Category: CAGR Insights – weekly newsletter curated by Kshitiz

CAGR Insights is a weekly newsletter full of insights from around the world of web.

Index	31-May-24	24-May-24	Change
Nifty 50	22,531	22,957	-1.86%
Nifty 500	21,103	21,484	-1.77%
Nifty Midcap 50	14,443	14,663	-1.50%
Nifty Smallcap 100	16,697	16,883	-1.10%

Chart Ki Baat

Source: RBI

Here’s the list of curated readings for you this week:

Personal Finance

• Letting Go of Sentimental Clutter- Embracing Minimalism and Present Joy: The passage discusses emotional attachment to physical objects, emphasizing the negative effects of hoarding and reluctance to let go. It advocates minimalism and enjoyment of assets in one’s lifetime. Read here

• The Quiet Power of Thought- Rethinking Productivity in the Modern Workplace: John D. Rockefeller’s belief in internal contemplation over visible labor highlights the importance of quiet, reflective thinking in producing good work, especially during idle moments. Read here

• Importance of Inheritance Planning in Personal Finance: In a NDTV Profit discussion, Alex Matthew and Stran Financial Services CEO Theal Sen emphasized the significance of inheritance planning, legal consequences, nominee vs. legal heir distinction, and executor role. Watch

• Redefining Career Paths- Embrace Flexibility: Mistaking patterns for rigid rules in career paths, graduates often box themselves into specific trajectories based on initial job choices. Career paths need not be linear, and skills determine possibilities, not job titles. Read here

Investing

• Untold Truths and Essential Insights- Navigating the Complexities of Insurance with Mahavir Chopra: Mahavir Chopra, an insurance expert, discussed insurance complexities, shifting from sales to claims, intermediaries’ role, misleading rules, and recommending knowledgeable advisors, smart contracts, and regular policy reviews. Watch
  

• SEBI Order Reveals Varanium Cloud’s Misconduct: The SEBI order against Varanium Cloud Limited and its promoter, Harshawardhan Sabale, revealed serious misconduct, including misuse of IPO funds, false financial reporting, and share price manipulation. Read here

• IRDAI’s New Health Insurance Guidelines: IRDAI has released a master circular on health insurance, aiming to enhance policyholder empowerment, improve service standards, and ensure compliance with Ombudsman awards. Read here

Economy

• RBI’s Record Dividend- A Boost for Government Finances Amid Economic Challenges: The Reserve Bank of India’s 2.1 trillion rupees dividend to the Indian government is under scrutiny due to potential one-time gains and potential sustainability concerns, potentially supporting fiscal financing and social welfare. Watch

• How South Korea Became the World Leader in Internet Connectivity Through Visionary Leadership: South Korea achieved 93% internet access by 2022, thanks to visits by SoftBank founder Masayoshi Son and Bill Gates, earning it the title of ‘bandwidth capital of the world’. Read here

• RBI Brings Gold Home- A Historic Move: The Reserve Bank of India has transferred over 100 tonnes of gold from the UK to its vaults in India, marking its first significant addition since 1991, with another transfer anticipated. Read here

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Check out CAGRwealth smallcase portfolios.

Both our smallcase portfolios are ranking well in the smallcase universe in terms of 1 year returns.

• CFF (launched in June 2022) – Ranked among Top 20 smallcase with medium volatility.

• CVM (launched in May 2022) – Ranked among Top 40 across the smallcase universe.

Do check it out here

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That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.

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.     

CAGR Insights is a weekly newsletter full of insights from around the world of web.

Index	24-May-24	17-May-24	Change
Nifty 50	22,951	22,465	2.16%
Nifty 500	21,475	21,061	1.97%
Nifty Midcap 50	14,646	14,510	0.93%
Nifty Smallcap 100	16,880	16,859	0.12%

CAGR Insights is a weekly newsletter full of insights from around the world of web.

Index	12-Apr-24	05-Apr-24	Change
Nifty 50	22,516	22,526	-0.04%
Nifty 500	20,751	20,720	0.15%
Nifty Midcap 50	14,052	13,979	0.52%
Nifty Smallcap 100	16,509	16,354	0.95%

Chart Ki Baat

Chart credits: @QCompounding

Gyaan Ki Baat

Crowdfunding is a method of raising funds for a project, venture, or cause by pooling small amounts of money from a large number of people, typically via the internet. It bypasses traditional financing avenues like banks or venture capitalists, allowing individuals or organizations to solicit contributions or investments from a wide audience. Crowdfunding platforms facilitate this process, offering a space for creators to showcase their projects and for potential backers to pledge their support. Depending on the platform and the type of crowdfunding model used (such as donation-based, reward-based, equity-based, or debt-based), backers may receive perks, products, equity, or interest in return for their contributions. Crowdfunding has become increasingly popular for startups, creative projects, charitable causes, and even personal expenses.

Here’s the list of curated readings for you this week:

Personal Finance

• Understanding the 4% Rule in Retirement Planning – The 4% rule in retirement planning suggests withdrawing 4% of one’s savings annually, adjusted for inflation, but its efficacy varies due to market unpredictability and individual circumstances. Read here.
  
  
• The Myth of Luck – Understanding the distinction between luck and what isn’t repeatable is crucial in learning from successful individuals and applying their strategies effectively in business and investing. Read here.
  
  
• A Roadmap to Money Management Success – Establishing financial safety with an emergency fund and paying off high-interest debt precedes saving for retirement and fulfilling life goals, while aspirational goals like maxing out retirement accounts come in the endgame of financial planning. Read here.

Investing

• AI Revolution Takes Flight at Microsoft AI Tour – The rise of AI, from statistical to cognitive engines, is transforming industries globally, driving productivity gains and innovation, with Microsoft’s Copilot as a notable example. Read here.
  
  
• Exploring the Intersection of Longevity, Financial Wellbeing, and Life Stages – Insights from Dr. Thomas Mathar on Standard Deviations with Dr. Daniel Crosby. Listen here.
  
  
• Embracing the Uncomfortable Truth – Navigating financial markets requires confronting uncomfortable truths, from the dominance of large corporates to the inevitability of changing interest rates, challenging investors’ established beliefs and strategies. Read here.

Economy

• Delayed Rate Cut Forecasts Amidst RBI’s Steady Policy Stance – Indian overnight indexed swap (OIS) rates have risen post-RBI meeting, indicating expectations of a rate cut in early 2025 instead of late 2024, with market sentiment influenced by robust growth and inflation concerns. Read here.
  
  
• India’s AI Evolution – Enterprise and government sectors in India are increasingly leveraging AI and technology, with focus on applications such as customer service enhancement, digital infrastructure development, and fostering innovation, poised to drive significant economic growth. Read here.
  
  
• Geopolitical Tensions Drive Bullion Surge – Gold prices soar to record highs amidst global tensions, central bank purchases, and speculation on monetary policy changes. Read here.
  
  
• The Yuan-Rupee Linkage – The Indian rupee’s recent movement appears to be more closely linked to the Chinese yuan than to the US dollar, potentially affecting India’s export competitiveness. Read here.

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Check out CAGRwealth smallcase portfolios here.

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That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.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.

CAGR Insights is a weekly newsletter full of insights from around the world of web.

Index	05-Apr-24	28-Mar-24	Change
Nifty 50	22,526	22,327	0.89%
Nifty 500	20,720	20,255	2.29%
Nifty Midcap 50	13,979	13,527	3.34%
Nifty Smallcap 100	16,354	15,270	7.09%

Chart Ki Baat

Gyaan Ki Baat

A turnover ratio is the percentage of stocks and other assets in a mutual fund that have been replaced over the course of a year. This number can vary depending on the type of mutual fund, its investment goals, and the portfolio manager’s investing approach. Assessing mutual funds through this metric is valuable in determining which ones are suitable for inclusion in your investment portfolio.

The mutual fund turnover ratio can affect how much you spend on owning the fund. When the turnover ratio is high, you might end up paying more for things like brokerage fees and bid-ask spreads. You can locate the turnover ratio in the mutual fund company’s most recent financial statement. It usually falls somewhere between 0% and 100%, though for actively managed funds, it can be even higher. A turnover rate of 0% means that the fund’s investments haven’t changed at all over the past year.

Here’s the list of curated readings for you this week:

Personal Finance

• Embracing Conviction – Navigating the challenges of investment emotions, a reminder of long-term investor principles amidst short-term pressures and behavioral tendencies. Read here.
  
  
• The Art of Reconnaissance in Investing – The importance of thorough due diligence in investing, emphasizing the necessity of on-the-ground research and personal interaction for uncovering deeper insights beyond surface-level analysis. Read here.
  
  
• Selling the Story – The article explores how individuals often shape their narratives to emphasize struggles, particularly in the financial space, to sell stories and advice, highlighting the importance of scrutinizing advice based on its merit rather than the storyteller’s background. Read here.

Investing

• Reality Check of Retail Investing in India – Retail investors from smaller towns are flocking to the Indian stock market, fueled by speculative trading and influenced by finfluencers, amid warnings of overvaluation and risks from regulators and seasoned investors. Read here.
  
  
• Transition in Banking Investment Portfolios – RBI’s new guidelines on investment classification and valuation aim to align Indian banking standards with IFRS, allowing for greater flexibility but requiring prudent management of securities portfolios. Read here.
  
  
• Decoding the Small Cap Cycle – The article evaluates whether small caps are in a bubble using a comprehensive six-lens framework, indicating caution due to red signals in long cycle, valuations, flows, past performance, despite strong fundamentals. Read here.
  
  
• New KYC Rules on Hold for existing investors – Mutual fund investors relieved as accounts won’t be blocked despite missing the KYC deadline, however the new KYC rules still apply for new investors. Read here.

Economy

• The Evolution and Future of Securitisation in India – Securitisation in India has evolved from mortgage-backed securities to asset-backed securities, but further growth hinges on addressing gaps in regulation, expanding into new asset classes, and enhancing market transparency and participation. Read here.
  
  
• RBI Keeps Interest Rates Steady Amid Robust Growth and Inflation Concerns – The Indian central bank kept its key interest rate unchanged at 6.5% for a seventh consecutive meeting, citing robust economic growth and persistent inflation above the 4% target. Read here.
  
  
• India’s Fixed Income Market at an Inflexion Point – India’s fixed income market poised for growth amidst favorable demand-supply dynamics and global rate expectations, prompting strategic portfolio adjustments. Read here.
  
  
• Unlocking India’s Potential – Professor Aswath Damodaran outlines India as a significant investment opportunity while addressing the obstacles it must overcome and the necessary reforms for realizing its economic strength. Watch here.

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Check out CAGRwealth smallcase portfolios here.

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That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.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.