The user agrees to assume complete and full responsibility for the outcomes of all of his/her investment decisions that he/she makes, including any direct, indirect, incidental, consequential, special, punitive or any other losses/damages if any that may be incurred by him/her. Detailed volatility calculation methodology is available Detailed return calculation methodology is available Data used for calculation of historical returns and other information is provided by exchange approved third party vendors and has neither been audited nor validated by the Company. Past performance does not guarantee future returns and performances of the portfolios are subject to market risk. Charts and performance numbers do not include the impact of transaction fee and other related costs. The content and data available on the website, including but not limited to index value, return numbers and rationale are for information and illustration purposes only. The examples and/or scurities quoted (if any) are for illustration only and are not recommendatory. Registration granted by SEBI, membership of BASL (in case of IAs) and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors. Read all the related documents carefully before investing. Investments in securities market are subject to market risks. Past performance does not guarantee future returns. Investors should understand that his/her investment decision is based on personal investment needs and risk tolerance, and performance information available on here is one amongst many other things that should be considered while making an investment decision. ![]() Investors are responsible for their investment decisions and are responsible to validate all the information used to make the investment decision. The information provided in this article is for educational and informational purposes only. The views expressed in this article are those of the author and do not necessarily reflect the views of Smallcase Technologies Private Limited (STPL) or any of its associates. You may have a look at similar stats for all models below. As a result, Mi EverGreen’s max drawdown is significantly lower at 18.7% compared to a higher 38.2% on CNX 200 index. While it’s benchmark, the CNX 200 spent about 86.4% in drawdowns, Mi EverGreen witnessed only 59.1% in drawdowns. You may take Mi EverGreen for example : The strategy has a fixed 25% exposure to gold and this provides an additional cushion during times of weakness in markets. The % of days in drawdowns are far lesser in strategies compared to the metric on their respective benchmark indices. As you can see from the above charts, most strategies have been able to do well because of this phenomenon. Lesser the time you spend in drawdowns, better it is for downside outperformance. At WeekendInvesting, we look to outperform both on the up side as well as down side as you may have read earlier in this blog. You would already have a winning strategy even if you outperform only on the down side with effective exit rules and position sizing and generate similar returns when markets trend upside. This is nothing but 100 – % days hitting new highs. On the contrary, the last column (% days in drawdown) denotes the percentage of days when strategy / index has spent in drawdowns. % Days hitting new highs denotes the percentage of the total trading days when the strategy / index hit a new all time high including few when it may have stayed flat without dropping. The charts that are illustrated below showcase the results of this systematic rule based approach Hence, outperformance on downside as well as the upside helps the WeekendInvesting strategies create a massive alpha in the longer run. All WeekendInvesting strategies are naturally expected to do well when markets trend on the upside.Adding on to this – all absolute momentum strategies at WeekendInvesting allocate to CASH when markets enter a weak territory & re allocate to equities when markets trend on the up side while relative momentum strategies always stick to the strongest performing stocks in their respective universe.Firstly, all strategies are nimble enough to quickly get rid of losers as soon as they show signs of lag. ![]() That it is the biggest benefit of outperforming on the downside too with strict risk control measures embedded into the strategy.Įmphasizing downside protection to control drawdowns is at the the core of WeekendInvesting strategies. There it is – Between the entire duration : start of down trend () to the end of uptrend (), Mi 25 has returned a staggering 113% while Smallcap 250 has done only about 31.2%.
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