The seminar was based on ‘Investment Myths’, these myths are based on investor’s perception regarding investments. The seminar was highly number crunching session where the speaker explained various myths with corresponding analogies.
The speaker illustrated how nature and market (Sensex and other indices) worked similarly. She then explained the cycle of market emotions.
Introduction: (15 – 20 minutes)
1. BSL Thane Branch manager had introduced his staff and the speaker.
2. He also recommended the distributor to advice the investors to invest in Liquid funds like BSL cash manager.
3. The present return in these funds is on an avg of 8.5 – 9 p.c.
4.Introduced us with few new schemes like
i. BSL Century SIP i.e. SIP + free Life insurance (cover of 20lacs to investor)
ii. Privilege club program (loyalty programs)
Ex:Pension Fund scheme
iii.MIP schemes which gives 15pc return
Iv.FMP plans for 367 days and 180days.
Presentation by Mrs.Usha Nair (70 mins)
Nature of Equities:
1. Since 2001 – 2010 the market grew by 17.94p.c. (CAGR).
2. For past 10 yrs, the market drifted to highest/lowest pts in respective years.
Ex: In may 18, 2009 when Congress won the elections the market went up by 17.34p.c in that particular yr.
Emotional Involvement:
When the investor is maximally disappointed ,that is the time , the market opportunity is high.
Understanding Investor Behavior:
Human Emotions influence investors in their decision – making process.
Some Common behavior:
People often take more risks to avoid losses than to realize gains.
Investment Myths:
Myth 1
Equity should be used to quickly doubling money
1. Why Equity is not price of path?
2.Market valuation – Forward Earnings i.e. forecasting future earnings
Myth 2
Myth 3
Myth 4
Myth 5
Myth 6
Myth 7
The speaker illustrated how nature and market (Sensex and other indices) worked similarly. She then explained the cycle of market emotions.
Introduction: (15 – 20 minutes)
1. BSL Thane Branch manager had introduced his staff and the speaker.
2. He also recommended the distributor to advice the investors to invest in Liquid funds like BSL cash manager.
3. The present return in these funds is on an avg of 8.5 – 9 p.c.
4.Introduced us with few new schemes like
i. BSL Century SIP i.e. SIP + free Life insurance (cover of 20lacs to investor)
ii. Privilege club program (loyalty programs)
Ex:Pension Fund scheme
iii.MIP schemes which gives 15pc return
Iv.FMP plans for 367 days and 180days.
Presentation by Mrs.Usha Nair (70 mins)
Nature of Equities:
1. Since 2001 – 2010 the market grew by 17.94p.c. (CAGR).
2. For past 10 yrs, the market drifted to highest/lowest pts in respective years.
Ex: In may 18, 2009 when Congress won the elections the market went up by 17.34p.c in that particular yr.
Emotional Involvement:
When the investor is maximally disappointed ,that is the time , the market opportunity is high.
Understanding Investor Behavior:
Human Emotions influence investors in their decision – making process.
Some Common behavior:
People often take more risks to avoid losses than to realize gains.
Investment Myths:
Myth 1
Equity should be used to quickly doubling money
1. Why Equity is not price of path?
2.Market valuation – Forward Earnings i.e. forecasting future earnings
Myth 2
Investment is all about Timing the Market
1. The speaker explained the top performing schemes of BSL Frontline Equity performance, HDFC Top 200.DSPBR Equity.
1. The speaker explained the top performing schemes of BSL Frontline Equity performance, HDFC Top 200.DSPBR Equity.
Myth 3
No Timing but getting the trend clear
Myth 4
Buy what is in fashion
1. Nowadays, Real estate prices in Mumbai are in fashion.
As per JP Morgan research,
1. A property in Nepean sea Road is valued at 15p.c since 90yrs.
2. A property in Delhi (Kasturba Baugh) is valued at 17p.c return since 40yrs
3. A property in Chennai (up street locality) is valued at 20p.c. return since 80yrs.
1. Nowadays, Real estate prices in Mumbai are in fashion.
As per JP Morgan research,
1. A property in Nepean sea Road is valued at 15p.c since 90yrs.
2. A property in Delhi (Kasturba Baugh) is valued at 17p.c return since 40yrs
3. A property in Chennai (up street locality) is valued at 20p.c. return since 80yrs.
Myth 5
Change asset classes to control damage
1.101 equity mutual funds from 23 different MF houses.
2.Performance of schemes for 2003 -2011 –
95 schemes which gave CAGR > 15p.c.
Min returns = 1.71p.c.
Max returns = 41.6p.c.
1.101 equity mutual funds from 23 different MF houses.
2.Performance of schemes for 2003 -2011 –
95 schemes which gave CAGR > 15p.c.
Min returns = 1.71p.c.
Max returns = 41.6p.c.
Myth 6
Invest in the best Returns generating schemes
Myth 7
Even SIPs do not work in falling markets
1. In falling market your SIP values are less than portfolio value.
1. In falling market your SIP values are less than portfolio value.
The seminar was a value addition since it explained from both perspective (investors and distributors)
Thanks & Regards,
Monindro Saha
Summer Intern @ DENIP CONSULTANTS PVT LTD.
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