APTECHT investors re-evaluating their investment strategy

APTECHT showed weakness today. On a longer term basis, investors in APTECH LIMITED made +0.15% per day. Tuesday's performance of -0.77% was a underperformance compared to it's daily average.

[Themes containing APTECHT]

Buy-and-Hold investors in APTECHT experienced a maximum drawdown of -10.98% over the last three months. It increased by +28.68% during this strong bullish trending period. There were both Long and Short signals during this period, while the long signals were significantly more profitable than the short signals. The net profit from Long signals was +8.31%.

Trend

Monthly Performance

Alpha (outperformance)

Heatmap

Volatility

Return distribution

APTECHT has been outperforming the NIFTY-50 index in recent time. It showed significant outperformance (compared to the NIFTY-50 index) from 11 May, 2016 to 23 Nov, 2017. Over the last 3 years and 1 month, APTECHT outperformed the NIFTY-50 index on 46% days. Which indicates that on days APTECHT outperforms the NIFTY-50 index, it's performance is marginally better than on the days it underperforms the NIFTY-50 index.

During the last three months APTECHT was mostly profitable and delivered on average +0.47% per day. It's best return during this period (of +19.81%) was on Wednesday, 12 Dec, 2018. While it's worst loss in the same period (of -5.46%) was on Thursday, 6 Dec, 2018. The longest stort-term trend during this period was 5 profitable days, which started on 29 Oct, 2018 and went on till 2 Nov, 2018. This bullish trend returned +10.75% to investors.

During the last year APTECHT had 8 profitable months and 4 loss making months. APTECHT returned profits in more months than NIFTY-50 index. APTECHT was also a more risky investment than NIFTY-50 index as it's worst month in the last year, Sep 2018, returned -27.3% compared to -6.42% returned by NIFTY-50 index in Sep 2018. APTECHT had a longer winning streak of profitable months than NIFTY-50 index. It went up in 4 straight months (from Oct 2018 to Jan 2019) during which period it delivered +27.37%. It is interesting to note that both APTECHT and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.

"Everything is always feasible if you run a corporate finance exercise: you can always try to come out with a justification on how things could work. But the real issue is to say how do you translate that into practice.

APTECHT 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 fall in APTECHT's volatility from 23 Oct, 2018 to 21 Nov, 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 APTECHT has significant negative skewness in it's return distribution. This indicates that APTECHT is very risky for short-term investment and can significantly underperform for long durations.

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

On a general note (since you are interested in APTECHT), two instruments that deserve special mention are ~CHEMICALS and NIFTY-GS-15YRPLUS. They have significantly outperformed the overall market.