The Coin

Some of us (investors) have lost our pants, and some of us have lost our socks, but all of us have lost something this week, betting on stocks. Some stocks have fallen by 50-60%, maybe more, but even the best of the best have fallen a fair bit from their 12-month highs. So, is it time to go shopping yet? Everybody loves a discount sale... A little under a fortnight ago, this felt like one of those annual online shopping sales. Stocks were available at a discount to their 52 week highs, and while benchmark indices, the NSE Nifty 50 (Nifty) and S&P BSE Sensex (Sensex), hadn't corrected by all that much, several individual names were looking fairly attractive. Even the likes of HDFC and HDFC Bank were available at ~10% lower than they were earlier in the year -- an offer I'd grab almost any time of the year. Let's throw in some data here. Here's how things looked as on the 19th of September 2018. The broader market was even more battered, with the NSE Midca...

It's not uncommon for retail investors to feel left out of a discussion on multibagger stocks -- but that doesn't have to be the case. In reality, investing is simpler than many would think. Most investors feel compelled to discover "hidden gems" in their pursuit of the often illusive and elusive multibagger. However, investing -- much like every other aspect of life -- is as much (if not more) about doing the simple things right as it is about finding obscure names that are virtually unheard of. And as it turns out, chasing the obvious is often a great starting point. Not so little basics -- don't underestimate the obvious A lot of us don't associate large cap stocks with great investment ideas, largely due to the perception that large caps generate limited gains, at least when compared to lesser-known small companies. While that may be true, it does't mean that large caps don't generate impressive or sizeable returns -- and there are several exam...

The RBI's announcement on July 31st 2012 following its Quarterly Monetary Policy Review (Q1 - FY 13) saw the SLR requirements for banks cut from 24% to 23% of NDTL (Net Demand and Time Liabilities). While the announcement has on one hand signalled liquidity relief/enhancement for the banking system and the economy thereby, the move has come in for a fair amount of criticism on financial news channels and websites alike. So, has the RBI missed a trick? In the week preceding the 9th of July 2012, the liquidity deficit (banks’ borrowing from the RBI) in the system (LAF) had come down significantly from a high of Rs 90,000 crores to around Rs 10,000 crores owing to a host of reasons. The significant ones being: Banks had drawn about Rs. 25,000 Crores by availing the export credit refinance option after the RBI enhanced the limit of the export credit refinance facility for banks from 15% to 50%, a move that was expected to provide an additional liquidity of about Rs. 30,000 crores (...