ABAN OFFSHORE LTD.

71.45 -1.66 (-2.32%) Sell

Prayers for ABAN investors as it delivered massive losses

13 min read

ABAN was among the worst performers today. On a longer term basis, investors in ABAN OFFSHORE LTD. made -0.17% per day. Tuesday's performance of -2.32% was a underperformance compared to it's daily average.

[Themes containing ABAN]

Buy-and-Hold investors in ABAN experienced a maximum drawdown of -20.24% over the last three months. It delivered -3.32% during this bearish trending period. There were no long signals during this period, where the short signal generated profits of +3.32% for investors.

Trend

ABAN has been underperforming the NIFTY-50 index in recent time. It showed significant underperformance (compared to the NIFTY-50 index) from 17 Oct, 2016 to 22 Jan, 2019. One must note that ABAN is currently at it's worst performance to the NIFTY-50 index which makes it a bad investment candidate. Over the last 3 years and 1 month, ABAN underperformed the NIFTY-50 index on 57% days.

During the last three months ABAN was mostly loss making and delivered on average -0.03% per day. It's best return during this period (of +7.93%) was on Tuesday, 11 Dec, 2018. While it's worst loss in the same period (of -3.83%) was on Wednesday, 14 Nov, 2018. The longest stort-term trend during this period was 8 profitable days, which started on 29 Oct, 2018 and went on till 7 Nov, 2018. This bullish trend returned +15.8% to investors.

The last 12 months saw ABAN's investors making profits in 4 months and incurring losses in 8 months. ABAN was less consistent in delivering monthly returs than NIFTY-50 index. ABAN was also a more risky investment than NIFTY-50 index as it's worst month in the last year, Sep 2018, returned -28.74% compared to -6.42% returned by NIFTY-50 index in Sep 2018. ABAN and NIFTY-50 index, both had periods of 2 consecutive profitable months. It is interesting to note that both ABAN and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.

"Hats have been my thing pretty much my whole life but finance has not. I would go to the corner store and buy really cheap baseball style caps and wear those to school.

ABAN is currently seeing overall fall in volatility. In comparison, the NIFTY-50 index is seeing decrease in volatility. During the last three months, there was a significant surge in ABAN's volatility from 23 Oct, 2018 to 11 Dec, 2018. While there was a significant fall in the NIFTY-50 index's volatility from 31 Oct, 2018 to 5 Dec, 2018.

Advanced/professional short-term investors should note that ABAN has significant negative skewness in it's return distribution. This indicates that ABAN is very risky for short-term investment and can significantly underperform for long durations.

NIFTY-50 index has more chance of extreme outcomes than ABAN. Therefore, NIFTY-50 must receive a lower allocation than ABAN in your portfolio. NIFTY-50 index usually has shorter drawdown period than ABAN.

On a general note (since you are interested in ABAN), three instruments that deserve special mention are BRITANNIA, ~MUTHOOTGRP and BAJFINANCE. They have all outperformed the market and must be closely watched for investment opportunities.

Want to improve your Portfolio's performance?

Spotalpha's Portfolio optimizer is all you need to improve your returns and reduce your risk.
Optimize Portfolio NOW
If you liked what you read here ...

... we have a small favour to ask. Help us bring the power of algorithmic trading strategies to individual investors.

All content in this article was automatically generated by algorithms. This ensures that there are no human biases in the analysis provided. This approach to investing is not new and has been around for more than three decades. Yet, it has been available to only the most affluent or elite investors leaving individual investors to trade on emotions (such as fear and greed), intuition and poor analysis from third-parties. We want to change this.

We want to empower investors with all the tools and analysis required by them to make a rational investment decision.

If you found Spotalpha useful, consider making a contribution. For as little as $5 you can support our efforts and it takes less than a minute. Thank you. Contribute
Share with friends   WhatsApp   Facebook   Twitter