Hi,

I had invested Rs 50,000/- in each DSP ML TIGER FUND as well as JM BASIC FUND in Jan 08.

I have seen the value halved in each of the above funds now.

Also, Started SIP of RS 2,500 in each RELIANCE VISION as well as HDFC GROWTH fund.

Kindly advise....

Should I continue in these SIP`s or switch over to other SIP`s at these turbulent times...

Regards

SCK...

Dear Krishnamoorthy,

Thanks a ton for your sincere efforts & time taken to make me understand....

I guess I would simply hold these shares....what else....

The only silver lining would be when the Bull run starts.....

Regards

SCK...

Dear Krishnamoorthy,

As i am a naive investor in stocks....I really cannot understand.

Currently, I hold 50 shares ( @ Rs 124)....your statement of 3 for 2....does it mean that my current share numbers would go up tp 75?

does it also mean that these 75 shares would be valued ar Rs 85?

Request you to enlighten me on this....

Thanks a ton for your help...

Regards

sck...

Hi folks,

Lets be realistic......ABAN is a inherently good stock....

The update as on today can be summarized as:

43 mutual fund schemes bought additional shares of Aban Offshore
10 mutual fund schemes sold shares of Aban Offshore
41 mutual fund schemes maintained their holdings in Aban Offshore

Pls hold your shares for the long term.....BUY AT EVERY DIP.....

Regards

SCK
...

Pls advice the long term outlook for Ramco.....

Bought 50 shares @ Rs 125...

Is it time to sell and book losses?

Thanks...

Dear Sri SCK, Well. You know well that you bought 50 shares at Rs.124.00. The current rate is Rs.75.00. About Rs.25/- is the loss in this deal. All numbers are per share only. The company first wanted to issue right shares at the rate of Rs.75.00 per share. In the ratio of 3 for every 2 shares you hold. That is you will be given75 shares for a cost--not free--at a price of Rs.75.00 per share. That is you have to pay Rs.5625.00 and get 75 shares more. Now the market conditions are not good and hence the company revised the ratio and rate per share as at present. The new rate is at Rs.85.00 per share is for the right shares to be issued and not for the old shares you purchased. The shares are now quoting Rs.75/- and below. So the rate proposed by the company is not favourable. It appears that it will take some three to six months for the market to recover. However the company wants to encash the opportunity that comes to it,during the period. So they have not announced the book closure or record date for the right issue. Till date the company has not given any dividend and the investors who purchased the shares in the earlier right issues have met a heavy loss. Further the current offer price is Rs.85.00 which is ten rupees more than the current market price. Unless I find a buyer for my shares at Rs.90.00, I will not apply for the right shares. There is a very thin chance for this to happen at the present senerio. Anyhow the company wants to collect money. They would have made arrangements with their subsidiaries or sister concerns or some banks, to subscribe for the right issue. Now it also appears tobe dim. As you are a share holder I tell all these things for your calm reading. Since the company has not posted good results,paid any dividend and have no good rapport with the investors, the right issue may not be a success. The rate and the timing are also not favourable. Unless I find a buyer to buy my shares at Rs.90 or above, I will not show any interest . Now I answer your points. You are new. I am old. Still it took a lot of time to under stand what they wanted to convey first and then revised. The price for the right is too much. Your share holding is 50 only. It will not change. If the company is keen to issue right shares they will send a letter by Regd. post and ask you to pay money. It is not given free of cost. Your shares are today having a market value of Rs.72 to Rs.75 per share only. It is not valued at Rs.85.oo as you think. So please note that your holding is 50 shares only and the value is at the rate of Rs.75.00 per share only. If you sell in the market it will be ging you a loss in your investment. Hope I have explained atlength over your query. If you want further clarification, post a mail. I shall reply. wish you all the best. v.krishnamoorthy...

i have in future..wat 2 do abt dat ?...

There is no chance for a spurtn the quotes unless the entire market scene is changing. The company is not honestly playing .so have to take your own decision for holding or selling. In either way you are not going to gain. I feel you can wait till the year end results are announced. there is no change in the right issue. 3 for 2 they proposed earlier. Now one for one and one warrant for every two rights all at Rs.85/-. The committee they appointed appeared to change the ratio but increased the premium. The ratio remains the same. Suppose you have two shares. As rights you will get two more shares plus one warrant--all at rs.85.00.If you subscribe for al, you will hold three rights for holdings now. But at higher cost. The company may be having an IT structure. Our small head also can do some simple mathematics. The point I would like to stress is that the right issue should be postponed. The premium suggested appears to be on the higher side. the co. would have made some underwrting arrangements with their bankers or sister concerns. Let us wish the issue all success. At the moment the right issue is not in a good wicket for the current holders. v.krishnamoorthy...