INVENTURE GRO & SEC LTD significantly underperformed today. It fell by -1.71% to close at 14.4. It's recent 5 day performance has been +6.93%, +1.11%, -0.37%, -3.55% and -0.35%.
INVENTURE showed a bullish trend over the last 3 months. During this period INVENTURE increased by +2.86% and saw a maximum drawdown of -13.16%. It has been unusually choppy during this period. Long term investors are better off avoiding investing in INVENTURE till volatility reduces and a clear trend emerges.
INVENTURE has been outperforming the NIFTY-50 index in recent time. It showed significant underperformance (compared to the NIFTY-50 index) from 25 May, 2016 to 18 Oct, 2017. Over the last 3 years and 1 month, INVENTURE underperformed the NIFTY-50 index on 52% days.
During the last three months INVENTURE delivered losses on 58% days. However, it still managed to end this period in a profit. It's best return during this period (of +6.93%) was on Tuesday, 22 Jan, 2019. While it's worst loss in the same period (of -4.01%) was on Tuesday, 30 Oct, 2018. The longest stort-term trends during this period were 4 profitable and losing days. The bullish trend (which returned +8.09%) started on 12 Dec, 2018 and went on till 17 Dec, 2018 while the bearish trend (which returned -3.83%) started on 31 Dec, 2018 and went on till 3 Jan, 2019.
During the last year INVENTURE had 5 profitable months and 7 loss making months. INVENTURE returned profits in more months than NIFTY-50 index. INVENTURE significantly outperformed NIFTY-50 index in Feb 2018, when it returned +28.01% compared to +6.56% returned by NIFTY-50 index during it's best month in the last one year - Jul 2018. INVENTURE had a longer winning streak of profitable months than NIFTY-50 index. It went up in 3 straight months (from Feb 2018 to Apr 2018) during which period it delivered +30.28%.
Money is not the only answer, but it makes a difference.
-- Barack Obama
INVENTURE is currently seeing overall increase in volatility. In comparison, the NIFTY-50 index is seeing decrease in volatility. During the last three months, there was a significant surge in INVENTURE's volatility from 4 Jan, 2019 to 23 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 INVENTURE has negative skewness in it's return distribution. This indicates that investors may need to stay invested through long periods of drawdown before expecting a recovery.
NIFTY-50 index has more chance of extreme outcomes than INVENTURE. Therefore, NIFTY-50 must receive a lower allocation than INVENTURE in your portfolio. NIFTY-50 index usually has shorter drawdown period than INVENTURE.
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