Trading or Investing?
How to know what works for you?
Here are all the key lessons that we must learn as traders or investors from The Journey of Vijay Kedia so far!
A Mega Thread on The #face2face episode of @vivbajaj @VijayKedia1
#invest
How to know what works for you?
Here are all the key lessons that we must learn as traders or investors from The Journey of Vijay Kedia so far!
A Mega Thread on The #face2face episode of @vivbajaj @VijayKedia1
#invest
(1/20)
How @VijayKedia1 got into the stock market?
His grandfather was a stock broker in Kolkata, and after his fathers demise, he got into the market early and started with mock trading with big quantites.
Later at the age of 18 he applied for sub Broker at the exchange.
How @VijayKedia1 got into the stock market?
His grandfather was a stock broker in Kolkata, and after his fathers demise, he got into the market early and started with mock trading with big quantites.
Later at the age of 18 he applied for sub Broker at the exchange.
(2/20)
He says:
Whenever we feel that no one can beat us, then only the market will throw us off.
And that’s what happened with him in the early days of trading.
He says:
Whenever we feel that no one can beat us, then only the market will throw us off.
And that’s what happened with him in the early days of trading.
(3/20)
“ A person needs to take trading as his/her sole business, only then they might be able to achieve success in it. That’s the reason why trading has only 1% success rate, the money lost by the remaining 99% is earned by the determined 1% and they earn big”
“ A person needs to take trading as his/her sole business, only then they might be able to achieve success in it. That’s the reason why trading has only 1% success rate, the money lost by the remaining 99% is earned by the determined 1% and they earn big”
(4/20)
After 10 years of trading, he got into investing after realising that he wasn’t taking trading as business but like a gambling.
And thus he started his investing journey with his remaining ₹35-40k
After 10 years of trading, he got into investing after realising that he wasn’t taking trading as business but like a gambling.
And thus he started his investing journey with his remaining ₹35-40k
(5/20)
If we have small capital, should we start with trading, make money and then start investing?
His Reply:
There is no guarantee that you can make big money by trading, infact you can lose your small capital very quickly in search for big returns.
If we have small capital, should we start with trading, make money and then start investing?
His Reply:
There is no guarantee that you can make big money by trading, infact you can lose your small capital very quickly in search for big returns.
(6/20)
However, if you have the risk appetite and you are willing to lose quite a lot, you can choose the path of trading first and investing later.
Only After knowing that there is a high chance that you might not be successful in creating big wealth.
However, if you have the risk appetite and you are willing to lose quite a lot, you can choose the path of trading first and investing later.
Only After knowing that there is a high chance that you might not be successful in creating big wealth.
(7/20)
“You should be able to survive in the market, that should be your first goal”
“You should be able to survive in the market, that should be your first goal”
(8/20)
He has no target, no stop loss level and no time horizon, when it comes to his investments in the stock market.
He has no target, no stop loss level and no time horizon, when it comes to his investments in the stock market.
(9/20)
Daily work routine:
He reads a lot about the global markets, commodities & economy & tries to find cause & effect as to how any of the macro news can affect his investments.
So his team’s job is to provide him with as many relevant information as possible.
Daily work routine:
He reads a lot about the global markets, commodities & economy & tries to find cause & effect as to how any of the macro news can affect his investments.
So his team’s job is to provide him with as many relevant information as possible.
(10/20)
In his early days, he didn’t use any financial ratios like RoCE or RoE to make his investment decisions.
Rather he tried to understand the business and it’s industry. And that’s how he bought Punjab Tractors which became a multibagger, he also bought ACC in the same way
In his early days, he didn’t use any financial ratios like RoCE or RoE to make his investment decisions.
Rather he tried to understand the business and it’s industry. And that’s how he bought Punjab Tractors which became a multibagger, he also bought ACC in the same way
(11/20)
He gives an interesting example to say how people always think complex formulas are better when in reality simple thinks works just the same or even better
People prefer to buy dettol over Savlon , just because it leaves an odour & sensation & people think it is better
He gives an interesting example to say how people always think complex formulas are better when in reality simple thinks works just the same or even better
People prefer to buy dettol over Savlon , just because it leaves an odour & sensation & people think it is better
(12/20)
Connect the Data with your Stock:
So always believe your research and only buy the stock, never rely on tips no matter who is giving it.
Even Managements of small and mid cap companies don’t know how big their company can become, then how can you invest based on tips?
Connect the Data with your Stock:
So always believe your research and only buy the stock, never rely on tips no matter who is giving it.
Even Managements of small and mid cap companies don’t know how big their company can become, then how can you invest based on tips?
(13/20)
3 Things are most important in Investment journey:
• Knowledge : Gathering your own data
• Courage: Having strong conviction to believe your research
• Patience: To have the gut to continue holding your investments through ups and downs.
3 Things are most important in Investment journey:
• Knowledge : Gathering your own data
• Courage: Having strong conviction to believe your research
• Patience: To have the gut to continue holding your investments through ups and downs.
(14/20)
How to scale big capital to an even bigger capital?
For him there is no amount which is defined as big, so if you think your capital is very big , you won’t be able to grow it to another level.
“I keep my imaginations wide, and I am a work in progress”
How to scale big capital to an even bigger capital?
For him there is no amount which is defined as big, so if you think your capital is very big , you won’t be able to grow it to another level.
“I keep my imaginations wide, and I am a work in progress”
(15/20)
His big learnings:
• He can’t make money out of trading.
• He is still trying to get more disciplined in trading. and he has come a long way.
• Risk taking ability is very important in stock market
His big learnings:
• He can’t make money out of trading.
• He is still trying to get more disciplined in trading. and he has come a long way.
• Risk taking ability is very important in stock market
(16/20)
If you get happy with a certain amount, that amount becomes your limitation.
Eg: If you are happy after scoring 20mins, you will never score a century in a game of cricket
If you get happy with a certain amount, that amount becomes your limitation.
Eg: If you are happy after scoring 20mins, you will never score a century in a game of cricket
(17/20)
Have a control over your expenses, only then you can take bigger risks in trading, as even in a downturn your lifestyle won’t take a big hit, if your expenses are minimal.
Have a control over your expenses, only then you can take bigger risks in trading, as even in a downturn your lifestyle won’t take a big hit, if your expenses are minimal.
(18/20)
He tries to understand the body language of the management to see if they can deliver what they promise. And goes with his gut feelings after analysing the same.
Management should be Honest, Hungry and Smart.
He tries to understand the body language of the management to see if they can deliver what they promise. And goes with his gut feelings after analysing the same.
Management should be Honest, Hungry and Smart.
(19/20)
It’s better to learn from the mistakes of others than to learn from your own mistake as it saves you a ton of time.
It’s better to learn from the mistakes of others than to learn from your own mistake as it saves you a ton of time.
(20/20)
“I try for investments that are going to be prosperous and have great future. I expand and diversify in those investments”
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@caniravkaria @chartmojo @kuttrapali26
“I try for investments that are going to be prosperous and have great future. I expand and diversify in those investments”
If you liked this thread, consider hitting the Re-Tweet button and help us reach other readers.
@caniravkaria @chartmojo @kuttrapali26
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