- An attempt at making quick money leads to losses far higher than the initial investment.
- If stocks don’t seem by historical standards, stand aside and invest in very small amounts.
- Buy and hold does not work always .Never average down a losing investment unless it is a part of well-thought out process.
- The best tip is there is nothing called “Hot tip”.
- Never fall in love with your stocks. It will never fall in love with you. It will fall with market J
- Calculate first how much you can lose, not how much you can gain.
- Valuations don’t matter in short run and “short run” can last for months and even beyond a year …
- Experts care about risks and Novices dreams about returns.
- Forecasts usually my market experts are usually useless.
- Develop a method and stick to it and have patience.
- Lots of humility helps.A rising tide raises all ships and so you may have been just lucky.
- Stocks fell more than you think and rises higher than you will possibly imagine.
- Investing in popular stocks, fad industries and new ventures are riskier than it may seem.
- Bear market start in good times and Bull market start in bad times….
- Neglected sectors often turn out to offer good values.
- Don’t assume either the media or fund manager know more than youJ. Their record shows they don’t.
Why Mutual Fund portfolio now require restructure …. It is just because of below 3 reasons 1. Introduction of LTCG 2. Categorization of Mutual Fund by SEBI 3. Introduction of TRI (Total Return Index) Introduction of LTCG : That means frequent buy and sell of funds will put you in the trap of taxation and on a long run basis your return will reduce. Because each time you redeem you will pay tax and while reinvesting you need to pay upfront expense (applicable in both regular and in direct). Also we need to stop running behind those funds which are giving best return in recent times by churning your portfolio again and again may become fatal. So now your responsibility becomes more to choose right fund and stick to it for a lengthy duration. Categorization of Mutual Fund by SEBI : After new guideline from SEBI , a large cap should only consist of large cap (no mid and small cap) Similarly s...

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