Assuming 30 trading days horizon, TRF Ltd. is expected to generate 0.96 times more return on investment than OnMobile. However, TRF Ltd. is 1.05 times less risky than OnMobile. It trades about -0.2 of its potential returns per unit of risk. OnMobile Global Ltd. is currently generating about -0.29 per unit of risk. If you would invest 29,400 in TRF Ltd. on April 26, 2012 and sell it today you would lose (1,760) from holding TRF Ltd. or give up 5.99% of portfolio value over 30 days.
Diversification
Good diversification
Overlapping area represents amount of risk that can be diversified away by holding TRF Ltd. and OnMobile Global Ltd. in the same portfolio (assuming nothing else is changed)