A Comprehensive Guide to Investing in Mutual Funds in IndiaIntroduction:
Mutual funds are investment vehicles that pool money from multiple investors and invest the money in a diversified portfolio of stocks, bonds, or other securities. In India, mutual funds are regulated by the Securities and Exchange Board of India (SEBI).
Choosing the right mutual fund is crucial for achieving financial goals, as the performance of the fund can have a significant impact on investment returns. In India, mutual funds have become increasingly popular in recent years due to their potential for higher returns and professional money management.
Funds
25/04/2022 Research Report For ABSLAMCDisclaimer:
I am not SEBI registered person and this is not an investment advice and also please note this is only for education purpose. Also note we can use this research in my own portfolios. So don't influence yourself by this research. Please note before investing according to this educational research, please do own research and also do take advice from your financial adviser. Your any profits and loss are totally your liability. No one is liable for that. Also, please note we will not never compensate your any loss. So before investing any single rupee, please do your own research according to your risk taking capacity and after that do invest and book profits on right time.
Buy @ C.M.P (Current Market Price)
Target 1: More Then 1100
Compare ABSLAMC's Chart With UTIAMC's This Chart
How good are staggered Investments?HOW GOOD ARE STAGGERED INVESTMENTS?
BACKGROUND
We all know the catchy word “SIP” which stands for Systematic Investment Plan. This may well be the most frequently used word in the Mutual Fund business and for savings as well as investments in general. And there is nothing wrong about it as a large retail investor base would not be able to invest in various avenues of investment in a lump sum manner unless they receive a bumper or out of the ordinary windfall gains.
INTENT
The intent of this post is to introduce the readers to a variant of the SIP which I recently experimented with in the months of Nov - Dec 2021. As mentioned in the earlier para, I received an out of the ordinary large amount in Nov 2021 and I was exploring the avenues for placing it such that I do not risk more and yet am able to get a modest return. The aim was to protect the capital and not earn index beating returns.
WHAT DID I DO
During the course of my weekly analysis, I analyze the Nifty 50 and Bank Nifty scrips in particular using monthly, weekly, and daily timeframes and also several other scrips that form part of my watchlist. While doing so, I realized that there were several scrips that were at a good distance from their swing high which in many cases were the ATH levels when Nifty had hit 18604. The retracements were very significant so I thought why not make small investments in some of the scrips that I had identified.
At that time, I also decided to experiment with staggered or phase-wise but not SIP type of investments in these shares. Beginning 8-11-21, I started the process of such investments and between then and now, I have made 6 such investments. I ensured that I did not blindly add to the losers but had a basis in my mind for the positional trades.
During Nov 2021, Nifty made a low of 16782 and during Dec 2021, Nifty made a low of 16410. On 5-1-22, at the time of writing this post, Nifty is at 17837. This is a good 1427 points above the Dec 21 lows and is now up 8.7% which is a great ROI in 2 months. However, I just reviewed the status of these investments and they have at an aggregate level gone up by 6.36%.
The highest ROI so far is in Mirza Intl @ 68.88%.
The lowest ROI so far is in Tata Consumer @ -10.83%.
CONCLUSION
Obviously, I have no issues with the highest ROI scrip. Neither do I have an issue with the lowest ROI scrip as I have not added to the losing scrip even at lower levels as I did not want to increase the exposure.
My expectations from these unexpected tranches of investments are not much so I am quite happy to receive a 6% gain as of now. I have not beaten the Nifty ETF but that was never the objective.
Many of the scrips where I have invested in the “staggered basket” are those where I would not have ordinarily invested as my universe of investible scrips is limited. So this has helped me know the unknowns as well and that scrip has given the highest ROI!
I am still sitting on some funds out of this lump sum so I can add to the position at any available opportunity even though the indices are at much higher level than what they were in the previous months.
I can move the entire amount out of equity and place them in a Debt Fund and bring it back in when the market / scrips are at attractive levels. This is the approach that I would prefer the most though I am undecided on the course of action for now.
My live experiment with the “staggered” form of investing in my view has been a good one so far and I am satisfied with the outcome. In fact, it is one of the ways to spread the risk and learn to identify good scrips at attractive price levels using technical and or fundamental analysis since the view is positional to long term.
I hope the above helps you know how I prefer to trade the markets and keep exploring the opportunities available in the market to make incremental returns. This post has been shared for educational and informational purposes only.
I welcome your thoughts and insights in case you have also experimented with such/similar way of trading/investing.
Happy Trading/Investing,
Umesh
5-1-22
Not SEBI Regd.
18/10/2021 Research Report For HDFCAMCDisclaimer:
I am not SEBI registered person and this is not an investment advice and also please note this is only for education purpose. Also note we can use this research in my own portfolios. So don't influence yourself by this research. Please note before investing according to this educational research, please do own research and also do take advice from your financial adviser. Your any profits and loss are totally your liability. No one is liable for that. Also, please note we will not never compensate your any loss. So before investing any single rupee, please do your own research according to your risk taking capacity and after that do invest and book profits on right time.
Buy Below 2970
Target 1: 3267
Target 2: 3320
Ador Welding - Capital Market AnalystsHie, In this investment series we talk about some fundamentally strong companies identified by Capital Market analysts in their latest issue.
Ador Welding Ltd. is a holding company, which engages in the manufacture and sale of welding equipment. It operates through the following segments: Consumables; and Equipment and Project Engineering Business.
*Company has been maintaining a healthy dividend payout of 34.56%
*Promoters have increased holdings from 56.75% to 56.85% in Dec 2020 qtr.
*Mutual Funds have decreased holdings from 11.64% to 11.45% in Dec 2020 qtr
*Stocks with high PE (PE > 40)
For more, you can check the stock out on trendlyne.com/fundamentals/financials/31/ADORWELD/ador-welding-ltd/
Sources credit:
Trendlyne & Screener.in
INDICATORS USED:
1) Daily Lines Plots Daily 20 (BLACK) & 50 EMA (GREY), BLUE (200 DAILY EMA ) On Lower Time Frame Charts.
2) Valuation band
KEYS: Red Faded Cloud: Over Valuation.
Grey Faded Cloud: Proper Valuation.
Green Faded Cloud: Under Valuation.
3) TE-REKAB - Proprietary Indicator
KEYS:
PB: Pullback
H/Blue Candle: Selling Divergence
L/Yellow Candle: Buying Divergence
If you like the analysis, do leave a like and follow for more such content coming up.
The analysis is my POV, in no way it is a buy-sell recommendation. Hope you got bucks in your pocket to consult a financial advisor before investing :P :)
HAPPY TRADING!!!