BRIGADE investors herd to book profits while the going is good

BRIGADE ranked among the worst performers today. On a longer term basis, investors in BRIGADE ENTER. LTD made +0.09% per day. Friday's performance of -1.84% was a underperformance compared to it's daily average.

[Themes containing BRIGADE]

BRIGADE showed a strong bullish trend over the last 3 months. During this period BRIGADE surged by +11.04% and saw a maximum drawdown of -15.76%. It has been unusually choppy during this period. Long term investors are better off avoiding investing in BRIGADE till volatility reduces and a clear trend emerges.

Trend

Monthly Performance

Alpha (outperformance)

Heatmap

Volatility

Return distribution

BRIGADE has been outperforming the NIFTY-50 index in recent time. It showed significant underperformance (compared to the NIFTY-50 index) from 22 Dec, 2017 to 31 Oct, 2018. Over the last 3 years and 1 month, BRIGADE outperformed the NIFTY-50 index on 46% days. Which indicates that on days BRIGADE outperforms the NIFTY-50 index, it's performance is marginally better than on the days it underperforms the NIFTY-50 index.

BRIGADE returned losses on 54% days in the last three months. During this time, it delivered on average +0.21% per day. It delivered it's best daily return of +13.9%, during this period, on Wednesday, 26 Dec, 2018. The longest stort-term trend during this period was 6 profitable days, which started on 13 Nov, 2018 and went on till 20 Nov, 2018. This bullish trend returned +7.86% to investors.

The last 12 months saw BRIGADE's investors making profits in 4 months and incurring losses in 8 months. BRIGADE was less consistent in delivering monthly returs than NIFTY-50 index. BRIGADE significantly outperformed NIFTY-50 index in Nov 2018, when it returned +23.06% compared to +6.56% returned by NIFTY-50 index during it's best month in the last one year - Jul 2018. BRIGADE had a longer winning streak of losing months than NIFTY-50 index. It went down in 3 straight months (from May 2018 to Jul 2018) during which period it delivered -32.59%. It is interesting to note that both BRIGADE and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.

Try to save something while your salary is small; It's impossible to save after you begin to earn more.
-- Jack Benny

BRIGADE 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 BRIGADE's volatility from 22 Oct, 2018 to 1 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 BRIGADE has significant negative skewness in it's return distribution. This indicates that BRIGADE is very risky for short-term investment and can significantly underperform for long durations.

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

Based on your interest in BRIGADE you may find it interesting to know that TCS is a large cap that has shown remarkable performance and deserves to be on every investors' watchlist.