MRC.L - Risk

Pure Price Volatility Risk (Market Swings)

The business itself is financially solid (Financial Health 100/100, minimal insolvency risk). The high overall score (6/7) is driven primarily by extreme stock price swings (±21.5% p.a.) and steep historical drawdowns.

Volatility Risk

Transparent evaluation of price volatility (SRI), Beta, and historical drawdowns.

Volatility Risk Score

6/7 High

6 / 7 SRI Price Fluctuation & Beta

Very high volatility or fundamental risks. Significant loss potential; strictly for aggressive investors. Largely moves in line with the broader market.

Beta (Market Relation)

1.05x

Above average

Volatility (5Y p.a.)

21.5% p.a.

5-Year Horizon

Max Drawdown (5Y)

-42.1%

5-Year Horizon

Sharpe Ratio

-0.09

Return / Risk

Speculative / High Risk: Score Basis:

Multi-Horizon Risk & Performance Matrix

Historical volatility, drawdowns, and risk-adjusted return across 1, 3, 5, and 10 years.

Timeframe	Volatility (p.a.)	Max Drawdown	Sharpe Ratio	Return (p.a.)
1 Year	—	—	—	+7%
3 Years	17.6%	-23.4%	0.57	+12.5%
5 Years	21.5%	-42.1%	-0.09	+0.6%
10 Years	23.9%	-54.4%	0.09	+4.8%

Automated Risk & Health Notes (Red Flags)

Single Stock Risk: Investing in an individual stock carries full company and insolvency risk (no fund diversification).

Exemplary balance sheet strength: Very solid ratio of equity to debt.

Historical Stress Test: Maximum peak-to-trough drawdown of -54.4% in the extended horizon.