Assuming 30 trading days horizon, Patel Engineering Ltd. is expected to under-perform the Harris. But the stock apears to be less risky and, when comparing its historical volatility, Patel Engineering Ltd. is 1.66 times less risky than Harris. The stock trades about -0.53 of its potential returns per unit of risk. The Harris Interactive Inc. is currently generating about -0.02 of returns per unit of risk over similar time horizon. If you would invest 122.00 in Harris Interactive Inc. on April 26, 2012 and sell it today you would lose (8.00) from holding Harris Interactive Inc. or give up 6.56% of portfolio value over 30 days.
Diversification
Very weak diversification
Overlapping area represents amount of risk that can be diversified away by holding Patel Engineering Ltd. and Harris Interactive Inc. in the same portfolio (assuming nothing else is changed)