These are exciting times for Indian investors. We saw a period of increasing despondence and negativity in August and September. There was a political logjam affecting key legislation like GST and Land reforms. We also saw a few poor headlines affecting investor sentiment, like the Amtek Auto and the Volkswagen problems.
Just when things were looking bad, the RBI stepped in with a surprise 0.5% lowering of interest rates. This had a strong effect on the market sentiments. Loans will get cheaper. More people should be able to access banks for credit. The lowering of borrowing costs normally has a cascading effect on consumption, investments and growth. With inflation under control, its time to reduce the cost of doing business.
- This view of the last 2 years of Sensex performance shows that we have made good returns so far, close to 30% absolute. And we are still 10% below all time highs.
- Our sense is that FIIs are fence sitting at the moment, but Retail investors in India have built up the momentum and are steadily entering the stock market.
- There’s a massive shift happening in investment assets from real estate, gold and commodities to the stock market.
- India continues to be the fasting growing large economy, and the best performing Emerging Market country today. The fall in oil and commodity prices is very positive for a consumer and importer like India.
- The INR continues to weaken against the USD, and we expect it to range from 63-66 levels.
- Our opinion: Continue making steady investments in this market.
- Major events and risks: Bihar elections, China volatility and policy uncertainty among central govt. legislators.
At JainMatrix Investments the volatility has also affected us but such events offer opportunities too. We are happy to note that our portfolios continue to outperform the benchmark indices. Lets recap our recent reports and articles.
- To help investors build their skills, we published Seven Short Steps to Long Term Investing Success.
- We did an analysis of our IPO / FPO reports of the past year and discovered that the JainMatrix Investments IPO Reports have delivered 60.5% returns.
- We continued this trend with Syngene IPO: Good Pharma R&D spinoff from Biocon.
- This report was also rated highly and published on Investing.com, a popular website.
- We go both ways with our analyses, and published this report: Navkar Corp IPO – Location Challenges – Avoid
- We reviewed and revisited an ETF that had its NFO in 2014, in CPSE ETF – UNLOCKING VALUE, SLOWLY.
- This website www.jainmatrix.com has been created to be a valuable resource for the investor. There are now over 90 reports and articles here which track the equity fundamentals, analyse events, comment on sector performance and educate the Investor. At JainMatrix, we want to make equity investments easier for each and every visitor of this website. To use this resource best, find the Company or Sector of your interest from the Search Boxes, or use the drop down Menus for guidance.
But if Time is Money for you, it will give us pleasure to add you to our group of Subscribers.
I hope you find these reports useful, rewarding and informative.
This document has been prepared by JainMatrix Investments Bangalore (JM), and is meant for use by the recipient only as information and is not for circulation. This document is not to be reported or copied or made available to others without prior permission of JM. It should not be considered or taken as an offer to sell or a solicitation to buy or sell any security. The information contained in this report has been obtained from sources that are considered to be reliable. However, JM has not independently verified the accuracy or completeness of the same. Neither JM nor any of its affiliates, its directors or its employees accepts any responsibility of whatsoever nature for the information, statements and opinion given, made available or expressed herein or for any omission therein. Recipients of this report should be aware that past performance is not necessarily a guide to future performance and value of investments can go down as well. The suitability or otherwise of any investments will depend upon the recipient’s particular circumstances and, in case of doubt, advice should be sought from an independent expert/advisor. JM has been publishing equity research reports since Nov 2012. JM has applied for certification under SEBI (Research Analysts) Regulations, 2014. Any questions should be directed to the director of JainMatrix Investments at email@example.com.