Equity



 
When we buy equities, we start looking at the price next day or next week. For many who call themselves investors,ong run is 1 month. But do you think the management of the business of which we buy shares really looks at their business growth in such a short period.
In equities, the rule of Farming applies. This basic rules states that -



1. You first have to sow a seed.
2. Keep watering it for it to grow.
3. Wait for some time with patience.
4. With passage of time, you will get fruits of your hard work and patience.

But when it comes to equities, we think that HAATHON MEIN HI SARSO UGTI HAI. We want good return in short time. How many of us really think of equities for long horizon? We keep Gold for generations. Grandparents go for bank fixed deposits for their grandchildren, but no one invests in share of banks, say HDFC Bank for their kid’s marriage. And, no one plans to invest in equity mutual fund for their retirement.    

Fundamental Investing & Speculation
Equity give you two kind of return, one is speculative and another is fundamental growth. 95% of the investors in shares are here for speculative gain, that is gain  from the short term price movement of shares. They start TIMING THE MARKET rather giving TIME IN THE MARKET. This approach for short term gains is the real cause of loss. Investment for long run is not only rewarding but also beats inflation by a good margin and creates wealth. Now think of Indian business or Indian Economy for next month, you will be clueless but think of it for next 5 years, 10 years. We know that you are aware of the answer.

Risk Involvement
Now people call equity risky. Unfortunately risk is not understood by many investors. In short run, risk is in volatility of price of underlying asset i.e., how much it can rise and fall given a period of time. But in long run risk is not volatility but the risk is to maintain the purchasing power of your money. Look at the price of petrol in last 30 years (in below chart) and then compare it with your return in FDs, Gold, Endowment or Money Back Plans. Why people don’t make money in Equities?

Just to give you comparison how equities have delivered returns over last 30 year, look at the graph below. The graph shows you how Rs. 100 invested in different asset class fared over last 30 years ending March 31st 2010.



Looking at the graph above, it must be clear that equities do give returns. But the question still remains unanswered that if Equity gives returns, Why people don’t make money out of equities. The answer lies in their EMOTIONS. The two basic emotions Greed & Fear will make you feel comfortable when the markets are going up and feel disheartened when the market goes down, even though one really don’t need to sell at that time. Always remember that equities is a long term investment and after you invest if emotions are making you restless, think about forgetting this investment. Checking daily profit or loss and anticipating the future growth has no meaning and is futile exercise.

In the end, invest in equities, but as a long term investor and partner the Indian Growth Story.

  • MF News
  • Market News
  • IPO News


Credit Suisse upbeat on Power Grid, NTPC on valuation  growth parameters The brokerage house observed that the power regulator seems to be nudging the sector to more flexibility.
Mon, 18 Jun 2018 14:18:07 +0530


Don’t see blowout performance from largecaps, smallcaps a better play: Shankar Sharma Sectorwise, he is betting on sectors such as steel, infrastructure, chemicals, and optical fibre cables as the opportunities in these sectors remain sizeable
Mon, 18 Jun 2018 12:47:56 +0530


S Krishna Kumar S Krishnakumar believes that there is chance to make a lot of money when there is fear among investors. Valuations have drained out and earnings trajectory looks better, he said.
Mon, 18 Jun 2018 11:00:10 +0530


Akash Jain Investors need to be careful while selecting stocks in midcap space as any unfavourable result in state elections would result in a drastic fall in midcaps and smallcaps
Mon, 18 Jun 2018 10:29:14 +0530


Remain long on Nifty till 10,700 sustains; 3 buys that may return up to 17% “We continue to remain positive on markets till it sustains above 10,700 levels,” says Vikas Jain of Reliance Securities
Mon, 18 Jun 2018 09:20:29 +0530


Nifty may retest downside support of 10,740; buy Aurobindo Pharma for the near term “The Nifty ended last week with an inverted hammer candle, which implies nervousness still persists” says Jaydeb Dey of Stewart Mackertich Wealth Management
Mon, 18 Jun 2018 08:57:38 +0530


Siddharth Sedani Going forward though, market experts see earnings as well as monsoon to be the next big triggers.
Mon, 18 Jun 2018 08:26:27 +0530


Podcast | Stock Picks of the Day: 3 stocks that could return 4-12% in about 30 days "This week, we expect the market to remain rangebound between 10,925 on the upside and 10,720 on the downside," Dinesh Rohira of 5nance.com said
Mon, 18 Jun 2018 08:04:29 +0530


Stocks which are hitting 52-week highs likely to outperform once Nifty reclaims 11K Rajesh Palviya of Axis Securities feels if Nifty crosses 10,900 levels then short covering can pull the indices to the 11,000 mark.
Sun, 17 Jun 2018 09:50:57 +0530


Economic cues to watch out for this week; these 3 stocks may return up to 44% Sumit Bilgaiyan of Equity99 said the key factors such as rupee#39;s movements against the US dollar and fluctuations in crude oil prices as well as developments on monsoon#39;s progress will impact investors#39; risk-taking appetite.
Sun, 17 Jun 2018 09:23:31 +0530


Mazhar Mohammad Though Nifty remained positive, the chart structure will not turn bullish unless we register a decisive close above 10,930 levels, says Mazhar Mohammad, Chief Strategist – Technical Research Trading Advisory, Chartviewindia.in.
Sat, 16 Jun 2018 10:11:13 +0530


Manish Sonthalia Manish Sonthalia of Motilal Oswal AMC cites regulatory approvals as well as reduction in price erosion in the US as reasons for the upmove in pharma stocks
Fri, 15 Jun 2018 11:13:35 +0530


Nervousness persist, Nifty may face resistance at 10,850 levels “The Nifty ended the session with a Hanging Man candle, which implies that nervousness still persists” says Jaydeb Dey of Stewart Mackertich Wealth Management
Fri, 15 Jun 2018 08:59:11 +0530


Aditya Agarwal "10,929 will act as strong resistance and only a weekly close above this level will negate the bearish candle. On the flip side, 10,710 will act as immediate support, followed by 10,620," says Aditya Agarwal of Way2Wealth Brokers.
Fri, 15 Jun 2018 08:51:45 +0530


Trade Setup for Friday: Top 15 things to know before Opening Bell Investors are advised to remain cautious and a decisive breach of 10,767 on Friday could extend the decline while strong resistance is placed at 10,900-10,930 levels, suggest experts.
Fri, 15 Jun 2018 07:17:23 +0530


Subscribe to RITES: GEPL Capital GEPL Capital has come out with its report on RITES. The research firm has recommended to "Subscribe " the IPO in its research report as on June 15, 2018.
Mon, 18 Jun 2018 17:18:26 +0530


Subscribe to Fine Organics Industries Ltd: ICICI Direct ICICI Direct has come out with its report on Fine Organics Industries Ltd. The research firm has recommended to "Subscribe " the IPO in its research report as on June 18, 2018.
Mon, 18 Jun 2018 17:10:25 +0530


Fine Organic IPO to open on June 20, to raise Rs 600 cr via OFS The public issue comprises of offer for sale of 76,64,994 equity shares by the promoter group selling shareholders.
Thu, 14 Jun 2018 16:03:47 +0530


RITES IPO to hit markets on June 20, price band at Rs 180-185/share According to an official, another rail PSU -- Rail Vikas Nigam Ltd (RVNL) -- could be the second one to hit the market with the issue size likely to be around Rs 500 crore.
Tue, 12 Jun 2018 15:30:14 +0530


Century Metal Recycling files IPO papers with Sebi The offer comprises of a fresh issue of equity shares aggregating up to Rs 150 crore and an offer for sale of up to 6,402,650 equity shares of Century Metal Recycling by the promoters including Gauri Shankar Agarwala (up to 793,243 equity shares), Mohan Agarwal (up to 788,955 shares).
Tue, 12 Jun 2018 15:30:14 +0530


Indostar Capital Finance closes up 2% on Day 1 despite weak market conditions On the BSE, the stock price closed up 2.36 percent at Rs 585.50 after hitting a day#39;s high of Rs 606.30 and low of Rs 578.50.
Mon, 21 May 2018 17:11:05 +0530


Indostar Capital Finance debuts with 5% premium at Rs 600.60 The non-banking finance company will use issue proceeds for augmenting capital base to meet future capital requirements while money raised through offer for sale will go to selling shareholders.
Mon, 21 May 2018 10:07:19 +0530


Indostar Capital Finance to debut on bourses on May 21 The Rs 1,844-crore initial public offer was subscribed 6.8 times during May 9-11, receiving bids for 15.36 crore shares against the total issue size of 2.25 crore shares.
Fri, 18 May 2018 11:08:01 +0530


Orient Electric lists at Rs 135 post demerger with Orient Paper The listing follows the demerger of the company from Orient Paper Industries Limited last year.
Mon, 14 May 2018 14:09:51 +0530


Montecarlo files Rs 550-cr IPO papers with Sebi The IPO comprises fresh issuance of shares worth Rs 450 crore besides an offer for sale of up to 30 lakh equity stocks by existing shareholder Kanubhai M Patel Trust, as per the draft papers.
Fri, 11 May 2018 17:04:10 +0530


Indostar Capital Finance fully subscribed on 3rd day of bidding The category set aside for qualified institutional buyers (QIBs) was subscribed 3.26 times, non institutional investors 0.06 times and retail investors 0.6 times.
Fri, 11 May 2018 12:03:52 +0530


Indostar Capital Finance IPO subscribed 69% on Day 2 The category set aside for qualified institutional buyers (QIBs) was subscribed 1.80 times, non institutional investors 3 per cent and retail investors 34 per cent.
Thu, 10 May 2018 19:30:39 +0530


IndoStar Capital Finance IPO subscribed 0.36 times The company has raised a little over Rs 553 crore from anchor investors.
Wed, 09 May 2018 16:40:37 +0530


Subscribe to Indostar Capital Finance: Ajcon Global Ajcon Global has come out with its report on Indostar Capital Finance. The research firm has recommended to "Subscribe " the IPO in its research report as on May 8, 2018.
Wed, 09 May 2018 12:33:14 +0530


IndoStar Capital Finance issue opens today: Should you subscribe? The price band of the issue is Rs 570-572 per equity share of the company of face value of Rs 10 each.
Wed, 09 May 2018 07:00:20 +0530

Schedule A Meeting With Us


Financial Video