RELIANCE ETF PSU BANKBEES delivered stellar performance today. It gained +0.9% to close at 347.18. During the last week it lost -0.22% and saw a maximum drawdown of -2.24% before bouncing back.
Buy-and-Hold investors in PSUBNKBEES experienced a maximum drawdown of -6.22% over the last three months. It gained +16.31% during this strong up 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 +5.69%.
PSUBNKBEES returned losses on 51% days in the last three months. During this time, it delivered on average +0.26% per day. It delivered it's best daily return of +7.88%, during this period, on Monday, 29 Oct, 2018. There was initially a bearish trend during this period which started on 22 Oct, 2018 and went on till 26 Oct, 2018. The trend delivered -4.19% losses to investors. This was followed by a bullish trend that started on 29 Oct, 2018 and ended on 1 Nov, 2018. This bullish trend delivered +13.76% to investors.
PSUBNKBEES had 7 profitable and 5 loss making months over the last year. PSUBNKBEES was profitable in more months than NIFTY-50 index. PSUBNKBEES was also a more risky investment than NIFTY-50 index as it's worst month in the last year, Sep 2018, returned -18.29% compared to -6.42% returned by NIFTY-50 index in Sep 2018. PSUBNKBEES 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 +11.67%. It is interesting to note that both PSUBNKBEES and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.
Making money from enforcing patents is no more wrong than investing in preferred stock.
-- Nathan Myhrvold
PSUBNKBEES is becoming more volatile overall. In comparison, the NIFTY-50 index is seeing a fall in volatility. During the last three months, there was a significant surge in PSUBNKBEES's volatility from 14 Jan, 2019 to 16 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 PSUBNKBEES has significant negative skewness in it's return distribution. This indicates that PSUBNKBEES is very risky for short-term investment and can significantly underperform for long durations.
NIFTY-50 index has more chance of extreme outcomes than PSUBNKBEES. Therefore, NIFTY-50 must receive a lower allocation than PSUBNKBEES in your portfolio. NIFTY-50 index usually has shorter drawdown period than PSUBNKBEES.
On a general note (since you are interested in PSUBNKBEES), if you are an investor in SRIPIPES, you need to be extra careful (consider limiting your exposure or diversifying) as it is extremely unpredictable and therefore risky.
... 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