"Monopolies & Why invest in Monopolies?" a session by Saurabh Mukherjea, Founder & CIO of Marcellus Investment Managers @MarcellusInvest
hosted by Vivek Mashrani @MashraniVivek in
Investing Accelerator Summit @ias_summit
#IASummit

A 🧵 Developments of past 10 years:

Indian economy: Less Fragmented; More Integrated
~ National highway network: 2x
~ Broadband users: increased from 20 million to 687 million
~ Airline passenger traffic: Grew by 16% CAGR
~ Cloud & SaaS enable small companies to expand quickly

Key takeaways on Health Insurance from @Delhi_Investors DIA Expert Talk by:

Deepak Mendiratta @DeepakMendirtta, Founder @PlanCover
organised by
Delhi Investors Association's Brajesh Rawat @BrajeshRawat, Utkarsh Pandey @cautkarshpandey & other members.

A 🧵
#healthinsurance Why health insurance?

To protect savings in case of health issues.

Access to quality health care is easy when you don't need to:
~ Dip into your savings
~ Withdraw your investments
~ Borrow from friends or bank

Health Insurance is thus a planning for tomorrow!

Listened to an excellent talk by:
Saket Mehrotra @mehrotra_saket along with team of
Marcellus Investment Managers @MarcellusInvest,
Saurabh Mukherjea, Rakshit Ranjan @RakshitRanjanM1, Salil Desai @SalilDe

A 🧵 to understand the philosophy in the book "Diamonds in the Dust"!! What is the philosophy of Investment of Marcellus?

Invest in companies that have:

~ Clean promoters
~ Rational promoters i.e. taking proper capital allocation decisions
~ Dominant business i.e. monopolies

My takeways from: @LarissaFernand's talk with
@MadhusudanKela in
@in_morningstar's investor conference

A quick thread 👇

https://twitter.com/LarissaFernand/status/1460578404047020037

1. Have the right expectations:

Don't expect future returns based on those of past 18months

Be realistic to avoid disappointments.

Listened to an excellent episode of Paisa Vaisa podcast with:

Monika Halan @monikahalan author of the best-selling book "Let's Talk Money" hosted by Anupam Gupta @b50

A thread 🧵 on key takeways from this excellent podcast.
#PaisaVaisa
@IVMPodcasts Learnings from pandemic:

~ Need for a bigger emergency fund
~ Move money from equity to emegency funds during bull runs

~ Re-balance portfolio as per market changes
~ Maintain asset allocation

Takeaways from Clubhouse session:
"Investing Insights with Samit Vartak" @SamitVartak
hosted by @ishmohit1 @soic
along with @cautkarshpandey
@dadalife369 & other members of Delhi Investors Association

Thank you @Delhi_Investors & @soicfinance for the wonderful session!

A 🧵 How to select companies that can give high returns.

~ Look for companies that will double earnings in 3-4yrs
~ Avoid extremely cheap & poor quality companies
~ Ensure they meet the business standard

Attended a clubhouse talk on:

"Common Investing mistakes" hosted by
Hena Mehta @hena1220 co-founder of Basis with
Aditi Kothari Vice Chairperson DSPMF &
Kalpen Parekh @KalpenParekh MD-CEO DSPMF
moderated by Dipika Jaikishan @dipikajaikishan

🧵 on key learnings:
@getbasis
@dspmf A common investing mistake:

Taking out money when market falls!

Reason:

~ It's difficult to get in once you get out

~ If you manage to get in you will be late and lose the rise in the market.

Don't exit when market falls, neither stop the SIPs.

What is something more important than chasing returns:

Managing risks!

Here are 10 important aspects in personal finance to manage your risks!!

A thread 🧵

#personalfinance
#investing 1. Risk profiling

As complex the word may sound, risk profiling is simple.

It involves understanding your:

~ Risk taking ability
This is based on your age, income, liabilities (dependents) & expenses!

~ Risk tolerance
How much volatility you can bear without losing sleep

Mutual funds are popular in equity & debt.

But, there are other categories that can play a vital role in portfolio!

Attended an insightful Twitter spaces:
hosted by @iRadhikaGupta & @avasthiniranjan
with @invest_mutual @roopa17venkat & @itsdeepakjain

A 🧵 on key learnings: An important reminder in this rising market:

"When markets are at All Time High,
Wisdom should also be at an All Time High!"

Return is one part of an investment.
The other part is managing & mitigating risk!

Insights for investing from:
Fun 'n' Learn with Swarup Mohanty @mohanty_swarup,
CEO Mirae Asset Investment Managers (India) Pvt. Ltd,
hosted by Deepika Asthana @asthanad

A thread 🧵 Why rules & regulation are necessary?

In the 90s:
Harshad Mehta scam reduced attraction of stock market to zero

Realisation:
Wherever there is money, there would be some kind of theft.

Thus, wherever there is money there needs a strong regulation.

12 habits of successful investors!

I personally practice few of these & wish to implement those which I don't.

A thread 🧵 1. Independence of opinion

Successful investors avoid stock tips, biased views & media predictions.

They develop their own opinions based on facts

"To be a better investor, you have to stand on your own.You just can’t copy other people’s insights."
--Li Lu

Asset Allocation!
An often misinterpreted word.

Attended an insightful Twitter spaces on:
Building a portfolio by right asset allocation with
@iRadhikaGupta, @monikahalan & Jainy Shah @PRIMESTARinves1 co-hosted by @avasthiniranjan

A thread 🧵 on key learnings: What is asset allocation?

It's like diet of each individual.
The needs of:
~ Youngster
~ Middle age earner
~ Retired person
would vary. So will their diet & investments

Selecting investment products to meet one's need is asset allocation.

Stock price movements are often interpreted in the wrong way by investors.

Here are the 12 silliest & most dangerous things people say about stock prices.

Peter Lynch has discussed these in his book and he hopes we all dismiss these from our minds!!

A thread 🧵 1. If it's gone down this much already, it can't go much lower

Even if stock is a bluechip, there is no such rule in the market.

It may still fall further if:
~ It's overpriced
~ Business fundamentals have turned bad

Investors who hold blindly, could suffer a permanent loss!

What is an important pre-requisite before investing in a mutual fund?

Understanding the asset class.

Infact it is paramount in any investment.

What exactly is an asset class?

Let's understand it in detail.

A thread 🧵 What is an asset class?

Asset class is the actual investment type wherein your money will be invested.

Examples:
~ Gold
~ Equity
~ Real Estate
~ Corporate debt
~ Government securities

The performance of the asset class would decide the mutual fund's return.

Selecting a medical insurance is tedious!

Here are 10 important clauses that should be checked before buying a medical insurance.

These clauses & valuable information & tips about health insurance are available in the book "Let's Talk Money" by @monikahalan.

A thread 🧵 1. Co-pay clause

You will have to pay some percentage of the medical expense that along with the insurance provider.

That is, all the expenses are not being paid by the insurance provider.

Sir John Templeton was a legendary investor, banker, fund manager & philantrophic!

Recently heard his talk "Keys to Investment Success"

Let's go through the key learnings about investing, spirituality & life!

A thread 🧵

Thank you for the recommendation @Gautam__Baid How should you buy a stock?

Don't try to time the market.

The best way:
Buy at fraction of a stock's true value, hold it till market realises the value.

True for stocks, True for any asset!

The Warren Buffet of China

A legendary investor & one of the industry's best kept secret!

Li Lu, is the founder of Himalaya Capital and one of the chief practitioner of value investing after Charlie Munger & Warren Buffet.

A thread

#LegendsByFinalysis
#investing The early life of Li Lu

~ 1966: Born in China
Family imprisoned in the Cultural revolution
Spent childhood in half a dozen foster families

~ 1976:
Survived earthquake as a 10 yr old
Lost adopted family
Blacked out on the street seeing dead bodies
Re-united with blood family

A Thread on checklists to analyse a business based on @Gautam__Baid's book #TheJoysofCompounding
The book has explained the terms in a easy to understand language with less jargons. This thread is an attempt to summarise it.

https://twitter.com/Finalysis20/status/1367297463686549507

1. INCOME STATEMENT

Sales Growth:
- Higher is better
- High sales growth with no profitability = ×××
- Organic growth driven by internal accruals = ✓
- High growth driven by big-ticket acquisitions = Caution!

Recently read the excellent book by @Gautam__Baid " TheJoys of Compounding" - A passionate pursuit of life long learning

A thread on key takeaways, learnings and insights from the book:

Note: This thread will be updated in due course of time. 1. Becoming a Learning Machine:
Reading:
- Regularly read books / articles / blogs on topics of interest
Regular: Could be just a page per day
- Helps hone skills as well as improve as a person
- Way to benefit from experience of our ancestors
- Helps form mental models