Archive for the ‘Uncategorized’ Category
There are ~200 companies listed or due to list on BSE SME. There is one which is yet to list, and I found the website quite side-splitting. Appreciate the passion/drive of the management but they should have paid 50$ to B.A. English Hons. student to at least proof read English on their website.
Verbatim from the above link.
Sensex has fallen only 10% but Financial stocks that I have been overweight have fallen anywhere between 30-50%, consequently my Indian portfolio has been down 30% from its highs.
Pendulum may be finally swinging in the depressed direction, but financial stocks are not going to recover in a hurry, not in the next 2-3 months at least.
I find the BSE SME market attractive, it has ~150 companies listed and a couple of attractive companies.
The great has been trolled with the average and the likely stocks to recover first will be Bharat Financial and Repco Home (currently not invested in either). New investors may say ‘I told you so’ with financial stocks, but I feel the money is mainly in this sector other than Pharma/Chemical/Consumer brands to be made. Manappuram for example which I started buying from 42 Rs in 2012 when from 22-105-60 within a 52 week period. Short term is hard to predict, who knows, it could go back to 30 Rs, but Long term, I believe it can be 300-500 Rs in 4-6 years, all going well. You have to diversify with financials and can’t afford a proverbial 3 stock Munger portfolio.
So, at this point like the Hospitals, Housing Finance companies (except PNB Housing ‘recency effect’), and unique micro / nano caps.
Good luck for 2017!
Nice device expected to hit in 2017 for 300$
A scholarly dry article, summary “We find that hedge fund managers who own powerful sports cars take on more investment risk. Conversely, managers who own practical but unexciting cars take on less investment risk. The incremental risk taking by performance car buyers does not translate to higher returns. Consequently, they deliver lower Sharpe ratios than do car buyers who eschew performance. In addition, performance car owners are more likely to terminate their funds, engage in fraudulent behavior, load up on non-index stocks, exhibit lower R-squareds with respect to systematic factors, and succumb to overconfidence. We consider several alternative explanations and conclude that manager revealed preference in the automobile market captures the personality trait of sensation seeking, which in turn drives manager behavior in the investment arena.”