How does a financial planner answer this question? or change it to “market is rising, what should I do?” It is really difficult, right? Ok let me try. If he is an equity buff he is likely to say “Keep investing, in the long run equities are the best asset class and you will get […]
Are you a little surprised at the title when the government is proudly talking of inflation at -1.56%? Well you should be! But look at the ground reality. Monsoon is not great – this is bound to put a lot of pressure on dal and vegetables. Luckily for us oil is not rearing its ugly […]
An investment show is being held in Mumbai, Worli. Here are the details: Name of the show: India Investment Show To be held on: June 6-7, 2009 at Nehru Centre, Mumbai. Entry fee: NIL Like every year, we are putting together an exciting show for you. Register by visiting http://equityshow.myiris.com. The show kicks off on […]
A couple of weeks back I had written a post about how the slow down will hurt some industries. Fairly clearly those companies (industries) which have a high cash burn ratio – and who cannot reduce fixed costs will bleed first. Financial services industry – life insurance, broking retail, general retail – are all vulnerable. […]
Many people have asked me what is the starting point of the “sub-prime” problem. This is really very difficult to answer. Relaxing of credit standards in US, over-leveraging by the Investment banks, spending far, far beyond one’s ability to repay..all of them can be taken to be the starting point. However, 2-3 events are remarkable […]
So at last the world is telling America a simple thing. You cannot live beyond your means for too long. When they had a huge deficit, they went to war at Afghanistan. Then at Iraq. It does not matter how much money you have – if you burn it fast enough, it will be over! […]
This is the headline that Jonathan Weil used in his article in Bloomberg. You must read the full article. Here is a summary: Freddie had accumulated $ 34.3 billion (yes Billion) of paper losses, but excluded them from calculation of regulatory capital. All Freddie had to do was say the losses were “temporary” and they […]