MVL LIMITED ranked among the best performers today. It delivered +25.0% to close at 0.25. During the last week it delivered +25.0%.
Buy-and-Hold investors in MVL experienced a maximum drawdown of -20.0% over the last three months. It delivered 0.0% during this flat trending period. There were no long signals during this period. However, the short signal was not profitable and lost investors 0.0%.
MVL has been outperforming the NIFTY-50 index in recent time. It showed significant underperformance (compared to the NIFTY-50 index) from 26 Dec, 2016 to 29 Aug, 2018. Over the last 3 years and 1 month, MVL underperformed the NIFTY-50 index on 50% days. Which indicates that on days MVL underperforms the NIFTY-50 index, it's performance is marginally worse than on the days it outperforms the NIFTY-50 index.
During the last three months MVL delivered losses on 80% days. However, it still managed to end this period in a profit. It's best return during this period (of +25.0%) was on Friday, 26 Oct, 2018. While it's worst loss in the same period (of -20.0%) was on Thursday, 25 Oct, 2018. The longest stort-term trend during this period was 15 profitable days, which started on 26 Dec, 2018 and went on till 15 Jan, 2019. This bullish trend returned +25.0% to investors.
The last 12 months saw MVL's investors making profits in 3 months and incurring losses in 9 months. MVL was less consistent in delivering monthly returs than NIFTY-50 index. MVL was also a more risky investment than NIFTY-50 index as it's worst month in the last year, Mar 2018, returned -36.36% compared to -6.42% returned by NIFTY-50 index in Sep 2018. MVL had a longer winning streak of profitable months than NIFTY-50 index. It went up in 3 straight months (from Nov 2018 to Jan 2019) during which period it delivered +25.0%.
Wealth after all is a relative thing since he that has little and wants less is richer than he that has much and wants more.
-- Charles Caleb Colton
MVL is currently seeing overall increase in volatility. In comparison, the NIFTY-50 index is seeing decrease in volatility. 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 MVL 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.
MVL has more chance of extreme outcomes than the NIFTY-50 index. Therefore, MVL must receive a lower allocation than NIFTY-50 in your portfolio. NIFTY-50 index usually has shorter drawdown period than MVL.
On a general note (since you are interested in MVL), three instruments that are extremely volatile are IGARASHI, IEX and SRIPIPES. They must all be evaluated prudently and investors are better off avoiding them at the moment.
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