InvestingMantra

The Fallacy of Supply and Demand

2010-03-11T15:58:00.006+05:30

Predictably Irrational: The Hidden Forces That Shape Our Decisions by Dan Ariely InvestingMantra - A Financial Planning blog with Value Investment principles

Nassim Nicholas Taleb Quotes

2010-03-10T10:02:00.001+05:30

"In some disciplines, “expert” is the closest thing to a fraud performing no better than a computer using a simple algorithm." - Nassim Nicholas Taleb "The Black Swan comes from misunderstanding of the likelihood of suprises because we take what we know a little too seriously." -...

Is Investing in Stock Market Gambling?

2010-03-04T14:47:00.024+05:30

Yes. It is gambling when an investor does not know what he is doing Is Investing in Stock Market Gambling? No Why? In gambling, the odds are against you In investing, the odds are in your favor Gambling is entertainment Investing is business Gamblers are...

Charlie Munger Quotes1

2010-02-23T09:58:00.004+05:30

"If its not worth doing at all its not worth doing well." - Charlie Munger "A few major opportunities, clearly recognizable as such, will usually come to one who continuously searches and waits, with a curious mind, loving diagnosis involving multiple variables." - Charlie Munger "And the...

How to make $2,000,000?

2010-02-20T09:48:00.009+05:30

He unknowingly entered stock market in 1952 when he was offered 6000 shares of a company for a performance in a Toronto nightclub. He made his first handsome profit and attracted him more towards the stock market. He started investing by taking tips from stock brokers,...

Solvay Pharma Special Situation

2010-02-20T09:48:00.003+05:30

Abbott Capital and Abbott Laboratories announced open offer for Solvay Pharma India for acquisitions of 20% of voting share capital of the company. Promoters holding: 68.85% Public: 35.79% This means 64.21% of the shares tendered will be accepted. Offer price is...

Index Investing

2010-02-16T05:57:00.003+05:30

Index Investing is investing in an index. Index Investing is all about matching the returns of the target index. Index Investing does not involve active buying and selling of securities. Index Investing is a passive approach to investing. John Bogle pioneered and started the first index...

Value Investors

2010-02-11T21:48:00.004+05:30

Value investors prefer value investing strategy to investment and life as a whole. There are people who live value style, invest value style and do business value style. They are always in a look out for buying cheap companies available for less then their actual worth. They focus mainly on...

Value Investing

2010-02-09T19:34:00.001+05:30

Value investing is the best and most disciplined approach to profitable stock market investing. Value investing style is used by Value Investors. "An investment operation is one which, upon thorough analysis, promises safety of principal and a satisfactory return. Operations not meeting these...

John Kenneth Galbraith Quotes

2010-02-01T09:12:00.000+05:30

"This is a world inhabited not by people who have to be persuaded to believe but by people who want an excuse to believe." - John Kenneth Galbraith "There are two classes of forecasters:Those who don't know and those who don't know they don't know." - John Kenneth Galbraith "One of the...

What do Zebras and Portfolio Managers have in common?

2010-02-01T08:47:00.012+05:30

Zebras have the same problems as institutional portfolio managers. First, both seek profits. For portfolio managers, above-average performance; for zebras, fresh grass. Secondly, both dislike risk. Portfolio managers can get fired, zebras can get eaten by lions. Third, both move in herds....

The Black Swan

2010-01-29T08:40:00.007+05:30

Some assumptions: Mr.Market is 20 years old, earns Rs.20,000 per month, married with one child and is the sole earning member of the family. Mr.Market started earning from the age of 20. From the age of 20 to 30 i.e. 10 years, Mr.Market's earnings were increasing year after year and assumed...

Rights of Shareholders

2010-01-28T16:40:00.000+05:30

to receive the share certificates, on allotment or transfer as the case may be, in due time. to receive copies of the abridged Annual Report, the Balance Sheet and the Profit and Loss A/c and the Auditors’ Report. to participate and vote in General Meetings either personally or through...

Sensex Book Value

2010-01-28T08:57:00.008+05:30

Sensex Book Value from Apr-99 google.load('visualization', '1', {packages: ['areachart']}); function drawVisualization() { // Create and populate the data table. var data = new google.visualization.DataTable(); data.addColumn('string', 'Year'); ...

Sensex PE Ratio

2010-01-27T07:23:00.000+05:30

Sensex PE Ratio from April 1999. InvestingMantra Research, Data Source: SEBI InvestingMantra - A Financial Planning blog with Value Investment principles

Extremistan

2010-01-26T14:32:00.000+05:30

What is Extremistan? It is also a country owned by Nassim Nicholas Taleb. What happens in Extremistan? Winners get very large share of the total pie. Give an example of Extremistan? 1000 people are gathered in a stadium. Add to them the wealthiest person on the planet – say Kunal A....

Thangamayil Jewellery IPO

2010-01-26T09:28:00.002+05:30

Issue Open January 27, 2009 Issue Close January 28, 2009 Floor Price Rs.70 Cap Price Rs.75 Purpose of IPO: To open new retail outlets in Dindigul, Theni, Tuticorin, Nagercoil, Tirunveli, Kovilpatti and Sivakasi -...

What is PAN?

2010-01-26T07:51:00.002+05:30

P.A.N. or Permanent Account Number is a number allotted to a person by the Assessing Officer for the purpose of identification. P.A.N. of the new series has 10 alphanumeric characters and is issued in the form of laminated card. InvestingMantra - A Financial Planning blog with...

Exemption from Long Term Capital Gains

2010-01-26T07:50:00.002+05:30

Section 54: In case the asset transferred is a long term capital asset being a residential house, and if out of the capital gains, a new residential house is constructed within 3 years, or purchased 1 year before or 2 years after the date of transfer, then exemption on the LTCG...

Computation of Capital Gains

2010-01-26T07:48:00.002+05:30

Capital gain is computed by deducting from the full value of consideration, for the transfer of a capital asset, the following:- Cost of acquisition of the asset(COA):- In case of Long Term Capital Gains, the cost of acquisition is indexed by a factor which is equal to the ratio of...

Types of Capital Gains

2010-01-26T07:47:00.002+05:30

When a capital asset is transferred by an assessee after having held it for at least 36 months, the Capital Gains arising from this transfer are known as Long Term Capital Gains. In case of shares of a company or units of UTI or units of a Mutual Fund, the minimum period of...

Eligibility criteria for a company entering Capital Markets

2010-01-25T09:20:00.002+05:30

An unlisted company may make an initial public offering (IPO) of equity shares or any other security which may be converted into or exchanged with equity shares at a later date, only if it meets all the following conditions: The company has net tangible assets of at least Rs. 3 crores in each of...

What are Perquisites?

2010-01-25T09:13:00.002+05:30

“Perquisite” may be defined as any casual emolument or benefit attached to an office or position in addition to salary or wages. “Perquisite” is defined in the section17(2) of the Income tax Act as including: Value of rent-free/concessional rent accommodation provided by the...

What does Salary include?

2010-01-25T09:09:00.003+05:30

Section 17(1) of the Income tax Act gives an inclusive and not exhaustive definition of “Salaries” including therein: Wages Annuity or pension Gratuity Fees, Commission, perquisites or profits in lieu of salary Advance of Salary Amount transferred from unrecognized provident fund...

Aqua Logistics IPO

2010-01-24T09:44:00.004+05:30

Issue Open January 25, 2009 Issue Close January 28, 2009 Floor Price Rs.220 Cap Price Rs.230 Bid Size 25 equity shares IPO Rating Brickwork IPO Grade 3 Purpose of...