many managers have adopted this strategy, which consists of beating the markets in contractionary (bearish) phases and rising in line with the market in expansionary (bullish) phases. This may seem counter-intuitive to many investors, but stocks that are less volatile than their peers have historically produced comparable or superior returns. This means that, on a risk-adjusted basis, low-volatility stocks have been superior investments.
Our selection
| Financials | Other Banks | 237B | +32.53% | ||
| Financials | Other Banks | 165B | +31.67% | ||
| Financials | Other Banks | 102B | +46.51% | ||
| Technology | Other Semiconductors | 1,897B | +53.87% | ||
| Consumer Non-Cyclical | Other Non-Alcoholic Beverages | 399B | +31.84% | ||
| Financials | Other Banks | 204B | +35.98% | ||
| Financials | Other Banks | 32.44B | +108.44% | ||
| Industrials | Integrated Logistics Operators | 32.69B | +35.01% | ||
| Financials | Other Banks | 310B | +16.53% | ||
| Financials | Other Banks | 151B | +23.55% | ||
| Financials | Other Banks | 311B | +34.87% | ||
| Healthcare | Other Healthcare Facilities & Services | 26.61B | +40.38% | ||
| Financials | Other Banks | 67.27B | +35.04% | ||
| Healthcare | Other Pharmaceuticals | 635B | +28.53% | ||
| Industrials | Security Services | 17.28B | +22.91% | ||
| Basic Materials | Other Specialty Chemicals | 15.62B | +46.49% | ||
| Industrials | Railway Freight Operators | 174B | +27.52% | ||
| Utilities | Other Electric Utilities | 159B | +19.31% | ||
| Financials | Other Financial & Commodity Market Operators | 17.36B | +22.41% | ||
| Technology | Other Communications & Networking | 420B | +42.54% | ||
| Financials | Wealth Management | 12.17B | +26.46% | ||
| Industrials | Other Electrical Components & Equipment | 55.03B | +19.15% | ||
| Industrials | Other Air Freight & Logistics | 25.51B | +32.64% | ||
| Technology | Other IT Services & Consulting | 6.55B | -21.98% | ||
| Consumer Cyclical | Automotive Parts & Accessories Retailers | 51.77B | -5.51% | ||
| Consumer Non-Cyclical | Other Tobacco | 311B | +26.35% | ||
| Basic Materials | Other Specialty Chemicals | 6.8B | +34.95% | ||
| Financials | Other Banks | 18.68B | +44.05% | ||
| Energy | Other Oil & Gas Refining and Marketing | 753B | +52.67% | ||
| Basic Materials | Other Commodity Chemicals | 125B | +20.28% | ||
| Consumer Non-Cyclical | Other Food Processing | 44.84B | -19.38% | ||
| Energy | Other Oil & Gas Transportation Services | 87.7B | +19.56% | ||
| Healthcare | Medical & Diagnostic Laboratories | 26.68B | +31.50% | ||
| Technology | Other Wireless Telecommunications Services | 69.58B | +5.96% | ||
| Consumer Cyclical | Automotive Parts & Accessories Retailers | 72.74B | -0.49% | ||
| Industrials | Other Electrical Components & Equipment | 142B | +17.17% | ||
| Technology | Other IT Services & Consulting | 26.94B | +26.52% | ||
| Real Estate | Other Real Estate Development & Operations | 26.81B | -20.71% | ||
| Consumer Non-Cyclical | Other Food Processing | 81.43B | +17.16% | ||
| Technology | Other Wireless Telecommunications Services | 12.37B | +22.58% | ||
| Healthcare | Other Pharmaceuticals | 126B | +13.57% | ||
| Technology | Electronic Component | 183B | +12.61% | ||
| Industrials | Other Aerospace & Defense | 24.89B | +20.90% | ||
| Utilities | Other Electric Utilities | 19.47B | +16.49% | ||
| Healthcare | Other Pharmaceuticals | 505B | +25.55% | ||
| Healthcare | Biopharmaceuticals | 23.45B | +14.78% | ||
| Healthcare | Other Medical Equipment, Supplies & Distribution | 13.08B | +31.79% | ||
| Healthcare | Other Pharmaceuticals | 295B | +16.20% | ||
| Real Estate | Other Specialized REITs | 63.95B | +11.89% | ||
| Healthcare | Other Pharmaceuticals | 1,135B | +18.74% | ||
| Basic Materials | Industrial Gas | 235B | +19.62% | ||
| Healthcare | Other Managed Healthcare | 95.05B | +23.48% | ||
| Healthcare | Other Managed Healthcare | 375B | +24.81% | ||
| Financials | Other Banks | 22.57B | +4.19% | ||
| Basic Materials | Integrated Mining | 143B | +4.34% | ||
| Healthcare | Other Pharmaceuticals | 133B | +12.99% | ||
| Technology | Enterprise Software | 382B | -34.84% | ||
| Technology | Other Integrated Telecommunications Services | 49.34B | +14.50% | ||
| Healthcare | Other Pharmaceuticals | 193B | +29.02% | ||
| Technology | Other Wireless Telecommunications Services | 29.59B | +7.99% | ||
| Industrials | Other Construction & Engineering | 9.28B | +12.41% | ||
| Industrials | Diversified Industrial Goods Wholesale | 101B | +20.03% | ||
| Utilities | Other Electric Utilities | 12.83B | +19.16% | ||
| Technology | Wireless Telecom | 72.57B | +10.52% | ||
| Industrials | Transaction & Payment Services | 749B | +15.23% | ||
| Industrials | Diversified Industrial Goods Wholesale | 110B | +36.92% | ||
| Healthcare | Other Pharmaceuticals | 71.3B | -16.33% | ||
| Technology | Other Communications & Networking | 79.74B | +25.89% | ||
| Real Estate | Industrial REITs | 5.22B | -13.02% | ||
| Healthcare | Other Pharmaceuticals | 266B | -6.92% | ||
| Real Estate | Self-Storage REITs | 9.04B | +11.66% | ||
News of the components
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