A market economy creates some lopsided payoffs to participants. The right endowment of vocal chords, anatomical structure, physical strength, or mental powers can produce enormous piles of claim checks (stocks, bonds, and other forms of capital) on future national output. Proper selection of ances...
Email 1:I have 300 HUL bought at Rs 400. Given the confidence the parent has shown in the Indian business, do I buy more? Email 2:Given an MNC’s confidence in the Indian consumption story, does it makes sense to buy other FMCG companies as well, despite their high valuations?
while peers chase growth or attempt to protect market share, which is a double whammy – no topline growth with margin compression. To make it worse, markets often de-rate such stocks and investors end up losing a significant chunk of capital. Same applies for Triton Valves – annual revenue...
However, during the early 1930’s Sanborn had begun to accumulate an investment portfolio. There were no capital requirements to the business so that any retained earnings could be devoted to this project. Over a period of time, about $2.5 million was invested, roughly half in bonds and half...
events and the quality of underlying business becomes irrelevant in this operation. Which means an adequate diversification is required to bring in the margin of safety. Because betting a significant part of your capital on a single arbitrage deal, even if it’s a short term bet, can be ...
Human beings as a species are extremely curious, constantly seeking answers to the puzzles existing in the Universe. But unfortunately, our brain has a very limited circuitry and it’s a natural propensity for us to look for easy answers to complicated questions. ...
“get out,” but most of the time the correct action is somewhere in between. Investing is not black or white, in or out, risky or safe. The key word is “calibrate.” The amount you have invested, your allocation of capital among the various possibilities, and the riskiness of the ...
Another interpretation I have observed is that of ‘not to’ provide capital to corporations that harm environment as it comes back to you in direct ways. Here we jump to the boundaries of other issues besides just reciprocity and I leave the exploration of these ideas to the readers and wha...