Indian investments thread

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patel
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Re: Indian investments thread

Post by patel »

pankajs wrote:BTW check this out.

https://www.valueresearchonline.com/

While it is mostly mutual funds on its main page, use the top search bar to check stock data. The most interesting segments are "Insider Trades" and "Fund Houses which are invested in the stock" with a QonQ fund trend.

Apart from the Annual and Quarterly financials, you also have access to "Shareholding Pattern" helpful in judging the institutional support that the stock enjoys and the trend over the last 5 quarters.

On the right hand you have a list of "Related Stocks"
Thanks Pankajs ji!
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Re: Indian investments thread

Post by Singha »

goldmine of info the site. axis bank looks better than sbi and hdfc in terms of good growth and lower PE. hdfc is probably bit overvalued in terms of PE.
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Re: Indian investments thread

Post by pankajs »

I have allocated equal money to Axis bank, HDFC Bank and Yes Bank for banking part of my portfolio.
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Re: Indian investments thread

Post by kumarn »

Singha wrote:goldmine of info the site. axis bank looks better than sbi and hdfc in terms of good growth and lower PE. hdfc is probably bit overvalued in terms of PE.
HDFC bank has better return on assets and a higher Net interest margin and more importantly, lower NPA. Hence, market assigns premium to it and will continue to do so till HDFC bank is able to maintain its performance on the above parameters.
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Re: Indian investments thread

Post by pankajs »

Agree.

Plus its *steady* QoQ performance when compared to other banks makes it stand out. Just look at the recent ICICI Bank numbers and their impact of the price.
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Re: Indian investments thread

Post by pankajs »

http://economictimes.indiatimes.com/mar ... 211961.cms
What a $100-bn defence market in 10 years could mean for your portfolio

Image
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Re: Indian investments thread

Post by kumarn »

pankajs wrote:Agree.

Plus its *steady* QoQ performance when compared to other banks makes it stand out. Just look at the recent ICICI Bank numbers and their impact of the price.
Agreed, sir! Consistency is another virtue for which the market assigns a premium.
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Re: Indian investments thread

Post by pankajs »

Folks please do away with this sir and ji business. pankajs suits me fine
--------------------------------------------------------------------->
Around a month back I chanced upon a video where this guy was talking about front line stock vs the 2nd rung stock. Let me try recounting the main message.

IIRC, When a bull market start it is usually lead by front line stocks. As the bull market matures the 2nd rung stocks start over taking the front liners in terms of price performance. During the ending phase of the bull market 3rd grade stocks start making life time highs. When the bear markets starts all stocks get hit but the 2nd rung stock get hit harder than the front liners and the 3rd grade stocks fare the worst.

Taking the bull and the bear run as a single period, it is generally stated/understood that front line stocks out perform the 2nd line stocks by a good margin who in turn out perform the 3rd grade stocks.

If you can time the market (very difficult) you can make more money betting on the 2nd line or even the 3rd grade stock than with the front lines. They will yo-yo the entire period, keep you entertained or give you BP depending on your temperament. Such stocks demand a lot of attention.

If you cannot time the market or do not have the time or the temperament you are better off betting on the front line stocks. They will deliver steady returns and likely better returns without demanding too much attention. Can be boring for the thrill seekers.

Depending on ones temperament, time and talent (wrt Timing the market; Imagined in my case) one can mix and match between front liners and 2nd liners to build a portfolio with the desired risk/reward profile.

Now if you look at my disclosed allocation 1/3 is for *steady* front liner on which I do not propose to devote much time. I will check the earning performance of the stock once every quarter on the result day. The next 1/3 is in a 2nd line *large cap* stock. More risky and demanding some attention but I expect to be compensated by getting a higher return. The final 1/3 is in a *midcap* stock that carries even more risk with the expectation of an even higher return.

Of course if an unexpected event happens in the front liner that has severe consequences, I am bound to jump in and take steps to protect my investment. Everything is relative but I hope you get the picture.
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Re: Indian investments thread

Post by patel »

Pankajs, according to you which phase are the Indian markets in at the moment? Has the bull market matured or is this the calm before the storm post budget?
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Re: Indian investments thread

Post by pankajs »

I really don't know and I am not qualified to make such an assessment. However, as a layman and a fellow investor I will share my impression. Let me first make a couple of observations.

1. The current quarter results as a whole are below expectations. The earnings haven't recovered much and in many cases have gone down.
2. Most banks have seen NPAs go up implying that the system is still under stress.

The expected recovery is yet to happen. The best case reading is that we have bottomed out this quarter. The other reading is that we are still 2 quarters away from the bottom. The runup in stocks has been more on hope than performance. To me that indicates that we are still in the beginning phase of a bull run.

However, the market has run up quite a bit and therefore the valuations at this point are stretched. As someone noted on CNBC TV, the easy money has already been made. Rising market coupled with subdued earning growth place quite a burden on the budget. The expectations are very high and if it is not met a correction is likely.

It also places a burden on investors who need to be very careful. The current scenario favors selective buying of quality stocks that can hold up, relatively speaking, in a falling market following budget disappointment. However, the medium and long term outlook remains positive.

If there is a correction I will use it to rejig my portfolio further towards *growth* stock. I have used this last correction and the current result cycle to swap out non-performing stock for growth stock. I am not looking for safety as much as for growth. One should evaluate ones own position, outlook and risk appetite before making any decision wrt the stock market.
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Re: Indian investments thread

Post by Vikas »

So I have started my personal SIP into SBI. I think this is long term investment stock which in few years time should cross 4 digit. This is one of those stocks which is part of my retirement plan like L&T and Maruti.

From Defense stocks, I think Walchand and Gujarat Pip are pretty good investment stocks.
Few others which one can look at from positional trading are Ucal Fuel, Venus Remedies and Kellton.
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Re: Indian investments thread

Post by Singha »

do you really want to hinge so much on a few stocks? for SIP i was thinking despite the expense ratio a couple of good MFs would be "safer" ?
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Re: Indian investments thread

Post by Vikas »

GD, My portfolio already has over 60 stocks :) which flies against the grain of every shred of advice I get about stock market. Somehow every time I sell stocks, it simply zooms as up as If it was waiting for me to exit. Good example would be Talwalker Fitness and Godrej properties which I kept for about 4 months with no luck and as soon as I sold them, they gained more than 50%-75%.

What I meant was that every month I am going to buy about 20 stocks of SBI religiously (Create a automatic SIP on hdfc securities site).
I have 3 MF's going on (one from BNP Paribas and other of ICICI Export specific fund and one is Gold ETF).
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Re: Indian investments thread

Post by Gyan »

My Portfolio also has around 100 stocks. In fact I have all the above 7 Defense stocks of small amounts around 25K-75K each.

Presently, I was wondering what are good companies manufactering mining equipment as their stocks should now zoom with coal mines being opened to Pvt sector is such a big manner.

Is anybody considering growth schemes of mutual funds? HDFC growth fund is claiming 27% CAGR in last 20 years or so.
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Re: Indian investments thread

Post by pankajs »

Here you go.
Alokesh Phukan ‏@greyfool 4h4 hours ago

Given the high price paid for coal blocks, co's will push for rapid & efficient production; equipment & specialized mining co's key gainers.
Alokesh Phukan ‏@greyfool 7m7 minutes ago

@greyfool Mining consumables(e.g explosives, Tungsten carbide tools, chromium castings) too will gain in due course #SolarInd #AIA #Rapicut
Explosives
* Solar Ind
* Premier Explosive
Bits/Tools
* AIA Eng
* Rapicut Carbides
Mining Equipment
* TRF

I have just listed some companies that are linked to mining but haven't researched them. You must do you own research before taking position.
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Re: Indian investments thread

Post by pankajs »

https://www.valueresearchonline.com/

BTW folks, if you liked the above site you may want to follow them on twitter
https://twitter.com/ValueResearch
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Re: Indian investments thread

Post by pankajs »

Quite informative
------------------------------->
Pat Dorsey | The Little Book that Builds Wealth | Talks at Google


Published on Jan 16, 2015

What does it mean for a company to have a moat? What are the key drivers to valuation? Pat Dorsey will use examples to shed light on these, and more questions.
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Re: Indian investments thread

Post by pankajs »

pankajs wrote:What happens when you don't buy quality? And what happens when you do?
https://dl.dropboxusercontent.com/u/284 ... t_2013.pdf

By prof. Sanjay Bakshi of MDI, who is himself a successful investor.
His twitter page > https://twitter.com/Sanjay__Bakshi
The foundation of the above presentation is the following study done by Credit Suisse. Must read for those interested in upping their investment game. If you understand and internalized the key takeaways you can move away from a guessing game on to a percentage game.
----------------------------------------------------------------------->
Was Warren Buffet Right - Do Wonderful Companies Remain Wonderful?
https://doc.research-and-analytics.csfb ... id=1182867

The Key takeaway
* Corporate profitability is sticky. Good companies tend to remain good companies, and poor companies tend to remain stuck in the mud. Sustainable corporate turnarounds are difficult to execute , and investors should be careful about overestimating the odds of success.
* Companies in defensive industries exhibit more stickiness in corporate profitability than firms in cyclical industries. The reputation of the business tends to remain intact regardless of industry. Companies with an operational edge tend to maintain it, and those without it tend to repeat their operational mistakes.
* Firms with excellent profitability tend to outperform those with the worst return on capital. The outperformance improves if high quality firms are purchased at a fair price. The outperformance can be further improved by purchasing quality firms at a fair price that are exhibiting positive relative momentum.

Image
A CFROI transition matrix is shown above. The 1st quartile (Q1) represents the poorest CFROI performance across all firms; the 4th quartile (Q4) represents the best CFROI performance; Q2 and Q3 are below average (-) and above average (+) firms, respectively. If operating performance were random, all probabilities would be 25%, indicating that the starting and ending points are independent. This is not the case. For the global sample, the best performing firms based on CFROI level have a 51% probability of remaining amongst the best performing firms (row 4, column 4), which is an extraordinary result. Note that the worst performing firms have a 56% probability of remaining the poorest performers. There is only a 17% chance that they’ll shift to the top half of performance. Corporate turnarounds are difficult to enact.

Image
In summary, history indicates that it is wise to buy high quality companies at a fair price, and even better to wait until they are attractively valued with positive momentum. Lucky investors who had employed this strategy over the past two decades could have beaten the market. Skilled investors would have had to beat the market by a significant amount more without increasing risk to reveal a true prowess for stock-picking. Both groups would have been pleased with their investment performance.
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Re: Indian investments thread

Post by Gyan »

pankajs wrote:Here you go.
Alokesh Phukan ‏@greyfool 4h4 hours ago

Given the high price paid for coal blocks, co's will push for rapid & efficient production; equipment & specialized mining co's key gainers.
Alokesh Phukan ‏@greyfool 7m7 minutes ago

@greyfool Mining consumables(e.g explosives, Tungsten carbide tools, chromium castings) too will gain in due course #SolarInd #AIA #Rapicut
Explosives
* Solar Ind
* Premier Explosive
Bits/Tools
* AIA Eng
* Rapicut Carbides
Mining Equipment
* TRF

I have just listed some companies that are linked to mining but haven't researched them. You must do you own research before taking position.
Thanx for your advice. Don't you think that Solar, Premier, AIA seem too costly and have run up quite a bit. TRF is ok but I cannot understand its business model. Rapidcut is tiny in very competitive area.

What about main stream like L&T, BMEL, Kirloskar Oil, Crompton Greaves etc?
Last edited by Gyan on 24 Feb 2015 19:43, edited 1 time in total.
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Re: Indian investments thread

Post by pankajs »

These have many streams of business but the ones that I highlighted are mostly dependent on the mining industry. So they are as pure play as you can get. Also, the list was based on a quick recall and not research and I must have missed a lot of companies that will benefit.

The ones with the brightest prospects and past performance are expensive relatively speaking but so is the overall market. The market is very close (but yet to cross my trigger point) to a level that I consider overvalued and a zone prone to 10-20% correction. I did state in one of my previous post that in this market one has to be very selective implying that the buys have to be deeply researched because there are no margin for errors. There is no easy money to be made but money can easily be lost if one is not careful.
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Re: Indian investments thread

Post by pankajs »

http://www.livemint.com/Money/noLQThigA ... iting.html
Steady and boring versus mercurial and exciting
- Anoop Bhaskar is head-equity, UTI Mutual Fund. Arpit Kapoor, Vishal Chopda and Parag Chavan of UTI Asset Management Co Ltd contributed to this article
As the horns of a bull market get more visible, so is investor participation. A “myth” perpetuated over the years is that quality matters in a bear (flat) market, not in a bull market. In fact, the perception is that returns are inversely correlated to quality of the company as the market rises! The stronger the underlying market move, the greater it appears is the willingness of investors to accept companies with mediocre historical track records in the hope of a ‘great’ turnaround.

Do ‘quality’ companies outperform their more inconsistent peers during bull markets or are they consigned to generate all their long-term outperformance from periods of market declines? Should one change an equity portfolio to participate in changing market scenario, a horses for courses kind of portfolio strategy, or should one resolve to not succumb to temptation, irrespective of the returns being generated by non-quality stocks? Finally, what is quality—corporate governance, business profitability? Investors from time to time grapple with these questions.

First, let’s define quality. Quality, for the purpose of this study, is defined as cash generated by the company from its operations (before capital expenditure) on a consistent basis. Operating cash flow (OCF) being defined as profit after tax (PAT) plus depreciation less change in working capital. Why OCF? Because it is a fairly good measure to ascertain a company’s ability to grow its sales without impairing its terms of trade, i.e., higher sales do not need to be forced by giving longer credit to distributors or building up inventories. As a rule, scaling of sales should be self financing; the plant and machinery required to generate the sales may be bank funded. Also, it does not penalize capital intensive industries. The consistency of generating OCF over a business cycle reflects a company’s inherent strength and the industry’s growth potential.

The second element is size and relevance. A cut-off level of Rs.50 crore was chosen as the threshold level of reported PAT to eliminate smaller companies from the sample size. Then we searched for companies that generated positive OCF during the same period.

Third element is sample size. Over 500 companies that have been part of BSE 500 since January 2003 till March 2014, and even those that exited the index during this period, were part of the sample. Excluding banks and non-banking finance companies, a total sample of 466 companies were classified into four quadrants based on their consistency of generating OCF.

Fourth, for calculation of returns generated by each quadrant, the outliers—highest and lowest return generating companies, two in each quadrant—were ignored.

The four quadrants were: Evergreen, (181) companies that generated positive OCF for each of the five financials years ending March 2014 ; Potentials, (71) companies that generated positive OCF and PAT for four of the last five financial years; Fairweathers (189), those that generated OCF for three years; and Hope‘less’ (25), which generated positive OCF for less than two years. A market cap adjusted index for each quadrant was created and the performance of each quadrant was analysed across a market cycle.

What did the story uncover?

First, the slam dunk. As is well documented, after the boisterous 2003-08 bull market, post-2009 till September 2013, the tide turned in favour of companies generating consistent positive OCF (and PAT). The Evergreens and Potentials easily outpaced their peers in the Fairweather and Hope‘less’ quadrants. The Evergreen segment reported a 103%-plus return as against negative return of 36% by the Hope‘less’ segment during the four-year period starting April 2009.

Given the background of the global financial crisis, investors world over rediscovered companies that were generating free cash flows and required minimal capital dilution to fund growth. The same came to the fore in India as well. Investor preference, it seemed, had turned a full circle. Did the same strategy give similar returns during the 2003-08 bull market? The results were, surprisingly, similar. The Evergreen and Potential segments were able to outpace their peers in Fairweather and Hope‘less’ segments, though there was a period when the lower quadrant companies outperformed. Incidentally, this was the period immediately prior to the market decline! Leopards don’t change spots and mediocre companies rarely turn great. Investors, however, appear to believe in the contrary. Several studies in the US have shown that companies find it more difficult to convert themselves from an also-ran to an industry leader. The opposite, however, is more true and something investors need to guard against. Mediocre companies remain mediocre; it is only the business cycle that makes them attractive to investors.

Contrary to perception, investing in companies with consistent track records may seem like a boring investment style, but it tends to generate the highest sustainable returns over the longer term. Our study of top 500 companies since 2003 clearly shows the benefit of focusing on companies with more consistent track records rather than chasing companies with patchy track record in the hope of an eternal turnaround. This is a sound strategy even in a bull market. Alas, it’s difficult to practice. Additionally, high performing companies tend to have lower beta than their more inconsistent peers, which would make a portfolio less volatile. If the aim is to increase beta of one’s portfolio, limit adventurism to the third quadrant, i.e. companies that have reported a PAT of Rs.50 crore or more and positive OCF for at least two of the preceding five years. Stay away from the Hope‘less’ segment, these are companies that are always in a perpetual turnaround mode, especially, during every bull market. Finally, prepare yourself for a full market cycle—bull market and its ensuing fall. Measure your returns over a complete cycle.
Substantially similar to the Credit Suisse HOLT study and the presentation by Prof. Bakshi. BUY quality i.e Steady/Consistent performance for better portfolio returns and lesser stress through market cycles.
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Re: Indian investments thread

Post by Gyan »

Budget is a disappointment, I think/guess NIFTY will go down by 200 points over next couple of weeks.
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Re: Indian investments thread

Post by Vamsee »

The God of investing, Warren Buffet has released much anticipated annual letter. :D
Link
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Re: Indian investments thread

Post by SaiK »

Gyan wrote:Budget is a disappointment, I think/guess NIFTY will go down by 200 points over next couple of weeks.
I am not going to sell mine if you can't give emphatic reasons
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Re: Indian investments thread

Post by pankajs »

Note to self >> The NIFTY has crossed *First* key level on the way up @ 8976 and closed above it, my signal to stop buying.

Hope for an upside BUT prepare for a 10-20% correction in the short term. Sell any stock that shows weakness but HOLD the current positions otherwise. Do NOT put fresh money into the market. Do NOT cycle cash back into the market at these levels. Keep cash handy.

Start a review of all holdings and grade them on past performance, future prospects and current price levels. Decide price levels that will act as trigger to sell and keep that handy. On the fly decision making is always emotional and more likely to be wrong so prepare beforehand.
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Re: Indian investments thread

Post by archan »

After two dins of boom phataka a 10-20% correction is expected You're the second person I am hearing say that I've been wanting to sell some to get ome cash back in hand but can't decide what to sell. Sold L&T on an impulse a couple of weeks ago when it was going to tank below my purchase price (salvaged) but now it has shot up and almost unaffordable for me.
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Re: Indian investments thread

Post by Gyan »

I am also not selling but have stopped buying.
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Re: Indian investments thread

Post by Picklu »

Anyone here has any opinion about Reliance communication and Unitec?
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Re: Indian investments thread

Post by pankajs »

archan wrote:Sold L&T on an impulse a couple of weeks ago when it was going to tank below my purchase price (salvaged) but now it has shot up and almost unaffordable for me.
I too sold L&T on result day almost at the lows only to watch it go from strength to strength. Happened with a few more and in one case lost out on a 25% upside in about a month.

I sold on what I thought was earnings shortfall. Clearly lower earnings were factored into the price at that point and perhaps the actual number was better than expected. Now I have to figure out a *free* source of earning estimates to get a better grip on individual stocks.

But overall rejig has worked out. My under-performing portfolio (1st half of Jan) has performed better than the market over the last one and a half month barring 2 or 3 days.
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Re: Indian investments thread

Post by archan »

so what all are you holding saar?
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Re: Indian investments thread

Post by pankajs »

Very long list saar .. 60+ ... so what do I list and where do I begin ...

Ok .. Let me start with the 5 worst performers of the day
Ricoh India -5.39%
AXISCADES -4.05%
MCX -3.11%
AXIS Bank -2.95%
Va Tech -2.9%

My 5 best performers of the day
NBCC +7.48%
United Spirits +7.08%
Sun Pharma +6.71%
Dewan Housing +5.99%
Eveready +4.53%

Oh .. and before you get the wrong impression .. today was a down day for my portfolio too but the decline was less compared to the decline in CNX NIFTY and CNX MIDCAP indices. That is the crux as far as I am concerned i.e. I am happy as long as my portfolio outperforms both these indices and on that measure today was a good day.
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Re: Indian investments thread

Post by Vamsee »

"Investing should be more like watching paint dry or watching grass grow. If you want excitement, take $800 and go to Las Vegas."

~ Paul Samuelson

:)
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Re: Indian investments thread

Post by pankajs »

CNBC TV anchors are a bit subdues today. Are they troubled that their celebration yesterday might have called the market top in the short-term?

Another interesting thing is that there are fewer talking heads on the channel todin. Seems not many outside *experts* are willing to share their reading of the current market! :rotfl:

Markets are indeed at a very interesting juncture just based on these two observations.
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Re: Indian investments thread

Post by Vikas »

I still believe markets will go up and make money for most of the investors this year.
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Re: Indian investments thread

Post by Singha »

we have opened a AC today in post office under a new girl child scheme that is slightly better than PPF which I am already using. even if it exceeds the 1.5L limit, the interest and maturity proceeds is tax free.

you need to have a daughter <= 10 yrs . until Dec 2015 there is grace period if daughter is upto 11 yr.

all details here:
http://www.onemint.com/2015/03/03/sukan ... irl-child/

Documents needed. birth certificate of child, id and addr proof of parent, passport photo of child.

though PSU banks are mentioned, going to a good post office might be faster for people. psu banks have a lag before all the paperwork is in place.
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Re: Indian investments thread

Post by pankajs »

pankajs wrote:Very difficult for Individual investor even on full time basis. At our individual level the best we can hope for is to *borrow* from others who have a good track record. Better to be *shameless* copycats and make money than try being *original* and lose money.

http://rakesh-jhunjhunwala.in/i-have-no ... sh-pabrai/
[quote>>]“I have no original ideas. Almost everything in our portfolio is cloned from some other investor that I admire”. “The wonderful part of the business is that I still get paid” Mohnish added, much to the merriment of the distinguished audience.[<</quote]
A word of caution with respect to the above
Anil Kumar Tulsiram ‏@Anil_Tulsiram 2h2 hours ago

good analysis of what went wrong in Bilcare http://ow.ly/K0jXG .. RJ had invested 10% in it in early 2003 and as amateur I followed him
To restate the process in a little more detail

1. Can't scan/research the whole universe for new stock ideas.
2. Look up to the masters for new ideas. Try to understand their investment rational. You might not need to do any further research if the rational is really convincing. Feel free to discard what you do not understand or does not make sense to you. The universe is such that new idea keep popping up at regular frequency. So don't rush into something that you don't understand.
3. If possible research the remaining ideas
4. OR make a judgement call to narrow the field further based on ones circle of competence
5. Research the remaining to arrive at the final list of investments
5a. Have a checklist based research approach (Suggested by Mohnish and others; Am yet to implement). Going through the checklist will ensure you've covered all the bases and force you think on all aspects that are part of the checklist
5b. Always have an investment rational as part of the checklist. The checklist and the rational will allow you to refer back to the original rational. Will help you improve your selection process in the long run.
6. Keep track of your investment regularly and do not hesitate to pull the trigger if the original rational does not hold true anymore or there is a material negative change in the stats of the stock.
7. If you unable to devote time to even the most basic research then stick to the top quality stocks. You can't go wrong over the long term and you will easily beat the index.
7a. To quote the Credit Suisse study "In summary, history indicates that it is wise to buy high quality companies at a fair price {does not have to be bargain price; very rare to get bargain pricing in top quality stocks}, and even better to wait until they are attractively valued with positive momentum"
7b. Good companies tend to remain good companies {51% chance over 5 years; an extraordinary hit rate}, and poor companies tend to remain stuck in the mud {56% chance over 5 years}. Corporate turnarounds are difficult to enact.
7c. Read the Credit Suisse study and Prof. Bakshi's presentation multiple times to fully internalize the lessons being shared. I think both the documents are gems.

In the end, each one of us is responsible for ones own investments so do your own thinking and research.
pankajs
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Re: Indian investments thread

Post by pankajs »

I don't look at macros ... truth be told I hardly understand them i.e not enough to make use of them :rotfl:

But for them who must have their macros here is an interesting site I found while searching for India's external debt number.
http://www.tradingeconomics.com/
Austin
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Re: Indian investments thread

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pankajs
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Re: Indian investments thread

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D.Muthukrishnan ‏@DMUTHUK 3m3 minutes ago

If you earn Rs.12 lakhs per annum in India as income, you are amongst the top 0.13% (in terms of PPP) of the world.http://www.globalrichlist.com
D.Muthukrishnan ‏@DMUTHUK 2m2 minutes ago

If you’ve Rs.1 crore of net worth in India, then you are amongst the top 2.52% (in terms of PPP) of the world. http://globalrichlist.com
pankajs
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Re: Indian investments thread

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Deepak Singh ‏@smarket 3m3 minutes ago

Ministry Of Defence shortlists L&T, Pipavav Defence for Rs. 60 000 Crores Contract to build 6 conventional submarines under its Project 75
While most folks were batting for HSL my original bet was on L&T given their experience with Arihant and GOI's commitment to farm out projects to private firms.

Now I am not sure 'cos of the very opportune buyout of Pipava Defense by Ambanis just days before the announcement of the shortlist.
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