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Ok, the Economic Survey 2019-20 has a lot of useless economic mumbo-jumbo. But here's are some really interesting charts related to the markets.
1. Time taken for Sensex to cross each 5000 point milestone. Inference: As the economy has grown the markets have too.
Ok, the Economic Survey 2019-20 has a lot of useless economic mumbo-jumbo. But here's are some really interesting charts related to the markets.
1. Time taken for Sensex to cross each 5000 point milestone. Inference: As the economy has grown the markets have too.
2. Creative destruction. As the economy has grown, so has the churn in the index.
"Ten firms were churned out in the five years from 2006 to 2010, eight in 2011-15 and ten in 2016-19. Put differently, every five years, roughly one-third of the firms in the index are replaced."
"Ten firms were churned out in the five years from 2006 to 2010, eight in 2011-15 and ten in 2016-19. Put differently, every five years, roughly one-third of the firms in the index are replaced."
3. The average duration spent by companies in the index.
4. How sectors have evolved in the index over time.
For all the idiots talking about polarization in indices without context, take a look at this.
For all the idiots talking about polarization in indices without context, take a look at this.
5. As the economy has grown so has the diversity of the index.
This is why indexing makes sense. As markets and the economy evolves, so will the index ensuring that you'll always own the co's & sectors that are expanding.
Another graphic for all the polarization mongers.
This is why indexing makes sense. As markets and the economy evolves, so will the index ensuring that you'll always own the co's & sectors that are expanding.
Another graphic for all the polarization mongers.
6. Increasing composition of services in the index.
7. Concentration in indices.
"While the largest firm of 1991 constituted around 20per cent of the market capitalization of the Sensex, the largest firm of 2019 contributed only 13 per cent. "
"While the largest firm of 1991 constituted around 20per cent of the market capitalization of the Sensex, the largest firm of 2019 contributed only 13 per cent. "
8. Growth of IT and Financials in the index
9. This is an interesting chart. This shows how companies with political connections have performed. 2010 was a tipping point when just political connections no longer meant success.
10. Loans that you don't have to payback.
"As of 2018, wilful defaulters owed their respective lenders
nearly `1.4 lakh crores. The number has been steadily rising since the early part of the current decade."
"As of 2018, wilful defaulters owed their respective lenders
nearly `1.4 lakh crores. The number has been steadily rising since the early part of the current decade."
11. The sectoral breakup of defaults.
12. India has the best banks on the planet :p
13. Growth of the Indian mutual fund industry.
14. How India saves.
The most worry statistic in my view:
"It appears that resources not deployed by households in physical assets 2011-12 onwards were mostly expended on consumption"
The most worry statistic in my view:
"It appears that resources not deployed by households in physical assets 2011-12 onwards were mostly expended on consumption"
You can check out the full survey here: indiabudget.gov.in/economicsurvey/
