Saturday, October 27, 2018

Future is product of preferences made today.

Investoshashtra !!!📜📜📜
इनवेस्टोशास्त्र !!!📜📜📜

Recently we conducted an Investor awareness program for investors of our association members. We had a capacity of 500 pax.

We invited India's renowned speaker Mr.Krishan Sharma and event was organised at one of the best venue i.e. INOX, Vadodara with food.

Only guests who confirmed their availability, were invited. To take care of last moment cancellation due to some emergencies or unavoidable situation we distributed additional 7% invites.

Each one of us worked really hard to ensure it's packed to capacity.

But to our surprise only 65% of investor turned up out of total invitees.

*I was wondering if we had invited similar no. of guests at same venue for screening of movie _"Badhai ho"_ which was running in adjacent screen, I am sure situation would have been totally different."*

First of all we would have got full capacity by may be calling only 700 pax instead of making over 3000 calls. Secondly, provisioning of 7% for last moment cancellation had to be brought down to 1-2%.

We all want to have entertainment in life so nothing wrong with it.But awareness, knowledge and preparing for future is equally important..

I, always believe majority of Investor's considers financial planning as last priority. Amongst few who are conscious they also have big gap in decision making and implementation or may be goes out of their focus in few years.

*Remember "Future is not decided by how much we earn, but by how we manage it."*

*This weekend give a serious thought and make financial planning atleast your 4rth preference in life.(After may be job, family and entertainment).*

Raj Talati

Saturday, October 13, 2018

*Is there a Big billion sale in Indian Equity markets too??🤔🤔🤔*

Investoshashtra !!!📜📜📜
इनवेस्टोशास्त्र !!!📜📜📜

Word *Sale* made me puzzled of what it actually means.

As per dictionary Sale means "Period during which goods are sold at a discount to it's MRP (Maximum retail price)."

*The big question is who decides an MRP and does it remain same during the lifetime of the product. _Obviously no_. It keeps on increasing or decreasing depending on seller's wish.*

So only aspect which decides *sale* is real or not is the *value* we get against such *discounted products.*

That is the reason 90% (In many a cases 100%) of shopping my wife does online, goes for a return. (Thanks to free return policy😜😜). Reason is inspite of buying it in a sale she doesn't find value and that shows how word "Sale" is being manipulated by seller's.

Similarly, I have been getting lot of forwards from advisors as well as investor's regarding Big Billion sale going on in Indian Equity Market.

Big question strikes me again can this be termed as sale.May be "Yes" reference to historical prices, as it is available at big discount. *But what about value against the price we will be paying even now.*

Remember "The markets is most intelligent and dumbest at times". It's our job to find when it is behaving as a dumb (Opportunity) and when intelligent (Safety).

Looking at present macros like ; Crude price, Depreciation of Rupee, Increasing interest rate, Challenges with fiscal prudence, current account  deficit, political uncertainty, trade war etc etc, I don't think market is behaving like a dumb at all.

Actually, It was running much ahead of fundamentals due to heavy liquidity and Tina effect (there is no alternative).

*"Market can remain irrational for longer than you can remain solvent - John Keynes."*

*So do not try to leverage your equities looking at "Sale" even now and stick to asset allocation.*

Remember, it doesn't mean stopping SIP's these are the times it is best suited for.

Have a great weekend.

Raj Talati

Saturday, October 6, 2018

Your Outlook decides your fate

Investoshashtra !!!📜📜📜
इनवेस्टोशास्त्र !!!📜📜📜

Once a wise man was taken to a construction site. He was blindfolded and given a task of identifying what job 3 people standing in front of him do, by just asking one question.

He thought for a while and asked each one of them "What does you do at this site".

First one replied I am laying bricks, second one replied building a wall and third one *I am building a beautiful House 🏠.*

For same question there were totally different reply *although all of them doing the same job.* Which also explains reason for kind of income they earn.

Same is true with investors, there are the one's who just enters the market to trade, other set of people who speculate or follow herd mentality enters the market to make quick gains and very few comes with clearcut vision of *building a beautiful House 🏠.(Wealth creation or achieving a long term goal.)*

So the gains are dependent on outlook or purpose either lay a brick(trader and have small gains), build a wall(speculator - gains when calls go right and lose when it's wrong) or can be an investor who dreams, lay down a plan and work for ultimate final goal ignoring intermittent hick ups.

*This week just ignore noise around, think of your goal and  stay committed, everything else will automatically fall in place(But ensure you goals are long term).*

Raj Talati