Good bye 2010

We just have entered the new year with new energy and aspirations towards making it better than the last one...dont we??
Looking back, I wanted to share with you the GOOD-BAD-UGLY of 2010 for me. That year I made a handsome profit in stock-trading which gave me around 25.31% RETURNS. Later in the year I also started a SIP(Systematic Investment Fund) in an Infra-Fund which is at -5.5% RETURNS as of 31st Dec 2010 which is not BAD!!!
So for me the last year was good making a lot additionally apart from my regular DOSE of addiction(SALARY).Hope my success in Investments and learnings on building Financial IQ helps my readers also benefit from it...Wish you a Happy New Year 2011

Price RISE

We all must have read the Reports of onion prices in Maharashtra doubling in a week in recent times. With Inflation taking its TOLL on one side and prices of food and non food commodities alike on fire on the other over the past few months, one needs to ponder where is this state aheading to!!!
This is where we need to think on finding a solution to catch up with these rising prices in order to cater to our daily needs. Even bachelors in the city are finding it hard to survive forget about the families!! Also the salaries random seem to increase at this level, How do we tackle such sudden changes?? Suggestions required...



This blog is an initiative to help the middle class community to ignite the Financial genius within them and motivate them to achieve Financial Freedom

Have we invested yet??

Infrastructure seems to be the HOT TOPIC in news these days...The Highways Minister Mr. Kamal Nath has ambitious plans. As per his ministry they plan to construct 35,000 km of roads by March 2014. This is expected to be the largest public private partnership programme in the world and is likely to attract a massive investment of US$41 bn, including FDI, from the private sector. Mr. Nath is confident of attracting international financial institutions and infrastructure companies to participate in the National Highways Development Project (NHDP). This is especially on account of the government's determination to bridge the huge infrastructure gap in India.
Furthermore UK's leading private Equity player 3I is set to launch its $3bn or 14000 crores infrastructure fund for India next year. Also in 2008 3I had floated its first India specific fund of $1.2 bn and has invested over $505mn in Indian Infrastructure. As per Michael Queen, chief Executive of 3I,"The main focus area is infrastructure,including power,ports,roads and water management"
As per my blog dated 18th Sept.2010 I have already signaled the trend to follow investment in Infra fund. Now its upto my readers to ride this upcoming wave early just like GOLD and benefit immensely in the years to come!!!



This blog is an initiative to help the middle class community to ignite the Financial genius within them and motivate them to achieve Financial Freedom

KEYSCRAMBLER: Safeguard your Financial Information

As the INTERNET grows fast each day,Financial Transactions and purchasing has never been easier.We have to go through the NOT SO SAFE path letting out our Personal Information sometimes-What if it goes in the WRONG HANDS???
The answer to the above issue is to FIGHT BACK and HOW...The ANSWER is KeyScrambler. Just found this tool surfing on the net. KeyScrambler Personal protects all your inputs in Internet Explorer, Firefox, and Flock, including your login credentials, credit card numbers, passwords, search terms, Java, Flash, PDF Forms, web email and a lot more. Online shopping & Web email; credit cards, addresses, Yahoo mail, hotmail, gmail and more; Java, Flash, & Browser Dialogs, browser master passwords,and much more...
KeyScrambler works by encrypting your keystrokes at the keyboard driver level and decrypts them at the destination application, giving keyloggers "scrambled," useless keys to record...Check out



This blog is an initiative to help the middle class community to ignite the Financial genius within them and motivate them to achieve Financial Freedom

Value Investing...Secret to good investing

As we see the stock market move up and down just like a SEE-SAW, what thought crosses our mind?...Is there fear when it drops and excitement when it rises!!!
Well its time to understand Value investing, which goes beyond all other forms of investing in the long run. Its the approach of not paying a very high price for a stock and remaining invested for a long period of time to gain optimum benefits. But our investors lack patience in this age...all they want is quick returns, short cut to gaining wealth!!!
As per Prashant Jain, CIO of one of India's Largest MUTUAL FUND HOUSE HDFC - the secret is that he buys only into business he understands well and while he likes growth and quality, he will never overpay for growth. He further added that he believes in doing simple things well. Many people don't want to concentrate on cash-flows and numbers like return on equity and this is where they lose out. These are simple things but a very important part of our process...Yes friends its time to learn the basics of Value Investing and how to analyze stocks to avoid choosing a wrong one just based on tips and stock recommendations!!!
I have put below some of the things that need to be checked in simple words before investing in a stock. Remember these are just the basics and we need to have a thorough research which Value investing will teach us
RETURN ON EQUITY(ROE):- NetIncome divided by the shareholder's equity(book-value). Its average should be between 15-17% over a long term
P/E RATIO:- Low ratio is always a good sign and can be worth buying
P/BV RATIO:- Stock is costly if this ratio is higher
DEBT:- Should be as low as possible and checked for stability
EARNINGS PER SHARE(EPS):- States a firm's profits on a per share basis. Gradual increase in EPS overtime is a good sign


This blog is an initiative to help the middle class community to ignite the Financial genius within them and motivate them to achieve Financial Freedom

Blow to IT Industry

Its all happening...Is the IT Industry heading towards its downfall?

Well the symptoms though are pointing towards it.
As per the latest news, the chief of Infosys, India's second largest IT services firm said,"What we see from customers is that they are committing short term; they also reserve the right to cancel, so clearly, everybody is playing the short-term game at this point in time." Further we have the H1B visa(work visa for US) fees nearly doubled from US $2000 to US $4500. The Indain IT Industry derives nearly 45-50% of its revenues from its onsite work resources. As per NASSCOM, this will increase the annual visa cost for the Indian IT industry by US$ 200-250 m annually. This will reduce the cost arbitrage that India offers to its clients in US. However, Indian IT firms cannot afford to miss the US markets!!!
The percentage of onsites that we had is also constantly reducing as per latest reports of the last decade. If this trend continues then surely the Indian IT Industry could be in deep trouble. But who will be the most affected will be the common man, us middle class whose primary source of income is the JOB in IT. Are we prepared well???


This blog is an initiative to help the middle class community to ignite the Financial genius within them and motivate them to achieve Financial Freedom

Time to invest in an INFRA fund

Is it still a good time to invest in INDIA with SENSEX touching 20K??? As per my market analysis and research I feel that its time we start investing in an Infrastructure fund for long term. Reason being Infrastructure growth has been the most lagging OR forbidden sector of our market compared to the kind of investment need that has to be catered to. This massive need of infra means that the money can be used productively for next 10 years by the government. Compare that to Hong Kong or Singapore where additional money cannot be used to build more infrastructure.
What we as investors need to do is be smart enough to start investing in such funds. Are we ready to earn through this upcoming change across the about to boom sector or still believe we are good enough just living our normal job paying lives???
Common friends start investing either through means of SIP or lump sum amount so that we dont miss to benefit from this important wave. Any suggestions??


This blog is an initiative to help the middle class community to ignite the Financial genius within them and motivate them to achieve Financial Freedom