"You only have to do a very few things right in your life so long as you don't do too many things wrong" - Warren Buffett The two most celebrated festivals of Hindu culture – Diwali & Holi, shows us the way how to lead better and healthier life. For Diwali we cleanse our home and surroundings and for Holi we purify our home & surroundings on ‘Holika Dahan’ and then splash the new colours of life on ‘Dulhandi’, the following day. The colours of bond, trust and friendship among our fraternity who stand by us at all times – good or not so good. Coincidentally Diwali comes midway the financial year and Holi comes towards the close of it. What we do to cleanse and purify our physical and spiritual life, the same need to be applied to our portfolio for a financially healthy life. While midway the financial year we should scan our portfolio for cleansing, we should purify it and splash it with new colours towards the close of the year. Purifying and splashing new...

A.     SEBI raids offices and locations of Quant Mutual Fund suspecting front running in its schemes. B.   Grow an online mutual fund transaction platform for direct investors, committing fraud with its investor. Since yesterday morning these two news are making headlines across electronic and social media channels. Investors are worried how safe are their investments and what should they do now. We have received dozens of calls seeking our views on these news and action points. Lets discuss them one by one and likely impact on your investments. A.     SEBI raids Quant Mutual Fund Offices – Quant mutual fund has grown by over 1000 times in last seven odd years from the time they took over Escorts Mutual Fund in 2018. Quant’s assets under management (AUM) stand at over 93,000 crores. Quant practices momentum strategy very aggressively and have been quite successful over last 3-4 years. Peers in most categories lagged performance by a decent margi...

" The influence on stock markets are so numerous and so complex that no person has ever been able to predict the trend of stock prices with consistent success. – Sir John Templeton" India is all set to participate in fourth phase of parliament elections. While all political alliances are claiming success, capital markets seem to be thinking otherwise. This is the general perception now-a-days. Elections will be over in next three weeks and in just 23 days from now on 4 th of June we will have absolute clarity as to who is forming the government. Till then let’s analyse the probable scenarios that can emerge from the elctions and their likely impact on the economy and the stock markets: A.     BJP wins with thumping majority – It will continue the ongoing economic policies with increased pace and vigour which should bode well for the economy and the markets. Additionally it can take some debatable decisions that may cause unrest in certain sections of the society, ...

"The market does not trade upon what everybody knows, but upon what those with the best information can foresee" – William Hamilton Over last few days we saw friends observing Lent, Ramadan & Navratri. Today we are celebrating Ram Navami & couple of days later we will be celebrating Mahavir Jayanti. If something common can be drawn from all these is the most essential virtue of surviving and thriving in this world which is – Patience & Preservance. Be it observing fast during Navratri, Lent or Ramadan or life of Lord Ram or Lord Mahavir Jain – they all teaches us how patience & preservance penultimate in Nirvana. We all are working to survive, thrive and ultimately achieve the financial freedom or Financial Nirvana. And to achieve this nirvana we are investing in market related investment products. While in the long run most market linked investments achieve their true value but in short term it’s market prices are determined by many forces, some of which ...

India is a land of Festivals. Traditionally India had been an agrarian society and had prospered immensely on agriculture. Prosperity brought celebration in our lives along with responsibility. Sense of responsibility towards our fellow beings in the society including non-humans reflects in our festivals and in our rituals.   One such festival that evokes responsibility among Indians and especially Hindus is “Raksha Bandhan”. In its most popular interpretation – on this day brothers reassure and promise to protect all interests of their sisters and against all evils in their sister’s lives. On this Raksha Bandhan, let this promise be not restricted to some gifts and a promise to protect them physically but expand its scope, both in terms of relation and scope of protection. This year include all those people who are dependent on you and provide them your umbrella of protection. They could be your parents, your siblings, children, life partner, employees and any other. Scope of ...

  "The market does not trade upon what everybody knows, but upon what those with the best information can foresee" – William Hamilton Bank Collapse in USA - After the Adani saga it was the turn of some sensational news from so called robust but deteriorating financial system of USA. Collapse of Silicon Valley & other banks in USA are just the cases of cash flow mismatch and investment calls going wrong. By now you must have read enough on this. Still should you wish to understand what this story is all about, you may call your InvestmentMitra for the same. Thankfully SVB hadn’t financed any of the ventures from Adani group, otherwise pessimists would have declared doomsday for India as well. Adani Saga - Good part about Adani’s saga is that Adani as a group has interest across diversified industries and geographies. It has created a good mix of domestic and international debt. Adani group’s businesses are real. The promoters have prepaid a good amount of debt maturi...

  "We are all born ignorant, but one must work hard to remain stupid" – Benjamin Franklin We are just a month away from closing of this financial year. There are a host of changes that have to be done by March 31, 2023; failure to comply with these norms will cause disruption in your investments. Let us look at these changes that can impact your investments:   Aadhaar-Pan linking It is important to link Aadhaar and PAN as early as possible. The last date to link the two is March 31, 2023. In case you fail to link your Aadhaar with your PAN before 31 st March 2023, your PAN will become inoperative. And wherever your PAN is quoted, all such investments may also become inoperative. So double check if your PAN is linked with your Aadhaar. As per Department of Revenue Notification no 37/2017 dated 11th May 2017, following categories are exempted from Aadhaar-PAN linking (i) NRIs (ii) Not a citizen of India (iii) Age > 80 years or above as on date (iv) State of resi...

“There are only two things you can invest – Time & Money. Of the two – Time is more important.” – Robert Kiyosaki  Beautiful story of an airbus & a fighter plane I came across today that immediately struck my mind, how similar is this to two traits of investing. Let me tell you the story first: Airbus & the Fighter Plane : An Airbus 380 was on it's way across to its destination. It was flying consistently at 800 km/hr at 30,000 feet, when suddenly a Eurofighter with Tempo Mach 2 appeared. The pilot of the fighter jet slowed down, flying alongside the Airbus and greeted the pilot of the passenger plane by radio: "Airbus, boring flight isn’t it? Now have a look here! He rolls his jet on its back, accelerates, breaks through the sound barrier, rises rapidly to a dizzying height and then swoops down almost to sea level in a breathtaking dive. He loops back next to the Airbus and asked, "Well, how was that?" The Airbus pilot answered: "Very impr...

Few years back, we have talked about Indian’s ability to adapt to any situation. Same is reflected the way Indian government & corporates have managed the situation from first lock down to second phase of lock down. Despite the health bedlams during second wave of corona and unprecedented number of fatalities that forced the second lock down, Indian economy kept moving. Increase in tax collection, power consumption, capacity utilization, consumer spending, employment numbers etc. confirms the uptrend and revival in the economy. Stock markets anticipates the future and its trends reflect the same most of the time. With improved sentiments and well supported by ample liquidity it has seen an unprecedented rally over last year. And this rally has spread well across all market segments. Though market valuations are high at this point of time when compared to long term averages but with earnings fast catching up, these valuations are coming back to normal. For those who have to inve...

“I am a better investor because I am a businessman and a better businessman because I am no investor.” – Warren Buffet   By now you must have been bombarded with lot of budget analysis by TV channels, news-papers and from whatsapp & YouTube University. We don’t want to bore you further on nuances of budget. Should you have any specific query on budget, you may write to us and we would be very happy to answer your queries.   Market have welcomed budget with full josh and has started rallying again. It seems like the beginning of the Big Bull Run that we have been talking about for couple of years now.   Many of you might feel left out. Some of you will still remain hopeful of some correction to let you in. We at InvestmentMitra believe that his budget has laid a good foundation of sustainable growth over long term than going in for any short term quick fix options. Stock markets reaction is testimony to that.   In our communication last Thursday we had...

  We started 2020 on a buoyant mood with all good things picking up for the economy by the end of 2019, well elaborated in our article, ”The last day is special, it ends significant confusion.”  published on 31 st December 2019. Indian government brought in an expansionary budget which was well supported by RBI’s policy rate cuts. Not only various engines of growth of the economy started showings signs of revival, stock market rally also spread to wider range of stocks including from midcap and small cap segments, from just being a concentrated rally limited to 12-15 stocks. It was also the time when corona had engulfed the key industrial town of China and its spread started dreading the world. Remember our communication of 16 th February in which we feared it to be a Black Swan event. And in our communication Adversity offers Opportunity on 24 th February we had advised you to keenly look for investment opportunities that this pandemic could offer. Opportunities st...