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Commentary | Portfolio Yoga - Part 7

Category: Commentary

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Errors, Omissions & Commissions

The downside of strategies comes to the fore both at the best of time and the worst of times. At the best of times, the risk that suddenly pops open is disregarded as a one off incident that doesn’t entail much significance. But when similar kind of risk opens up during the worst of times, it generally is the last...

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Momentum Investing – Sin or Strategy

Ambhimanyu, the son of Arjuna had knowledge of entering the Chakravyuha but not the knowledge of coming out. This ended up with him getting killed and while the story being one of good and bad tries to magnify how the bad came together to kill him, the point that is missed is that he knew when we went in that...

The Rout – What Now? 0

The Rout – What Now?

A few days ago, Larry Williams made a poignant statement “There is no technical indicator that will call the top based on what little I know about the markets I’ve never found one that can do that.” Markets after being bullish for so long a time that people forgot that it can also go down once in a way gave...

Shoot First, Ask Questions Later 0

Shoot First, Ask Questions Later

It’s probably bit unfair, but at its very core, the thought process that drives momentum is to first shoot, asking questions about the why’s and why not’s come much later. In my momentum portfolio, I picked up stocks like Graphite / HEG / Rain among others not at the bottom of their cycle but well after they had emerged from...

Are you Ready 1

Are you Ready

Around Nine months back, Morgan Housel wrote in his blog “Three types of businesses: Solve a customer’s problem, scratch a customer’s itch, exploit a customer’s vulnerability” Solving a customer’s problem is what all claim to do – but solving problems are hard and messy and time consuming. Scratching a customer’s itch is much more easier compared to solving his problem....

Rolling into 2018 0

Rolling into 2018

There is a lot of contradictory advise that keeps floating in the world of finance. One is told that rather than aim for higher returns, one should save more. Of course, saving more isn’t enough, is it, once you save, you need to deploy it intelligently to get a better return. Regardless of your risk temperament or requirement, it’s Equity...

Is Consumerism really bad? 2

Is Consumerism really bad?

  When Eicher shot up out of nowhere, a quote that was often seen was that if only the guy who bought an Enfield X years ago had bought the Stock. Today, he would be driving a Harley Davidson instead. Indian’s are savers, Period. While the old generation feels that the new generation (the Gen Alpha) is spend thrifty and...