The markets fell ten days in a row without respite. Investors waited for a bottom, watching most of the time. Then, when the technicals reversed, stocks rose sharply overnight in the US markets. The investors who waited and watched are now anxious if the Indian stocks they wanted to buy…
Rising interest rates rattle markets across the world. Our market is no exception. To add to the problems of the equity markets, there is the overhang of a crisis in some asset management companies. This could further create a crisis of confidence in the equity markets going forward. The silver…
Pulling off a mega IPO is never going to be easy. To raise huge sums of capital requires mass following, great investor appetite, right signalling, and facilitation. Ironically, such IPOs almost always disappoint the participants after listing. Bringing together so many people to participate in an IPO is only the…
Thematic investing is a function of conviction and belief. Conviction grows when you believe in the right space for the right reasons. Merely believing in something and expecting your beliefs to play out in the market does not guarantee success. One should be diligent in building conviction in the right…
The clear reset in GDP growth expectations by the RBI, the Infosys results disappointment, rising attrition across Indian tech companies, and an imminent bump up in interest rates cooled off the market mood. Over an extended weekend, the markets have been given time to rethink how to reposition in keeping…
The RBI has corrected its estimate of India’s GDP for the current financial year downward. The inflation forecast has been revised upward. Clearly, we are heading towards a phase of slower economic growth and higher inflation. This sets up the stage for rising interest rates. What does this mean for…
Every year, when you look back to see what performed, the most striking feature of the market is its unpredictability. The markets choose winners in ways that only surprise investors. 2021-2022 was a year where predictions fell to the dust and favourites failed to fire. As we enter a new…
Investors who are closely adhering to the principles of value will always seek where they can find value. This search for value is constant. While seeking and searching for value, they would identify themes and sectors where the markets are not perceiving growth. By being early entrants into such opportunities,…
The markets are expressing relief after the Chinese central bank and the Federal reserve indicated their approach. The fact that there could be six interest rate hikes in the US has been put on the backburner for the moment. Clearly, the markets want some relief. A rally of this kind…
The choices investors make are mostly voluntary. Investors always take easy choices and pick options that look better from a recency point of view. When an investor has money and wants to make a choice, he is always more inclined to pick up what has worked well in the immediate…
In every market context, you will always see some themes fall out of favour. This usually happens after a wave of euphoria. Investors wait for the good times to come back and gradually lose patience. When this happens, investors realize that euphoria is not going to come back anytime soon.…
The panic around Russia’s war on Ukraine was swift and sharp. But, the panic also appears to be short-lived. The markets seemed to have regained some composure within a day. These reactions often keep changing. Uncertainty, when prolonged, tends to bring out fear in ways that cause extreme reactions. While…
