Mutual Funds: Tweet Buster: Not Just Stocks, Even Mutual Funds Can Offer Multibagger Returns
In this edition of Tweet Buster, we look beyond the world of memes and social media jokes to analyze the best of gyaan in the maven market.
PMS fund manager Shankar Sharma said that after reviewing the financial data of brokerage firms, he is sure that retail brokerage is ‘crap business’ because at best, ROCE is in the midst of adolescence and corporations have no pricing power.
I have seen financial information on brokerage because it only reinforces my long-held view that retail brokerage is crap business.
Best ROCE case: mid-teens.
Zero pricing power. Growth only based on volume (unlike, for example, cos steel).
Also risky and extremely intensive during the week.
This should be the top 10 in PE biz
– Shankar Sharma (@ 1shankarsharma) August 17, 2021
100 bagging machines!
Gurmeet Chadha, co-founder and CEO of Complete Circle Capital, published a list of five mutual funds that have yielded 100 times the returns in 25 years. “It’s not about MF versus stocks, it’s about making the right combo that’s right for you,” he says.
While we are talking about 100 stocks of bagging machines,#Did you know there are MF stocks where the net asset value has increased 100 times in 25 years
Birla Flexicap NAV 1104
Franklin prima 1444
Japanese growth 1908 (190 X)
Birla Fund 95 1035
hdfc 911 equity
This is not MF Vs stocks, this is a good combo for you!
– Gurmeet Chadha (@connectgurmeet) August 18, 2021
How to become a crorepati
Value investor Arun Mukherjee listed this three-step process to earn Rs 100 crore in the market in 30 years.
How to earn 100crs in 30 years on the markets: –
1. Starting early is important. Even 30 years old is good. Start with 1 lakh.
2..The monthly SIP in your stocks is the hidden secret. Put 10-12K every month
3..At 25% composition for 30 years, you will reach your desired 100 crs by the age of 60.
– Arun Mukherjee (@Arunstockguru) August 17, 2021
Radhika Gupta of Edelweiss Mutual Fund says investing in global funds has become popular because they have performed well while the Indian market has performed poorly. “How we handle the reverse is going to be even more important. Especially since comfort is always lower with foreign markets. The rule of diversification works both ways,” she said.
Investing in global funds has become popular because they have done well, while Indian markets have done badly. How we handle the reverse will be even more important. Especially since the comfort is always less with the foreign markets. The rule of diversification works both ways.
– Radhika Gupta (@iRadhikaGupta) August 22, 2021
PMS fund manager Basant Maheshwari says the best part of the developed market is their ‘Sher aaya’ attitude. “So when the ‘sher’ actually comes, no one bother to look. The more statistics we get on “Fed taper,” the less we will react when the taper actually occurs, “he explains.
The best part of the developed market is their ‘Sher aaya’ attitude. So when the “sher” actually comes, no one bother to look. The more starts we get about “Fed taper,” the less responsive we will be when the taper actually occurs.
– Basant Maheshwari (@BMTheEquityDesk) August 19, 2021
Independent market expert Sandip Sabharwal says IPO returns are declining as valuations become increasingly obnoxious. “IPOs cannot be used to distribute high-priced stock to retail and gullible IPOs chasing MF / REIT investors who indirectly manage retail money. Some IPOs planned for all 3 next few months have an even more absurd price, ”he said.
#IPO yields decline as valuations become more obnoxious#IPO‘s cannot be a way to distribute high priced stocks to retail and gullible IPOs chasing MF / REIT investors who indirectly manage retail money
Some IPOs slated for the next 3 months come at an even more absurd price
– sandip sabharwal (@sandipsabharwal) August 20, 2021
Gems by Ian Cassel
Some of my biggest mistakes were when a new idea ticked all the boxes very quickly and I just sat there sucking my thumb for an extra week trying to figure out what I was missing when I should have. buy a little – the stock goes up and you’re anchored to where it was.
– Ian Cassel (@iancassel) August 17, 2021
Due diligence does not end with the purchase of a stock. This is just the beginning. Your initial due diligence may get you invested, but it’s your maintenance due diligence that will keep you invested. You need to check vital signs regularly. Know what you own at all times.
– Ian Cassel (@iancassel) August 21, 2021
Don’t get frustrated if people don’t immediately like your investing ideas. This is the occasion.
– Ian Cassel (@iancassel) August 21, 2021
Just because you lost money on an investment doesn’t mean you were wrong to do so. Sometimes you get a good hand and still lose. You can’t let it get to you. Stand up, step back, shake it and sit at the table and wait for your hand.
– Ian Cassel (@iancassel) August 20, 2021