Every time I talk about equity investing, I ask my audience to invest in 2 notebooks of 200 pages each. One notebook to write down what makes you buy / sell a share, what price you are paying, transaction charges, etc. Sometimes I also ask them to write what ‘gut’ feeling that they had. So […]
Amazing how Sebi even under Mr. Sinha is trying to increase costs for the Mutual fund industry’s investor… there is no doubt that the mutual fund industry is suffering from the after effects of Mr. Bhave and Don Quixote. However when Mr. Sinha came the industry was (perhaps) hoping for some relief. Well what has […]
When I ask people what they expect from their investments, their first answer is ‘profits’. So I now have to be more accurate in my questioning… One of the questions is ‘What returns do you expect on a realistic basis from your investments?’ Obviously in nsc and ppf they know the answer…but when it comes […]
Quite amused about the number of readers who said that the customer is well educated, can make well informed choices…Also many distributors believe that the customer believes them….I know of many cases where they listened to their brokers…and really went broke 🙂 Here read about the great food fraud.. http://opinionator.blogs.nytimes.com/2011/02/22/how-to-make-oatmeal-wrong/?ref=global-home
Yesterday a friend showed me the working of Reliance Mutual fund – he does not want to share the work publicly though. He took a very (perhaps not practical) view that an investor does a Rs. 1000 SIP in each and every equity fund of reliance mutual fund right from the date of launch of […]
People outside the financial industry may not realise the ails of the industry! Let us look at the brokerage industry. Not long ago – circa 199o even until 1999, brokerage rates were falling but still was about 2% per transactions. Then the corporate sector war started – chasing the top line to come out with […]
One of the stupidest things I have seen people do while creating wealth is interrupting the compounding. When a person invests in mutual funds, unit linked policies, national savings certificate, ppf, direct equity, …et al it is fairly obvious that they will break something. Now if you suddenly need Rs. 2-3 lakhs from a portfolio […]