Learn About Stock Market Basics — Indian Stock Market
I think it is extraordinary that I meet so many people who are absolutely, and 100% convinced that they cannot understand finance or how to invest in the Indian stock market. Their reason oftentimes is that it is extremely dry, or it will be too difficult for them to understand. I am not sure how many […]
ICDR Regulations-Marketing Guidelines for Issue of Securities
As more and more promoters look to raise money by divesting equity in their business, the disclosure standards and regulations for listing on the stock exchanges are becoming increasingly stringent. The Securities and Exchange Board of India (“SEBI”) formulated the Issue of Capital and Disclosure Requirements, Regulations, 2009 (“ICDR Regulations”), to promote the development of a healthy capital market […]
Best Systematic Investment Plans in India-Start on Your Own
When it comes to financial products, I often sound like a doomsday conspirator. Some of the things I have written in past: Mutual funds are ‘mostly’ pointless; F&O trading – that too based on software, charts, tips and tools, my friend – it’s like trying to reach supersonic speeds in your money losing efforts; Stock brokers don’t want you […]
Marketing Gimmicks-Be Careful and Avoid the Bad Stock
For years I struggled to find out why some companies which cater to a small group of buyers use expensive mode of television commercials to market their products. Imagine a company which manufactures train engines coming out with a commercial: “Our engines get you their faster”, fair enough and I am sure they do. Now, […]
Long Term Investment Stocks–Making a 5 Stock Portfolio
The story goes somewhat like this: Warren Buffett was once asked about the best investment advice he would give to a money manager just starting out. He said, “I’d tell him to do exactly what I did 40-odd years ago, which is to learn about every company in the United States that has publicly traded securities.” […]
Fundamental Analysis to Reach Your Investment Goals
I am sure that many of you have heard about Fundamental Analysis, or fundamental view in the context of stock picking. Sometime back, I released a video explaining the concept of Investment Fundamental Analysis where I spoke about financial facts and qualitative opinions and concluded that “The standing of an enterprise is in part a matter of FACTS and in part a matter […]
Best Place to Invest Your Money
While there are many asset classes to choose from, (i.e. fixed income deposits, real estate, gold, art etc), I will stick to Stocks, which I think is the only viable long term option in the current scenario. For my views on gold and real estate as an investment option, you can read here: How does your […]
Price Earnings Ratio Method–Standalone and consolidated Methodology
The Price Earnings Ratio Method is one of the most basic and widely used methods for valuing companies. In this approach, the price of a company’s share listed on an exchange is divided by its reported Earnings Per Share (“EPS”). The Price to Earnings Ratio thus derived is compared with the industry PE Ratio to determine if there is […]
Fixed Income vs. Equity Investment: How Does Your Money Make Money After All?
There are only two ways in which money making is done: Hard work makes money Money makes money Investing is the art of employing money to multiply it. Those in need of capital for setting up, or for expanding a business are always willing to pay some premium for the much needed capital. Their hope is […]
Psychological Traits of a Successful Stock Investor
The Successful Stock Investor Imagine a world where everyone was equally intelligent, with identical psychological traits and access to the same information. What purpose would the stock markets serve then? I’ll answer that – None. The business of stock Investing thrives on these 3 things – Intelligence, Psychology and Information. After closely observing many successful stock investors, I have realized that having […]