CAGR Insights is a weekly newsletter full of insights from around the world of web.
| Index | 01-Mar-24 | 23-Feb-24 | Change |
| Nifty 50 | 22,339 | 22,213 | 0.57% |
| Nifty 500 | 20,350 | 20,314 | 0.18% |
| Nifty Midcap 50 | 13,898 | 14,062 | -1.17% |
| Nifty Smallcap 100 | 16,059 | 16,175 | -0.72% |
Chart Ki Baat
Note: NSE and BSE are conducting two special trading sessions tomorrow (02 Mar 2024).
Session 1: 9:15 AM to 10 AM
Session 2: 11:30 AM to 12:30 PM. (This is for FYI please)
Gyaan Ki Baat
“Legendary Warren Buffett’s Investing Rules”
Rule 1 : Never lose Money.
Rule 2 : Never forget rule no 1.
Rule 3 : Pick Businesses , Not Stocks : Looks for companies with strong history, dominant market position, and high profits. A good investment is one with growth potential and trading below its true value.
Rule 4 : A wonderful company at Fair Price vs a fair company at wonderful price : Buffett is a value investor who likes to buy quality stocks at reasonable if not rock bottom prices. His goal is to build a portfolio of stocks that will reward him with profits and capital appreciation in years to come.
Rule 5 : Our Favorite Holding Period Is Forever : Warren Buffet is the ultimate exponent of a buy-and-hold philosophy.
Rule 6 : Be Willing to Be Different : Don’t follow the pack. You want to follow popular opinion because you can’t know how or from where those opinions derive. They could often be without any real basis. Buffett has suggested following your own gut instincts if you’re going to trust any gut instincts at all.
Rule 7 : Avoid credit card debt : According to Warren-“The two biggest weak links because of which people fail are liquor and leverage – leverage being borrowed money.”
Rule 8 : Invest in What You Understand: Don’t place your money in an area where you’re “incompetent,” at least until you become competent. Confine yourselves to businesses that you understand.
Here’s the list of curated readings for you this week:
Personal Finance
- History’s Whimsical Pace – Historical anecdotes offer intriguing perspectives on the passage of time and human achievement. Read here.
- A Cautionary Tale in Fintech – The Paytm-RBI conflict sheds light on the delicate balance between innovation and regulatory oversight in the fintech sector. Read here.
- The Key to Microcap Investing Success – Emphasizing the importance of patience and building relationships in microcap investing, advocating for thorough due diligence over rushed decisions. Read here.
Investing
- Six-Point Checklist for Evaluating Index Funds – Unveiling the 6 Key Traits of Best-in-Class Index Funds for Smart Investment Decisions. Read here.
- Navigating Uncertainty with the Margin of Safety – The Amgen case study highlights the importance of considering the margin of safety in investing decisions, as the company’s history of success was not entirely predictable, and minor assumptions can significantly impact future returns. Read here.
- Charlie Munger: Berkshire’s Guiding Force – Warren Buffett reflects on Charlie Munger’s pivotal role in shaping Berkshire Hathaway and outlines the company’s modest yet steady aspirations for the future. Read here.
- Unveiling the Power of Network Effects – Understanding the significance of network effects in driving exponential growth and profitability for companies across various sectors, while also acknowledging the associated risks and challenges. Read here.
- Assessing the NASDAQ’s Reflexive Bubble – Examining the potential reflexivity of the NASDAQ index amidst the rise of passive investing and the concentration of technology stocks, questioning the sustainability of current valuations in light of evolving market dynamics. Read here.
- Deciphering India’s Yield Curve Dynamics – Examining the implications of India’s evolving yield curve amid macro-economic transformation, emphasizing the importance of considering reinvestment risk and adjusting investment strategies accordingly. Read here.
- Sebi Mandates Enhanced Investor Safeguards – Sebi directs mutual funds to implement investor protection measures for smallcap and midcap funds amid concerns of market froth and potential risks during downturns. Read here.
- Ignoring Short-Term Noise for Long-Term Gains in the Stock Market – The S&P 500 has seen remarkable highs, but also significant lows, demonstrating the volatility and unpredictability of the stock market over time. Read here.
Economy
- Fading Fear of Inflation Paves the Way for Rate Cuts – The market’s belief in upcoming rate cuts by the US Federal Reserve is evident through two charts, indicating a shift from inflation fears to expectations of falling rates. Read here.
- India’s Tourism Potential – India’s tourism sector sees significant growth potential, boosted by government initiatives, technological advancements, and rising domestic and international interest, poised for further expansion in the coming years. Read here.
- A $10 Trillion Market Cap by 2030 – Mahesh Nandurkar, Jefferies’ Head of Equity India Research, predicts India will be the third-largest economy by 2027, with a market cap of $10 trillion by 2030, driven by continued reforms and a GDP expected to surpass that of Japan and Germany. Read here.
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That’s it from our side. Have a great weekend ahead!
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The content of this newsletter is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information outlined in this newsletter unless mentioned explicitly. The writer may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated in this newsletter.