Smart ways to invest and attain early financial freedom

Here is an act that I normally do not recommend - but I must confess that I am thinking about it.  To buy or not to buy India cements stock - the stock has gone down due to bad news from IPL. The stock has fallen from Rs. 87 to Rs. 71.5 in tha past 5 days -about 18%.   I believe that this price drop is reactive and I believe that there is an opportunity - a short term opportunity - over time I believe that the stock will stabilise at it's 200 day moving average of around Rs. 85 - but right now the stock is down. 
There is lots of low cost money floating around globally –searching for good investment opportunities.  US, EU, Japan, Australia, S Korea, and many more countries including India have reduced their interest rates or maintained low interest rates since Jan 2013. This low cost capital is an opportunity for companies to borrow at a low rate and invest in creating productive assets (read capacity expansion) –which will in turn create economic growth. It is happening to a small extent – but most of this excess cash is ending up in speculation and in high risk assets like stock markets.  A part of this cheap money is coming into Indian stock markets through the FII route and this is the reason for the highs that we saw yesterday.




I am almost 50 and I have fallen in love again. I did not even know this company till a few days back. My ex -student, expert stock picker and advisor, Jatin introduced me to this company three days back. My first impression was that it is too small and too cash rich. It sure was an unusual company – its website did not even list the services that it offers  -and  I wondered what the marketing department was doing? Jatin persisted – sent me a few reports and as I read the reports – I fell in love slowly. I sp
I am taking a break from writing about “finding your passion” and writing about budget. Many of my readers had reached out yesterday asking for my views on budget. And so I am forced to say this: The Indian populace expects miracle from the budget – it is not as important as it is made out to be – years of bad governance cannot be solved by one budget – and I am a long term investor – my equity calls are for 3-5 years – so when I buy my stock, I am looking at period when there will be 3 to 5 budgets and so I cannot be really banking on the budget to give me ruturns. I buy stocks where budget or no budget, the company will make more profits and over time become more valuable and give me returns. In fact, last week the event tha
I know many of my readers, who invest in stock markets are trying to figure out the answer to this question. Kingfisher stock had a high of around Rs 30.9 in Feb 2011 and since then it has been a downward journey – it touched Rs 8.40 in August 2012 and since then has been languishing around Rs 15. Now we have this news that Etihad airlines may take stake in the airlines. Both KF and Etihad have not commented on this news.  We also have the news that 5 of its 42 KF planes have been taken back by lenders. Yesterday, after the news of Etihad broke out, 85 lacs