Markets are hitting new highs every week. But, economic fundamentals don’t seem to support such a prolonged rise. Economic data is definitely mixed. Problems in our economy are on a slow mend. Yet, we see unprecedented buoyancy in our stock markets. IPOs now look like safe lotteries. We have seen…
The bottom up trade in our markets has never had it better. Individual stocks have shown the ability to buck overall market trend and deliver superior returns. Over the past two years, investors’ entire focus has been on finding the right stock that will show a big move. As one…
Every business adapts to change. Businesses without the adaptive strain in their DNA die. Adaptability is the key to survival. A classic all-time great example is WIPRO. When rampant tax evasion in the market by peers elbowed them out of the vegetable oil market, they didn’t blame the system. Nor did they…
Stock valuations have a mind of their own. Most of the time, stocks tend to trade away from what we evaluate as fair value. They either trade below or above what we enumerate as fair value. Mutual funds can never be insulated from the influence of stock valuations. Whether stocks are trading relative…
The index has held steady and only gone higher in 2017. Corrections haven’t even lasted beyond a day or two. But, at the same time, several traditional index movers have tended to be weak. IT and pharma majors have remained weak and every rally in bellwether stocks in these sectors has been sold down. The…
What is going on in the market now? Most people are wondrously looking on. The anxiety to invest remains high. The index seems infallible despite company-level bad news periodically hitting the street. The interest has shifted towards larger companies. Midcaps seem to be taking a momentary pause. Global ETFs seem to…
“When it rains, it pours good news on markets”. The prompt arrival of the monsoon has eliminated one chapter in the investor’s worry book. The market’s monsoon worry got eliminated even before it began. With the monsoon arriving on time, the stage is set for the best year of sowing in…