Nifty 13% Decline: A Reality Check Beyond Earnings
The recent 13% decline in the Nifty 50 index has been driven by stretched valuations, subdued Q3 earnings, concerns over Trump-era tariffs, and persistent FII outflows. With no new triggers to push stock prices higher, the market is undergoing a time correction, exacerbated by FII selling—This has led to panic selling often leaving retail investors […]
Sectors Which Will Outperform In The Next Bull Run
The year that started with great optimism is ending on a somewhat somber note for stocks. Here’s a look back at the year that was. In all we recommended 63 stocks and closed 54* stocks in 2015 (Jan- Dec). Average Gain % from total calls closed = 26.71%. *Note: 54 calls closed include 22 calls initiated in the […]
Union Budget 2016: 5 Big Expectations
Unlike any other year, this time around investors are no longer waiting for the union budget to see big bang reforms. The new government has taken many steps to stimulate growth since it assumed office in May 2014. The hope is that this trend will continue and that many more steps will be initiated to […]
10 Emerging Market Risks – India Focused
Economists and analysts across the board believe that the Indian economy has entered a 5 – 10 year bull market phase. What if at all should hold you back from investing in India. The risks mentioned below are generic in nature and apply equally to both, direct investments (FDI) and secondary market investments (mostly FIIs): […]
Emerging Markets: In India, Stock Investing Finds Renewed Zeal
What is an Emerging Market? While there is no universally accepted definition for the term ‘emerging market or an emerging economy’, many economists and agencies have defined the term(s) based on certain characteristics which are common to most classifications. By any measure, an emerging economy will have 3 things: (i) Rising Gross Domestic Product (GDP) – While countries […]
Sensex Target for 2020: Are 40,000 – 60,000 levels achievable?
A lot of research goes into predicting future prices and Sensex targets. Analysis of past data for such predictions suggests that analysts are far more accurate over a longer term. Shorter your time frames, higher are the chances of error. Yet, analysts and market commentators regularly throw out targets for anywhere between a few years […]
Instruments of Monetary Policy in India
Part – II of – Basic economic terms used in India . Gross Domestic Product (GDP): National output or GDP is the most important concept of macroeconomics. When GDP increases, it is a sign that the economy is getting stronger. While a reduction in the GDP indicates a state of weakening economy. How is GDP really calculated? […]
Are You Buying Stocks For The Next Bull Market?
Exactly one year ago, I wrote a piece about the hypothesis that “markets are always ahead” of the real economy. At that time, I said that empirical evidence suggests that stock markets can indicate the future prospects of the broader economy. That stock prices decline before deterioration in the general economy and vice-versa. If you […]
Future Prospects of Indian Economy
India’s population today is 1.237 billion and growing at 1.3% every year. This makes India the second most populated country in the world with China leading the charts with a population of 1.35 billion. According to the most recent census survey, India occupies 17 % of the world’s population and 65 % of these people […]
Explanation of Basic Economic Terms Used in India
In the United States more than 50% of their population invests in the stock markets (directly or via ownership of funds). In India, this figure is less than 2.5%. Ironically, India remains the fastest growing market for financial newspapers in the world. Does that mean that people want to research and stay updated but not invest? […]