Page 10 of 11

Re: Indian investments thread

Posted: 08 May 2015 13:06
by archan
Its down low right now.

Re: Indian investments thread

Posted: 08 May 2015 20:25
by Vamsee
Gyan ji,

The reason I wrote that is because it is a big mistake to copy famous investor's portfolio without thinking about his situation vs ours. Even if his new picks are wiped out, it will be less than 1% loss for RJ which he can recover in few days. If we put most of our money in that, it will take us years to recover.

If you are interested in his new picks, please look at Dewan Housing Finance.

Regards,
Vamsee

Re: Indian investments thread

Posted: 08 May 2015 20:25
by Vamsee
archan wrote:Its down low right now.


Down = buying time :D
(I wrote on 28th Apr that things are looking good for buying). I am 100% invested and there is not fresh money to invest. Otherwise I would have invested during this pullback :((

Re: Indian investments thread

Posted: 08 May 2015 20:36
by Vamsee
Karthik S wrote:Gurus, will a long term government bond be a good option for pension?

If we go by history, Bonds/FDs will help you keep up with the inflation. So If you are not looking for increase in purchasing power & want (expensive) comfort of certainty,
Govt Bonds are a good option

RBI is simplifying the procedure for Individuals to purchase & hold govt bonds. It is a good thing.

Also India is about to (or already has?) adopt explicit inflation targeting (4% + or - 2%) So that has some interesting implications. If Inflation is moving up, will RBI keep on increasing interest rates? Probably yes. I am simply not sure how this entire thing is going to play out.


Regards,
Vamsee

Re: Indian investments thread

Posted: 08 May 2015 21:48
by Karthik S
Vamsee wrote:
Karthik S wrote:Gurus, will a long term government bond be a good option for pension?

If we go by history, Bonds/FDs will help you keep up with the inflation. So If you are not looking for increase in purchasing power & want (expensive) comfort of certainty,
Govt Bonds are a good option

RBI is simplifying the procedure for Individuals to purchase & hold govt bonds. It is a good thing.

Also India is about to (or already has?) adopt explicit inflation targeting (4% + or - 2%) So that has some interesting implications. If Inflation is moving up, will RBI keep on increasing interest rates? Probably yes. I am simply not sure how this entire thing is going to play out.


Regards,
Vamsee


Thank you. But aren't the coupon payments a fixed percentage of the bond's face value? If the interest rates are increased, wouldn't the price of the bond reduce and not that the coupon payment rates will increase accordingly?

Re: Indian investments thread

Posted: 09 May 2015 00:15
by Suraj
Yes, you don't want to buy bonds in the beginning of a rising rate regime. Buy them when rates top out. Sell when the rate cut process bottoms out. Walk away with the high coupon payments and the rise in bond prices.

Re: Indian investments thread

Posted: 02 Jun 2015 16:04
by Austin
What kind of Debt Fund are good to invest in times of RBI Falling interest rates ? I have bonds that are Debt Income Fund types , invested in mix GSEC and Corporate bond and other things.

I am really not sure if its good to invest in Income Fund during falling interest rates

Re: Indian investments thread

Posted: 03 Jun 2015 02:19
by Suraj
RBI has signaled it's not cutting rates again in the near future. It's already dropped rates by 0.75% so far this year over three rounds. I don't know if there's a short term play in debt funds right now. There's probably more value in Indian equities and infrastructure funds right now, but I have not dug into that in detail.

Re: Indian investments thread

Posted: 03 Jun 2015 15:04
by Austin
The equities and infra funds would carry the risk that a market generally carries with such kind of fund.

I was looking more at parking money in different kind of debt fund for safety , liquidity and growth versus FD/POIS etc

Here is a very recent nice interview with Franklin Templeton Debt Fund Manager on what to expect on Debt find side of business

The Future of Debt

Re: Indian investments thread

Posted: 03 Jun 2015 15:49
by Gyan
Re Vamsee

With the crash of the market, do you think any interesting opportunities are emerging in specific shares, which you may have been following?

Re: Indian investments thread

Posted: 03 Jun 2015 20:39
by Vamsee
Gyan wrote:Re Vamsee

With the crash of the market, do you think any interesting opportunities are emerging in specific shares, which you may have been following?


Yes. In fact I do not have money to invest & I am already 100% invested in equities :-(

The unsustainable bubble in very high quality companies is slowly deflating which is a good thing (Did you see who much Astral fell from its 52 week high?).

Among large cap I like ITC & of course perennial favorite Gruh Finance.

There are a few interesting companies in mid-cap/small cap section but by nature they are more risky. That's why I usually do not mention them here.

Regards,
Vamsee

Re: Indian investments thread

Posted: 03 Jun 2015 21:48
by Austin
Is it good time to get out of Equity and Debt Market for sign of things to come ?

I am exposed to equity via SIP and heavily exposed to Debt:Income Market about 70% of savings are in Debt Market and 30 % in Equity

Re: Indian investments thread

Posted: 04 Jun 2015 02:17
by Vamsee
Everything depends on your situation Austin ji
1) Do you have any debt?
2) Does your spouse work? Same company/field or diff company/field
===================
Not particularly addressed at Austin ji. Just some general thoughts related to investment/personal finance/financial freedom.

In general I treat my job as "Fixed income" component. Since I know that I get salary every week, I do not need any Fixed deposits/Debt instruments.
I may switch to debt if equities are grossly overvalued, but right now it doesn't look like that. In fact in US Bonds are the biggest bubble right now(more accurately few of years ago). Buying bonds right now is equivalent of financial suicide.

For more than 50 years Americans faced a situation of total nuclear annihilation from Soviet Union. If someone looked at it and told himself that it is not "good time" to invest, he would have fared very badly in his life.
If things really go bats#it & you are very smart to put all your money in physical gold, what is the guarantee that your neighbor/govt/evil banks will not stab you and take it away?
There is always something or other to worry about in this world. The doomsdayers may be right & everything may go up in smoke. But equally one may die in an accident next day. We should go by probabilities while reducing weak-links in our financial chain.

Going in & out of equities hoping to catch the trends is not a terribly good idea. Much better is simply to ride both ups and downs. Over the years one will see the net worth grow substantially above inflation.

The way I prefer to manage my financial house is very simple
1) No debt. If there is one try to clear it as soon as I can. This is again controversial because people will show how leverage can boost returns etc and they are correct.
2) Have a medical insurance for everyone in the family. This is one thing which can destroy the financial castle.
4) Keep reasonable amount in emergency reserves. If we always pay-off credit cards, it can be tapped during emergencies. The amount in reserve depends on whether both are working or only one of them is working, how stable ones job is etc
5) Do not treat jewelery as investment. For Indians it is just a consumption item. :wink:
6) Do not treat primary residence as "investment". It sits between consumption & investment. If own house is the only asset in ones life, he may have mismanaged his finances.
7) It makes financial sense to put 100% of surplus money to work. If you are in India Govt punishes you for investing in debt/FD & rewards you for investing in equities (Dividends/LTCG = tax free!!!)
8 ) Stock markets go up/down. It is in its very nature. Complaining about it is like sitting on a roller-coaster and whining about lack of smooth ride.
9) Picking individual stocks is not for everybody. In fact for 99% of people doing SIP and treating it just like any other monthly bill is a superb option.
10) In equities if you ignore the first decade, rest of the life will be very comfortable. Hence starting early is very good option.
11) Making financial decisions based on what we read on zerohedge is surest path to financial ruin :D

Regards,
Vamsee

Re: Indian investments thread

Posted: 06 Jun 2015 10:30
by Vamsee
I wrote a quick note yesterday. :)

L’Affaire Maggi

Re: Indian investments thread

Posted: 06 Jun 2015 10:55
by Austin
Vamsee wrote:Everything depends on your situation Austin ji
1) Do you have any debt?
2) Does your spouse work? Same company/field or diff company/field
===================
Not particularly addressed at Austin ji. Just some general thoughts related to investment/personal finance/financial freedom.

In general I treat my job as "Fixed income" component. Since I know that I get salary every week, I do not need any Fixed deposits/Debt instruments.
I may switch to debt if equities are grossly overvalued, but right now it doesn't look like that. In fact in US Bonds are the biggest bubble right now(more accurately few of years ago). Buying bonds right now is equivalent of financial suicide.

For more than 50 years Americans faced a situation of total nuclear annihilation from Soviet Union. If someone looked at it and told himself that it is not "good time" to invest, he would have fared very badly in his life.
If things really go bats#it & you are very smart to put all your money in physical gold, what is the guarantee that your neighbor/govt/evil banks will not stab you and take it away?
There is always something or other to worry about in this world. The doomsdayers may be right & everything may go up in smoke. But equally one may die in an accident next day. We should go by probabilities while reducing weak-links in our financial chain.

Going in & out of equities hoping to catch the trends is not a terribly good idea. Much better is simply to ride both ups and downs. Over the years one will see the net worth grow substantially above inflation.

The way I prefer to manage my financial house is very simple
1) No debt. If there is one try to clear it as soon as I can. This is again controversial because people will show how leverage can boost returns etc and they are correct.
2) Have a medical insurance for everyone in the family. This is one thing which can destroy the financial castle.
4) Keep reasonable amount in emergency reserves. If we always pay-off credit cards, it can be tapped during emergencies. The amount in reserve depends on whether both are working or only one of them is working, how stable ones job is etc
5) Do not treat jewelery as investment. For Indians it is just a consumption item. :wink:
6) Do not treat primary residence as "investment". It sits between consumption & investment. If own house is the only asset in ones life, he may have mismanaged his finances.
7) It makes financial sense to put 100% of surplus money to work. If you are in India Govt punishes you for investing in debt/FD & rewards you for investing in equities (Dividends/LTCG = tax free!!!)
8 ) Stock markets go up/down. It is in its very nature. Complaining about it is like sitting on a roller-coaster and whining about lack of smooth ride.
9) Picking individual stocks is not for everybody. In fact for 99% of people doing SIP and treating it just like any other monthly bill is a superb option.
10) In equities if you ignore the first decade, rest of the life will be very comfortable. Hence starting early is very good option.
11) Making financial decisions based on what we read on zerohedge is surest path to financial ruin :D

Regards,
Vamsee


Nice Thought and Advise , Thanks.

Based on what you wrote it makes me think you are in US and not based in India.

Considering my past options and the current limited avenues I have for income I am very conservative in my financial thought process , so based on the fund I have or would have in near future. My Planned Break Up would be something like this

45 % in Post Office MIS/RD ( Guranteeds 8.3 % compound if stay invested for 5 years )
25 % in Physical Gold
25 % in Stock ( STP into MF via Debt Fund )
5-8 % in FD

If there is some decent source of income that comes by then I would invest in buying Physical Gold

I wonder if on this forum can have a look at my Debt Fund/MF I plan to invest in and give me an opinion ? I tried to do what I understand but then my understanding is limited too

Re: Indian investments thread

Posted: 06 Jun 2015 19:01
by Gyan
Vamsee wrote:
Gyan wrote:Re Vamsee

With the crash of the market, do you think any interesting opportunities are emerging in specific shares, which you may have been following?


Yes. In fact I do not have money to invest & I am already 100% invested in equities :-(

The unsustainable bubble in very high quality companies is slowly deflating which is a good thing (Did you see who much Astral fell from its 52 week high?).

Among large cap I like ITC & of course perennial favorite Gruh Finance.

There are a few interesting companies in mid-cap/small cap section but by nature they are more risky. That's why I usually do not mention them here.

Regards,
Vamsee


Actually we are trying to coax you to suggest some high value companies which you now think have "now" become fair value. :D :D or even better some multi baggers in making :)

Re: Indian investments thread

Posted: 06 Jun 2015 23:24
by Suraj
Using the follow the money approach:
Realty, core sector funds to get pension boost
The pension regulator has allowed investment up to five per cent of the corpus of government employees in the National Pension System (NPS) in asset-backed securities. This could kick-start real estate investment trusts and infrastructure investment trusts.

Tweaking the investment pattern for government employees on recommendations of the G N Bajpai committee, the Pension Fund Regulatory and Development Authority (PFRDA) has raised the investment limit on non-government securities to 45 per cent. It reduced exposure to government securities to 50 per cent.

The changed pattern will be effective from June 10. The cap on equity investment stays at 15 per cent. Changes in the investment pattern for private sector employees are awaited.

Re: Indian investments thread

Posted: 07 Jun 2015 03:17
by Vamsee
Vamsee wrote:I wrote a quick note yesterday. :)

L’Affaire Maggi


Part -II

Maggi Profitability puzzle

Re: Indian investments thread

Posted: 07 Jun 2015 03:18
by Vamsee
Gyan ji,

Sure. Will update in a few days. Right now I am obsessed with Nestle :-)

Re: Indian investments thread

Posted: 07 Jun 2015 09:51
by Vamsee

Re: Indian investments thread

Posted: 07 Jun 2015 20:34
by Austin
Suraj wrote:Using the follow the money approach:
Realty, core sector funds to get pension boost
The pension regulator has allowed investment up to five per cent of the corpus of government employees in the National Pension System (NPS) in asset-backed securities. This could kick-start real estate investment trusts and infrastructure investment trusts.

Tweaking the investment pattern for government employees on recommendations of the G N Bajpai committee, the Pension Fund Regulatory and Development Authority (PFRDA) has raised the investment limit on non-government securities to 45 per cent. It reduced exposure to government securities to 50 per cent.

The changed pattern will be effective from June 10. The cap on equity investment stays at 15 per cent. Changes in the investment pattern for private sector employees are awaited.


Wonder why not invest 15-20 % in buying physical gold , should be a good hedge for investors

Re: Indian investments thread

Posted: 24 Jun 2015 05:04
by UlanBatori
Could the Faithful here pls provide some suggestions / recommendations on banks to handle Indian PIS from phoren for my 6th coujin 4 times removed hu eej in Yoo Ess?

He has vast experience of IndusInd Bank and considers them to be 400% idiots. Keep bothering him about the Customer Updation Phorm, though he has sent it to them hajaar times already - the idiots don't seem to have any filing system or connections between their different oiseules.

Any other banks?

Re: Indian investments thread

Posted: 24 Jun 2015 12:51
by Picklu
ICICI was rather famous for flooding their documents but last few years they are doing better is what I hear.

Re: Indian investments thread

Posted: 30 Jun 2015 00:08
by VenkataS
Should I hold on to TTM or sell it. I bought (Tata Motors) here in the US about a couple of months ago as it looked like about the only stock that I could buy directly in the US. I have lost more than 20% on it over this time (from $42 to $34 now). I initially intended to hold on to it over the long term. But have read articles recently that seems to suggest that they are not doing that well. Should I sell it now and count my losses or should I hold onto it.

Re: Indian investments thread

Posted: 13 Jul 2015 22:37
by Vamsee
Another Quarterly (Qtr ending Jun 30, 2015) result for Gruh Finance....

Revenue ~ 21.84% up YOY
Net Profits ~ 20.04% up YOY
EPS up ~ 19.53% up YOY

Gross NPA = 0.52% of total loans
Net NPA = 0.15% (compared to 0.04% YoY)


Utterly predictable company :D

Re: Indian investments thread

Posted: 10 Jun 2016 21:37
by Austin
Guys one of the best site for Personal Finance I came across in years , Pls have a look at the link and site in general

E-book: Post-retirement income generation strategies

http://freefincal.com/e-book-post-retir ... trategies/

Re: Indian investments thread

Posted: 12 Jun 2016 07:37
by archan
After a hiatus, looks like things might be warming up again. What's looking good for short term, BTST gambling?

Re: Indian investments thread

Posted: 13 Jun 2016 17:20
by kumarn
Sugar!

Re: Indian investments thread

Posted: 14 Jun 2016 02:42
by Vamsee
archan wrote:After a hiatus, looks like things might be warming up again. What's looking good for short term, BTST gambling?


This is investments thread saar :twisted:

Re: Indian investments thread

Posted: 18 Jun 2016 12:24
by archan
Sorry OT :lol:

Re: Indian investments thread

Posted: 21 Jun 2016 18:19
by rvishwak
What Debt Fund/MF you have short listed?


Austin wrote:
Vamsee wrote:Everything depends on your situation Austin ji
1) Do you have any debt?
2) Does your spouse work? Same company/field or diff company/field
===================
Not particularly addressed at Austin ji. Just some general thoughts related to investment/personal finance/financial freedom.

In general I treat my job as "Fixed income" component. Since I know that I get salary every week, I do not need any Fixed deposits/Debt instruments.
I may switch to debt if equities are grossly overvalued, but right now it doesn't look like that. In fact in US Bonds are the biggest bubble right now(more accurately few of years ago). Buying bonds right now is equivalent of financial suicide.

For more than 50 years Americans faced a situation of total nuclear annihilation from Soviet Union. If someone looked at it and told himself that it is not "good time" to invest, he would have fared very badly in his life.
If things really go bats#it & you are very smart to put all your money in physical gold, what is the guarantee that your neighbor/govt/evil banks will not stab you and take it away?
There is always something or other to worry about in this world. The doomsdayers may be right & everything may go up in smoke. But equally one may die in an accident next day. We should go by probabilities while reducing weak-links in our financial chain.

Going in & out of equities hoping to catch the trends is not a terribly good idea. Much better is simply to ride both ups and downs. Over the years one will see the net worth grow substantially above inflation.

The way I prefer to manage my financial house is very simple
1) No debt. If there is one try to clear it as soon as I can. This is again controversial because people will show how leverage can boost returns etc and they are correct.
2) Have a medical insurance for everyone in the family. This is one thing which can destroy the financial castle.
4) Keep reasonable amount in emergency reserves. If we always pay-off credit cards, it can be tapped during emergencies. The amount in reserve depends on whether both are working or only one of them is working, how stable ones job is etc
5) Do not treat jewelery as investment. For Indians it is just a consumption item. :wink:
6) Do not treat primary residence as "investment". It sits between consumption & investment. If own house is the only asset in ones life, he may have mismanaged his finances.
7) It makes financial sense to put 100% of surplus money to work. If you are in India Govt punishes you for investing in debt/FD & rewards you for investing in equities (Dividends/LTCG = tax free!!!)
8 ) Stock markets go up/down. It is in its very nature. Complaining about it is like sitting on a roller-coaster and whining about lack of smooth ride.
9) Picking individual stocks is not for everybody. In fact for 99% of people doing SIP and treating it just like any other monthly bill is a superb option.
10) In equities if you ignore the first decade, rest of the life will be very comfortable. Hence starting early is very good option.
11) Making financial decisions based on what we read on zerohedge is surest path to financial ruin :D

Regards,
Vamsee


Nice Thought and Advise , Thanks.

Based on what you wrote it makes me think you are in US and not based in India.

Considering my past options and the current limited avenues I have for income I am very conservative in my financial thought process , so based on the fund I have or would have in near future. My Planned Break Up would be something like this

45 % in Post Office MIS/RD ( Guranteeds 8.3 % compound if stay invested for 5 years )
25 % in Physical Gold
25 % in Stock ( STP into MF via Debt Fund )
5-8 % in FD

If there is some decent source of income that comes by then I would invest in buying Physical Gold

I wonder if on this forum can have a look at my Debt Fund/MF I plan to invest in and give me an opinion ? I tried to do what I understand but then my understanding is limited too

Re: Indian investments thread

Posted: 21 Jun 2016 18:20
by rvishwak
Sugar rally is gone now after govt. imposed 20% export duty.


kumarn wrote:Sugar!

Re: Indian investments thread

Posted: 21 Jun 2016 20:20
by Vamsee
In investing it is very useful to look at past records. There are some sectors which have consistently made money for long term investors and there are many sectors which never made money for its long term investors.
Sugar is cyclical. There is no way we can make money by holding it long term. So unless we know the low point & high point of the cycle, we cannot make money in that sector. Instead of focusing on *hard* methods to get rich, why not simply take the easy road?

In October 2014 on this thread I mentioned that I like Gruh Finance a lot. It went up by around 50% from that point excluding dividends. It was a no-brainier call. Similarly United Spirits *at this price* (~2400) is a no-brainer (IF we are willing to hold for >5 years. Anything less than 5 years is not investing. Its gambling)

:)

Re: Indian investments thread

Posted: 21 Jun 2016 20:33
by nirav
archan wrote:After a hiatus, looks like things might be warming up again. What's looking good for short term, BTST gambling?


This might be of interest to some. I havent personally checked the profitability of traders, due diligence is needed before acting on it, but a unique concept nevertheless ..

http://zerodha.com/z-connect/zerodha/wh ... ar-traders

Another thing, for guys adding equity to their portfolio-long term on a regular basis, bliss to check out zerodha as your execution broker for eventual delivery into your banks demat a/c..

Their brokerage on equity delivery trades is ZERO.
Delivery brokerage by old school brokers is in the range of 0.2% to 0.5% of transaction value.

Re: Indian investments thread

Posted: 21 Jun 2016 21:50
by SaraLax
Posting here after a long time. Hope all you people have been patiently, non-chalantly & thoughtfully dealing (even when facing tough times) with Indian stocks.

Since my last posts in this thread - i have been scrounging small quantities of below stocks & building up their numbers. I haven't sold any of my previously mentioned stocks and added more of Wabag when it fell down drastically into 450 INR levels.

Cholamandalam Finance - a Murugappa group entity and also a company that has come back from a previously bad state (made losses during its ill fated tango with Singapore's DBS bank). Actually Tube Investments (another group concern) - holds nearly 45% stake in this company & also holds complete ownership of Cholamandalam MS General Insurance (where it sold a 11% stake for ~900 odd crore INR recently to a Japanese company). But TI's primary business is related automobile parts & related engineering areas and hasn't moved much (even though its a solid stock) where as Chola Finance has been a 3 bagger over last 2 years. It has been making increasing revenues & profits consistently over last 2 years. But for the lack of an MF arm - i feel Chola Finance is trying to become a carbon copy of the behemoth Sundaram Finance (what with both being based out of same city). Right now - its hovering nearby its 52 week high and i have stopped accumulating this one.

Natco Pharma - is a bright, upcoming pharma company with the usual Andhra based pharma enterpreneurs (returned from US) and is actually a very pricy stock and is actually a 6 bagger since 2013 and had a stock split (1 : 5) last year.There was a momentary dip in the stock into 380 INR odd territory from 520 INR levels (in matter of 10 days) due to unconfirmed issues associated with FDA inspection of its manufacturing plants. I grabbed the chance at that stage and bought a few in those days. It again has now shot up beyond 500 INR. I don't know if this will bloom into a LUPIN type stock ... but hope to hold for a few more years and observe their capabilities as the entire pharma industry becomes more competitive with lots of new entrants & consolidation happening all around. Stopped accumulating this one too.

ICICI Bank - was getting hammered (& still does at times) for some time due to loads of bad loans on its balance sheets. But having seen - how it went deathly limp in 2009 and still rose like a phoenix afterwards - i wanted to buy this volatile stock & hold on to it for some time even though there may be other bank stocks with better potential for rising faster & rising longer. It went to 190 INR level a few months before. Its has many non-banking financial businesses too (insurance, MF & etc) under its hood.

Intellect Design Arena - a pure banking/finance/insurance software product company with many years of experience of operating in international financial sectors. It is an offshoot of Polaris Software (the services division was sold recently to Virtusa while products division became Intellect). Last year full revenue was ~800 Crores INR and it made a loss of 25 Crore INR. Its gross margins are 50%+ currently. They are spending money to recruit big names for sales & marketing of the products around the world. Its products (many are cloud deployed, some even have an UI on Apple's iWatch, revenues earned through SAAS model) are winning awards in various places around the world. Its more than doubled in last 2 years. Pure Software Product companies always seem to carry an higher PE than services type software companies. It appears to be a good bet but the space is very competitive and company is just about starting to make profits (first quarter of profit was in last quarter). Let's see how this goes.

Gold is the hedge for me against stocks - but it is also increasing in the recent past but mostly due to BREXIT fears, i guess.

Re: Indian investments thread

Posted: 21 Jun 2016 22:40
by SaraLax
SaraLax wrote:Posting here after a long time. Hope all you people have been patiently, non-chalantly & thoughtfully dealing (even when facing tough times) with Indian stocks.

Since my last posts in this thread - i have been scrounging small quantities of below stocks & building up their numbers. I haven't sold any of my previously mentioned stocks and added more of Wabag when it fell down drastically into 450 INR levels.

Cholamandalam Finance - a Murugappa group entity and also a company that has come back from a previously bad state (made losses during its ill fated tango with Singapore's DBS bank). Actually Tube Investments (another group concern) - holds nearly 45% stake in this company & also holds complete ownership of Cholamandalam MS General Insurance (where it sold a 11% stake for ~900 odd crore INR recently to a Japanese company). But TI's primary business is related automobile parts & related engineering areas and hasn't moved much (even though its a solid stock) where as Chola Finance has been a 3 bagger over last 2 years. It has been making increasing revenues & profits consistently over last 2 years. But for the lack of an MF arm - i feel Chola Finance is trying to become a carbon copy of the behemoth Sundaram Finance (what with both being based out of same city). Right now - its hovering nearby its 52 week high and i have stopped accumulating this one.

Natco Pharma - is a bright, upcoming pharma company with the usual Andhra based pharma enterpreneurs (returned from US) and is actually a very pricy stock and is actually a 6 bagger since 2013 and had a stock split (1 : 5) last year.There was a momentary dip in the stock into 380 INR odd territory from 520 INR levels (in matter of 10 days) due to unconfirmed issues associated with FDA inspection of its manufacturing plants. I grabbed the chance at that stage and bought a few in those days. It again has now shot up beyond 500 INR. I don't know if this will bloom into a LUPIN type stock ... but hope to hold for a few more years and observe their capabilities as the entire pharma industry becomes more competitive with lots of new entrants & consolidation happening all around. Stopped accumulating this one too.

ICICI Bank - was getting hammered (& still does at times) for some time due to loads of bad loans on its balance sheets. But having seen - how it went deathly limp in 2009 and still rose like a phoenix afterwards - i wanted to buy this volatile stock & hold on to it for some time even though there may be other bank stocks with better potential for rising faster & rising longer. It went to 190 INR level a few months before. Its has many non-banking financial businesses too (insurance, MF & etc) under its hood.

Intellect Design Arena - a pure banking/finance/insurance software product company with many years of experience of operating in international financial sectors. It is an offshoot of Polaris Software (the services division was sold recently to Virtusa while products division became Intellect). Last year full revenue was ~800 Crores INR and it made a loss of 25 Crore INR. Its gross margins are 50%+ currently. They are spending money to recruit big names for sales & marketing of the products around the world. Its products (many are cloud deployed, some even have an UI on Apple's iWatch, revenues earned through SAAS model) are winning awards in various places around the world. Its more than doubled in last 2 years. Pure Software Product companies always seem to carry an higher PE than services type software companies. It appears to be a good bet but the space is very competitive and company is just about starting to make profits (first quarter of profit was in last quarter). Let's see how this goes.

Gold is the hedge for me against stocks - but it is also increasing in the recent past but mostly due to BREXIT fears, i guess.


Also - be ready with some cash because there could possibly be a BREXIT related drop in stock indices (might happen as early as this Thursday !). We may get an opportunity to buy some of our "long-coveted-but-costly-to-buy" company shares and I surmise, we could possibly sell some gold etfs too during this ensuing time period !!.

Re: Indian investments thread

Posted: 24 Jun 2016 09:13
by SaraLax
SaraLax wrote:
SaraLax wrote:Posting here after a long time. Hope all you people have been patiently, non-chalantly & thoughtfully dealing (even when facing tough times) with Indian stocks.

Since my last posts in this thread - i have been scrounging small quantities of below stocks & building up their numbers. I haven't sold any of my previously mentioned stocks and added more of Wabag when it fell down drastically into 450 INR levels.

Cholamandalam Finance - a Murugappa group entity and also a company that has come back from a previously bad state (made losses during its ill fated tango with Singapore's DBS bank). Actually Tube Investments (another group concern) - holds nearly 45% stake in this company & also holds complete ownership of Cholamandalam MS General Insurance (where it sold a 11% stake for ~900 odd crore INR recently to a Japanese company). But TI's primary business is related automobile parts & related engineering areas and hasn't moved much (even though its a solid stock) where as Chola Finance has been a 3 bagger over last 2 years. It has been making increasing revenues & profits consistently over last 2 years. But for the lack of an MF arm - i feel Chola Finance is trying to become a carbon copy of the behemoth Sundaram Finance (what with both being based out of same city). Right now - its hovering nearby its 52 week high and i have stopped accumulating this one.

Natco Pharma - is a bright, upcoming pharma company with the usual Andhra based pharma enterpreneurs (returned from US) and is actually a very pricy stock and is actually a 6 bagger since 2013 and had a stock split (1 : 5) last year.There was a momentary dip in the stock into 380 INR odd territory from 520 INR levels (in matter of 10 days) due to unconfirmed issues associated with FDA inspection of its manufacturing plants. I grabbed the chance at that stage and bought a few in those days. It again has now shot up beyond 500 INR. I don't know if this will bloom into a LUPIN type stock ... but hope to hold for a few more years and observe their capabilities as the entire pharma industry becomes more competitive with lots of new entrants & consolidation happening all around. Stopped accumulating this one too.

ICICI Bank - was getting hammered (& still does at times) for some time due to loads of bad loans on its balance sheets. But having seen - how it went deathly limp in 2009 and still rose like a phoenix afterwards - i wanted to buy this volatile stock & hold on to it for some time even though there may be other bank stocks with better potential for rising faster & rising longer. It went to 190 INR level a few months before. Its has many non-banking financial businesses too (insurance, MF & etc) under its hood.

Intellect Design Arena - a pure banking/finance/insurance software product company with many years of experience of operating in international financial sectors. It is an offshoot of Polaris Software (the services division was sold recently to Virtusa while products division became Intellect). Last year full revenue was ~800 Crores INR and it made a loss of 25 Crore INR. Its gross margins are 50%+ currently. They are spending money to recruit big names for sales & marketing of the products around the world. Its products (many are cloud deployed, some even have an UI on Apple's iWatch, revenues earned through SAAS model) are winning awards in various places around the world. Its more than doubled in last 2 years. Pure Software Product companies always seem to carry an higher PE than services type software companies. It appears to be a good bet but the space is very competitive and company is just about starting to make profits (first quarter of profit was in last quarter). Let's see how this goes.

Gold is the hedge for me against stocks - but it is also increasing in the recent past but mostly due to BREXIT fears, i guess.


Also - be ready with some cash because there could possibly be a BREXIT related drop in stock indices (might happen as early as this Thursday !). We may get an opportunity to buy some of our "long-coveted-but-costly-to-buy" company shares and I surmise, we could possibly sell some gold etfs too during this ensuing time period !!.


A 916 points drop currently in BSE - with UK voting for BREXIT !.

Re: Indian investments thread

Posted: 24 Jun 2016 09:26
by archan
1000+ point drop. What are you guys buying?

Re: Indian investments thread

Posted: 24 Jun 2016 09:30
by kvraghav
Good time to buy. Sentimental selling is going on. Planning to buy Tata Motors hoping JLR will make some good profits and sales.

Re: Indian investments thread

Posted: 24 Jun 2016 11:18
by Aditya_V
kvraghav wrote:Good time to buy. Sentimental selling is going on. Planning to buy Tata Motors hoping JLR will make some good profits and sales.


Never buy on the 1st day of a drop, based on experience, if things drop they keep the trend for atleast a week or 2 when they reach near the bottom.