There has probably been never a time in the history of Indian Stock Market like now, with such a huge percentage of the nation’s population interested and invested in it \ud83d\ude42 . Everyone and their dog is discussing about how this Mutual fund has given 60% returns last year and how the other fund has under performed with just 20% – and here I was happy with 12-13% for years :-). Now, I can’t be envious that more people are entering this once niche area – it is bound to happen in a nation that is growing at such a fast pace. In fact, I have brought in a few myself – with the disclaimer of course. I am no expert, but I have been a part of the market from 2005 investing through SIPs and silently watching its ups and downs. What makes me shudder is the complete nonchalance with which the post-covid participants seem to approach it. They believe that Sensex will go only in one direction – up and their view of market crashes are these 1000-1500 point dips that happen and recover in days, weeks or max a couple of month. I remember the 2008 crash vividly – on Oct 2007, Sensex was at 20103 and it took till Feb 2014 for it to cross 20265 and go higher. That is 6 years and 4 months of nowhere. Take some time to reflect on what it means – it is like predicting today that Sensex will be around the same 80k level or lower till Feb of 2031. No one will believe in such a prediction – even I, with all these hard-cold facts, believe that Sensex will probably cross 150k by then. That is how we are – an optimistic bunch and that is how we can be – after all we invest in a belief. So, it makes that much more sense to understand the facts, the possibilities, the history and of what could happen and be prepared in case of an event like that.<\/p>\n\n\n\n
Tht title of this post is inspired by a recent book that I read, “Bulls, Bears and other Beasts”. I sure hope that the newbie retail investors have done their study and not come in after just scrolling through some YouTube videos and Insta posts. If you ask me, I would guess that they are not bulls or bears but rather rats. They were promised a pile of cheese and came running to munch on it. The moment they hear a loud bang, the first signs of true trouble in the market, they will probably scurry away – but then I might be wrong – only time and the market will tell.<\/p>\n","protected":false},"excerpt":{"rendered":"
There has probably been never a time in the history of Indian Stock Market like now, with such a huge percentage of the nation’s population interested and invested in it \ud83d\ude42 . Everyone and their dog is discussing about how this Mutual fund has given 60% returns last year and how the other fund has under performed with just 20% – and here I was happy with 12-13% for years :-). Now, I can’t be envious that more people are entering this once niche area – it is bound to happen in a nation that is growing at such a …<\/p>\n","protected":false},"author":1,"featured_media":7069,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[],"class_list":["post-7068","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-personal-finance-2"],"_links":{"self":[{"href":"https:\/\/simonkayar.com\/index.php?rest_route=\/wp\/v2\/posts\/7068","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/simonkayar.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/simonkayar.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/simonkayar.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/simonkayar.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=7068"}],"version-history":[{"count":2,"href":"https:\/\/simonkayar.com\/index.php?rest_route=\/wp\/v2\/posts\/7068\/revisions"}],"predecessor-version":[{"id":7072,"href":"https:\/\/simonkayar.com\/index.php?rest_route=\/wp\/v2\/posts\/7068\/revisions\/7072"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/simonkayar.com\/index.php?rest_route=\/wp\/v2\/media\/7069"}],"wp:attachment":[{"href":"https:\/\/simonkayar.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=7068"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/simonkayar.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=7068"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/simonkayar.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=7068"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}