The ‘Equity’ section of the portfolio report provides a detailed analysis of the equity segment of your portfolio's performance, diversification, benchmark comparison, and risk metrics. This deep dive helps you make decisions on future buys and sells based on the current health of your investments. 

It covers the following aspects:

1. Summary

2. Performance

3. Diversification
4. Risk Analysis

5. Events Calendar

Summary

1. Quick Daily Insights

Daily insights into your equity portfolio's performance, stocks in motion, 1-day gain, unrealized P&L, current value, and invested amount.

2. Portfolio Score

This provides a market cap weighted average of Trendlyne’s Durability, Valuation, and Momentum scores for your portfolio stocks. Durability assesses a company’s financial strength, Valuation evaluates pricing based on metrics like P/E and P/BV, and Momentum indicates buyer interest, signaling bullish or bearish trends.

3. Performance Summary

Assess the performance of your equity investments, including total investment, unrealized profit and loss, and the percentage gain or loss.

4. Diversification Summary

Shows how your equity portfolio is diversified across stocks, sectors, and market capitalization.

5. Risk Analysis Summary

Assesses the risk and volatility of the stocks in your equity portfolio.

Performance section

Moving past the Summary, the performance section of the report gives you a detailed breakdown of your portfolio’s performance across overall gain/loss, profit & loss by market cap, stock-wise performance, sector-wise performance, and share price performance.

1. Portfolio Performance

An overview of your portfolio's performance, including the total invested amount, unrealized profit and loss, and the percentage of gain or loss.

2. Profit & Loss by Market Cap

A heatmap categorizes your portfolio's gains and losses by market capitalization (large, mid, small), helping you identify which market cap segments are performing well and the proportion of unrealized gains or losses among them.

3. Stock Wise Performance

Look at the individual stock performance, with a breakdown of the profit and loss of your portfolio. This section provides insights into the top-performing stocks and the percentage of unrealized gains or losses for each stock. You can also check the P&L by return on investment (ROI).

4. Sector Wise Performance

Portfolio performance (P&L) is categorized by sector here, offering insights into top-performing sectors and the percentage of unrealized gains or losses in each.

5. Share price performance

This section provides an overview of how your portfolio stocks have historically performed over various timeframes, such as day, month, and year. It looks into the overall performance based on historical data, independent of your purchase price or date.

This section offers insights into the diversification of your equity portfolio. 

1. Stock Distribution

The distribution pie chart shows the diversification of your portfolio among different stocks. Achieving a balanced diversification is crucial for minimizing market risk and volatility. This involves investing in stocks across various sectors and market capitalizations. It's important to strike a balance, as excessive diversification can potentially lower expected returns more than it reduces risk.

2. Investment Style

This section decodes your investment style, to check whether you prefer growth, value, or growth+value stocks. Growth stocks are characterized by high revenue or net profit growth over the past three years. Value stocks have a P/E ratio of less than 20 or a PEG ratio between 0 and 1. You might also combine both styles in your approach. 

3. Sector Distribution

Explores how your portfolio is distributed among various sectors. An ideal portfolio invests in stocks from different sectors to reduce market risk and volatility.

4. Market Cap Distribution

This lets you examine your portfolio's distribution across different market capitalization levels, including large, mid, and small-cap. While large and mid-cap stocks are generally considered less risky, they may lack the aggressive growth potential associated with small-cap stocks.

Risk Analysis

This section checks key risk and return metrics to calculate your risks and returns over 1 month, 3 months, and a year and also provides insights into your portfolio.

1. Liquidity Check

The illiquidity percentage in your portfolio indicates the portion that may pose challenges in selling due to low trading volumes on exchanges, potentially resulting in losses.

2. Beta

Beta (β) measures the volatility or systematic risk of your portfolio against the S&P 500. A portfolio with a beta higher than 1 is more volatile than the S&P 500. Note that a portfolio can have a lower beta and still have higher total risk due to firm-specific risks. Total risk consists of systematic and firm-specific risks.

3. Standard Deviation

The standard deviation of a portfolio gauges the extent to which investment returns deviate from the average probability distribution. A higher standard deviation indicates greater risk, characterized by volatile returns, while a lower standard deviation suggests reduced risk associated with more consistent returns.

4. Sharpe Ratio

The Sharpe ratio measures risk-adjusted returns. It checks if the excess return gained is in line with the extra risk taken. A higher Sharpe ratio suggests your investment has done well: a ratio higher than 1 is good,  above 2 is very good, and 3 or more is excellent.

5. Value at Risk (VAR)

Value at risk is a measure of the risk of loss of investment. It estimates how much a set of investments might lose under normal market conditions in a specified time period.

Events Calendar

The Portfolio calendar helps to keep track of all the corporate actions or announcements regarding the stocks in your portfolio. You can also filter the stock group to access reports quickly.