Once upon a time (even today it has not really changed much) companies were run for the benefit of the dominant shareholders who were also in management. Even today that happens in companies like Reliance, Birla, Bajaj, Murugappa, – and these are not insignificant in size or contribution to the national kitty. However in the […]
The same experts who in 2007 said markets are fairly priced at 21000 are saying it is overpriced at 18400. Are they wrong or is the market wrong? Last week Shankar Sharma said he likes auto stocks. He was particularly bullish on Ta Mo. Ta Mo is one of my favorite stocks. When Mr. Ratan […]
Time and again I have been saying that it is easy for a regulator to go after an industry that is reasonably well organised rather than a completely new one. This is the reason why there is: no white paper on how people lose money in real estate (whom will you chase?) no white paper […]
Normally resolutions are made at the beginning of the year or on a birthday…however here are some resolutions that an investor can take / do any time: 1. I promise to reduce mutual fund costs: If you are in a diversified mutual fund which charges 2.5% (max) shift to some scheme which charges less (say […]
The Golden Rule of Investing is that the Man with the Gold Makes the Rules of Investing. You have to remember this rule – because this article is about REBATING. Rebating is illegal in India – it means if I ask you to invest in a life insurance policy, general insurance policy or a mutual […]
If in the year you are bombarded showing you slides that gold, real estate (would you believe it?), some commodities, and EVEN SAVINGS BANK account or a money market mutual fund have done better than equity over the past 10 (yes repeat ten) years, what would you do? Obviously you will stay away from equities, […]
Overconfidence while investing is one big problem while people invest. Even worse is a half baked understanding of what the masters have said. Let us take just 2 examples…from the big man – Warren Buffet himself. 1. Diversification is for mediocre people: If you do not know what you are doing, you need to diversify. […]