Monday, July 17, 2006

Investment - random musings

Hi yaaron!!

I was thinking of writing something on this topic. Since it concerns one and all, people nowadays are making investments in the stock market, in real estate, and in commodities . So i thought it will be really helpful for all of us, with varied degree of knowledge in this field, to come out and discuss the nitty-gritties of this 'last liberal art' - Invseting.

To begin with - investing, according to me, is placing money on some article, piece of land, piece of business, or some commodity with the intention of making some reasonable ( definition varies - for some 10% is reasonable and some people make claims of 100% returns or more) returns. The most common examples are real estate and equities. Since i am more exposed to equities, i will be talking, henceforth, from the perspective of stock investment.

For a prudent investor, it makes sense to buy a stock which is available in the market at a price substantially lower than its value ( again the definition varies but as a standard 30-50% can be regared as a safe range of discounted value). The tough part is to find the stock/s which is/are trading at the price signifiantly lower than its value. Again how to evaluate is another important question in itself.

So for today i will leave the floor open for discussion on which stocks to buy, how to find the value and how do people define investing in the stock market..

Bhimania
Cheti yaar..mast slangs hain.. so from now onwards..stop throwing a teddy when we are maaro gaand...aahhaha

1 comment:

Chetan Arora said...

Roger that Bhimania!

And I am not yet a money investor apart from Insurance kinda stuff to save taxes in general mostly.