FDC LIMITED trailed the broader market today. It lost -0.12% to close at 171.75. It's recent 5 day performance has been 0.0%, +0.06%, +0.12%, -0.61% and -0.8%.
FDC showed a strong down trend over the last 3 months. During this period FDC lost -18.83% and saw a maximum drawdown of -18.88%. There was a short signal during this period which returned +18.83%.
FDC has been underperforming the NIFTY-50 index in recent time, after having outperformed till 7 Mar, 2018. FDC is currently at it's worst performance to the NIFTY-50 index and therefore does not make a good investment candidate. Over the last 3 years and 1 month, FDC underperformed the NIFTY-50 index on 55% days.
FDC returned losses on 56% days in the last three months. During this time, it delivered on average -0.32% per day. It delivered it's worst daily return of -3.59%, during this period, on Friday, 7 Dec, 2018. There was initially a bullish trend during this period which started on 7 Nov, 2018 and went on till 13 Nov, 2018. The bullish trend returned +1.64% to investors. This was followed by a bearish trend that started on 19 Dec, 2018 and ended on 26 Dec, 2018. This bearish trend lost -6.07% of investor capital.
FDC had 3 profitable and 9 loss making months over the last year. During the last year, FDC underperformed NIFTY-50 index on monthly return basis. FDC significantly outperformed NIFTY-50 index in Feb 2018, when it returned +22.89% compared to +6.56% returned by NIFTY-50 index during it's best month in the last one year - Jul 2018. FDC had a longer winning streak of losing months than NIFTY-50 index. It went down in 5 straight months (from Sep 2018 to Jan 2019) during which period it delivered -32.16%. It is interesting to note that both FDC and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.
Wealth is the ability to fully experience life.
-- Henry David Thoreau
FDC is becoming less volatile overall. In comparison, the NIFTY-50 index is seeing a fall in volatility. During the last three months, there was a significant fall in FDC's volatility from 23 Oct, 2018 to 18 Jan, 2019. 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 FDC has significant negative skewness in it's return distribution. This indicates that FDC is very risky for short-term investment and can significantly underperform for long durations.
NIFTY-50 index has more chance of extreme outcomes than FDC. Therefore, NIFTY-50 must receive a lower allocation than FDC in your portfolio. NIFTY-50 index usually has shorter drawdown period than FDC.
... 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