India is a secular growth economy and over the decades, the economy has withstood the test of national and international events, gone through upturns and downturns, with nominal GDP (Manufacturing, Services and Agriculture) growing at near-constant decadal rates of about 15% per annum Stock markets have representation from the manufacturing and services sectors but not from agriculture. … Read more
How do we make sense of the ever-fluctuating share markets? Simple, think long term In life, we are surer about the near term – where we will be tomorrow or what we will be doing next week, but as we think more into the future, the less certain we are of our lives activities Interestingly, … Read more
A nice family vacation, a new swanky car, that dream house – everything costs a lot of money Gym membership, organic food, yoga coach, weight management program – Money!
It is rare to read in newspaper front pages about long term factors defining economic trends for the next 37 years, so it was a pleasant surprise to read this article on Monday morning
The best advice that I ever got for my investments was to “leave it alone”. I remember I didn’t want to follow that advice initially and when a big international event happened, and the markets went into a downward spiral, I wanted to liquidate all my Equity Mutual Funds. I wanted to sit out through … Read more
A smart fund manager puts money on what he believes are the best investment ideas today that will play out in the next 3-5 years. After that he would not sit back, and wait for the next 3-5 years for the expected outcome. The best fund managers assess and re-assess their holdings every day and make … Read more
There is a simple rule in stock market investing Buy Low – Sell High. As simple as it may sound, it is not so easy to follow. When markets fall, fear is the dominant emotion that prevails, we are afraid that markets will fall further and in extreme cases we end up actually selling. The reverse is … Read more
The value of the Sensex in its base year in 1979 was 100 and today it is up more than 270 times giving a compounded return of upwards of 16% per annum. This return by far exceeds other popular investment class returns which rarely come close to double digits %. Yet very few investors have … Read more
It is my firm belief that the key to building long term wealth is to never incur a large loss. The good news is that by following a few thumb-rules we can insulate our investments portfolio from any big jolt A large loss sets you back by years’ worth of savings and earnings, and recovering … Read more