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10 Feb 2012 23:58
That`s why it`s an asset class rotation market which cannot be done that efficiently by retail.
I give you an example. I write and option, say 1200CE for LT. It gets breached. I book loss and write CE1250. Gets breached again. I book loss and write 1300CE. I am still making money by writing more options and booking losses. I can only do that when I have huge load of cash as margin. FII`s are doing that since time immemorial.
Now if I see the premium of 1350CE is no good, and no taker for calls anymore, I go and buy bonds. If bonds and equity both have less takers, I buy gold or silver. I keep rotating and keep making money. I keep doing this for so many markets, geos and asset classes.
It`s a very very crude example, but this is how FII`s and DII`s work.
There`s no multi-bagger anywhere on earth for you and I to pick. If retail gets smart to pick baggers, FIIs and DIIs and all trader/broker houss can squeeze you and me out before investing in volumes.
There`s no invest and forget strategy left in this world anymore. We need to follow either FII or DII. If we follow both of them, then we are the pigs.
10 Feb 2012 23:00
Dear,kulvir,
It is quite possible. Monday may be a bright day for SBI as well as long position holders.
thanks
10 Feb 2012 15:23
Agar ho hold karne ka dum to Ashtavinayak buy karo. Under capacity just get out off the board. Don`t disturb Others mind.
10 Feb 2012 15:23
The tool that you own and that you are talking about needs an operation or even deletion...Read in between the lines XD
By the way, what`s the use of YOUR TOOL, when you lose 59 out of 60 times....LOL!!!!
We know you never give hold calls, as your tool can never say hold ( read as tool can never hold) ;)
10 Feb 2012 13:21
TUMHARE LIYE TO JAAN HAAZIR HAI BROTHER.BAS KIDNEY MAT MAANGNA.DAARU PEE PEE KE KHAALI HO GAYI.JAI HOOOO.
10 Feb 2012 13:16
Excellent previous track record in last 5 years need not be repeated and often will not be, at turning points. Even then, whose advice should we take? Below is sum total of my experience with advisers.
ADVISER, CAT and I
==================
By Uppai Mappla
Financial Adviser enters. He is in his mid-twenties, smartly dressed in black pants a pinstriped shirt. He arrives in a motorcycle with a junior Adviser, similarly turned out.
We chat and make each other comfortable. I learn that both are MBA (Finance) and had left a multinational company since “India was growing.” The senior Adviser appraises me. Finally he admires my cat, and I realize he is ready to talk business.
Adviser: Sir, I have a great investment product for you Sir, a ULIP, guaranteed to double in two years and with insurance protection. (He gives me a printed brochure.)
I am instantly hooked. The brochure that glides of its cover is a beauty. Coated card cover with edges sharp enough to draw blood, printed in six colours at 1200+ dpi. And the typography! Indian publishing industry has indeed arrived.
UM: (my fingers running all over the pages) Amazing!
Observing my capitulation the Adviser moves in for instant kill. He yanks the brochure open at the last page to reveal an application form in crisp 75 GSM matte, contrasting with the rest of the brochure.
Adviser: Sign here Sir with a cheque for Rs. Xxxxxxx and let me take care of it for you.
UM: Don’t you want to know my age, medical status . . . ?
Adviser: No sir, nothing at this stage. Just sign and let me take care of the matter sir.
UM: I need to think a bit. You see I have already term insurances on life and health.
The Adviser deprecates my financial folly of insuring my life as if it were an automobile. He explains how the entire insurance money will go waste if “nothing happens to you Sir.”
Adviser: (finally backing off) While you rethink the ULIP Sir, here is a wonderful NFO that closed yesterday.
UM: NFO?
Adviser: (recites) NFO means “New Fund Offer.” Each unit is available to you at Rs.10 whereas existing mutual funds are ten times costly. All these invest in the same market. All investors are moving from old mutual funds to NFOs to maximise their returns. Imagine the return you will make with this NFO Sir!
UM: Amazing. Um, do you by any chance recommend an index fund?
Adviser: What?
UM: You know the Nifty, Sensex fund?
Adviser: (shocked) Sensex is at 17,000 Sir. NFO is at Rs.10 Sir, No comparison! And we don’t know where Sensex will go next year, do we Sir?
UM: Not even Nifty! That’s brilliant. Anything else?
Adviser: Here`s a close-ended Real Estate Scheme fund Sir. After three years your money triples. See the way the real estate is going up, up Sir!
(I glance out of my window at the tall flat complex right in front of my house where some 10 flats in 116 are occupied)
UM: (pointing) See those flats are empty.
Adviser: (realising that I am chicken) Sir, you are wise and risk averse. I have the right product for thoughtful people like you Sir.
UM: Do you now?
Adviser: (fishes out another brochure.) Our portfolio management scheme. Minimum investment is Rs. 1 crore but if you opt for our ULIP I can get it for you for Rs.5 lakhs. PMS is an amazing thing. It can go 100% into equity when the market is down and 100% debt when the market is up – just like that Sir! (snaps his fingers and punches some imaginary computer keys)
Junior Adviser (speaks for the first time, and shrilly): And our Peeyemmes fund manager is an Ayyeyyem product, Sir!
UM: Ayyeyyem product?
Senior Adviser: Sir, IIM, Indian Institute of Management.
UM (disappointed): Oh, that means you two are not from IIM?
Adviser: No Sir! Annamalai University. But same syllabus.
UM: But of course! Ayyeyyem, Annamalai, the same thing! Allow me to ask you, if your PMS is going to zoom up like you mentioned won’t I have to pay huge tax? And what about tax in real estate fund?
Adviser: (shocked at my ignorance) Both the funds three years lock-in Sir!
UM: So?
Junior Adviser pipes up again: India has no long term capital gains tax Sir--Palaniyappan Sir--from my village! (he smiles with evident pride).
UM: (slapping my head): Palaniyappan of course! Fancy your hailing from ex-Finance Minister’s village! That settles things. By the way, could I discuss things and get back to you? I need to get approval from my partner.
I glance down at my partner at my heels mewing for fish.
Adviser: (ignoring my partner) Shall I come today evening Sir?
UM: I have your card. I will call you when I am ready. OK?
Advisr: I wait for your call Sir. Thank you Sir. (leaves with his partner.)
UM: By the way, which company were you in before selling financial products?
Adviser: Canon Sir. Photocopiers.
(curtain)
10 Feb 2012 12:17
Nifty has repeatedly made higher tops and higher bottoms and will close above previous week`s high this week. Can someone plz tell me why we should be bearish? I am not talking about intra day dips. Today nifty won`t go above 5455 for sure but other than that I really don`t understand why we should be bearish.
10 Feb 2012 12:03
Every investor is wooried about his/her investment in MS.If we see, AM alongwith each and every investor of TM are also investors in MS. TM hold more than 470mn (40%) shares in MS. Negative merger will also reduce their investment also. Therefore, don`t worry much and have strong and full faith in your decision of investing in MS.
10 Feb 2012 11:37
moderator sir please see how dis guy tried to trap people by giving sureshot short call on mannapuram board on 8-2-2012 in d morning!! he gave a sureshot call at 47 for a target of rs 5 hence creating panic so tat newbie could sell dere holding! just go through d entire messages posted by dis guy on every board be it satyam,mannapuram.rkdl,nutek,monsanto,etc etc and see how he spams by giving sureshot call!! and d best part is none of his call has hit d target till now!!!!he uses all dis stuff to trap newbie!! moderator sir guys like him is bringing bad name to such a good website moneycontrol.com!!!!!! would u defame ur website for d sake of dis fraud?? LEST MAKE MONEYCONTROL A BETTER PLACE MODERATOR SIR WHERE WE SHALL HAVE GENUINE BOARDERS!!
10 Feb 2012 11:28
JUST AN INDIACTION OF THINGS TO COME .
THIS DEAL IS ABOUT THAT.
Its also about AM`S drive,ambition and vision as to where he wants to take this company.
All long term sharholders will be very very handsomely rewarded in time.
Forest cover in India shrinks to 24%. Are we headed for an ecological disaster?
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