Skip to main content

The great Indian stock markets

Day in and day out we have been bombarded by the news of gloom and doom. Watching the business news channels has been depressing. Reading the newspapers has been depressing. Luckily, we have the comical relief provided by the elections and the wonderful speeches of hate and violence to inspire us to move onward, to move forward.
Should i exit from stock market now? or should i remain invested? - "to be or not to be"
Investing in shares is actually an investment in the underlying business of company. In the ability of the managements of those businesses to ride the company through good times - and bad times. Of course, you need to be careful that you don’t end up investing in companies where the management starts riding a tiger of fraud and deceit -as Satyam shareholders found out. Or one in which the horses are pulling two carriages - one with air-conditioned comfort for the founder promoters who get their rich exits (as in the case of Ranbaxy) and one for the rest of us chumps. Nothing illegal about it. Buyers beware
During my discussions with my friends on what to do next in the market.I tell them that I don't have a definitive answer as to when the recovery will start ( or has it started already!); the uncertainity that surrounds the coming general election is making the entire picture very hazy,but i am sure informed decisions will definitely help savvy investor.

Comments

Popular posts from this blog

Biyani looks at the bigger picture

It is important to look at the holistic picture and have an individual opinion rather than get swayed away by the public consensus. This is the view of the man who pioneered the retailing boom in India - Mr. Kishore Biyani, the founder of India’s largest retailing company - Pantaloon. In an article in the Wall street Journal, Mr. Biyani wrote, "Almost daily doses of bad news on television screens and newspapers have possibly done as much damage to the economy as the events on either side of the Atlantic." I completely agree with him. Mr. Biyani’s predicament is based on the fact that an overwhelming majority of Indian consumers are self-employed, who can neither get laid off nor can have pay cuts. Consider some statistics he has provided. The share of the national income represented by proprietor-run concerns and partnerships is 35%. The share of companies is around 15%, government around 25%, and agriculture around 25%. Combine agriculture and the self-employed in industry a...

Infosys kick started the March quarter and full year FY09 result season today on a mixed note

Infosys kick started the March quarter and full year FY09 result season today on a mixed note. Although its fourth quarter operating performance did not have much to be enthused about, the company managed to add 37 new clients and 1,772 employees (net) during this quarter. This goes to show the consistency in the company’s long term business prospects. While the full year profits grew by a healthy 29% YoY, the company announced an earnings guidance for FY10 that would be lower by 3% to 7% YoY as compared to FY09 EPS.

Insight from the new book "The story of work" by Jan Lucassen. Work that never ends

The more things change, its turn out to be the  same as it ever was.  A new book about the history of work reveals that today’s workers have much in common with all those who have come before them over the past 12,000 years.  People’s appetites drive them to produce more than they need, and they build political and economic institutions to help them do it. Then those institutions drive them to do more. NYT ( see the story in the link)  also talks about  Gluttons for punishment.  We work so much because we want so much. That was anthropologist James Suzman’s conclusion after studying hunter-gatherers in the Kalahari Desert who satisfied their survival needs with roughly 15 hours of weekly labor. But modern, urban societies cause us to develop unlimited desires, which lead us to endless labour https://www.nytimes.com/2021/06/29/podcasts/transcript-ezra-klein-interviews-james-suzman.html?cid=other-eml-onp-mip-mck&hlkid=38845d000b404e829c41b7395739f39a&...