Four equity themes that will drive markets in 2017

Year 2017 promises to be a challenging year for equities. Firstly, India’s GDP growth may struggle to reach the 7% mark for the full year. That will bring a lot of old-economy company valuations into question. Secondly, US-oriented businesses will be trying to absorb the signals coming from Donald Trump on outsourcing, pharma audits and border tax. Thirdly, oil prices could finally show strength during the year and that will determine the fortunes of many Indian companies in the year. Lastly, two critical trends will drive Indian markets in the year 2017. Demonetization has set in motion the process of digitization and we will see greater convergence of payments banks, telecom companies and NBFCs. This process of digitization will be a key theme to play on in the coming year. Additionally, the passage of GST will be a major push for the coming year. Although the implementation will happen in July 2017, the impact will be felt in the coming year for sure… Continue reading “Four equity themes that will drive markets in 2017”

Equity Strategy

What should be your strategy at Nifty 7500?

The week continued to put pressure on the market as a mix of a slowdown in China and weak oil prices continued to spook the markets. However, the Nifty seemed to find a range of 7400-7500 to consolidate and that is probably the good news. While it may be early days to call a bottom, the appearance seems to be like the markets are bottoming around this range. But index levels have a nasty way of surprising us and hence the larger strategy should be to focus on themes rather than index values. Continue reading “Equity Strategy”

Equities in 2016

It will largely be a stock-specific game

With the Fed rate hike out of the way and its future trajectory almost clear the key question is what will this hold for Indian equities in 2016. There are 4 broad trends that could help us understand how equities will perform in the next calendar year. Continue reading “Equities in 2016”

Create your own trading rule book

What does a trading rule book mean?

It is a set of rules and discipline points you will not transgress at any cost. You will not deplete more than 20% of your initial capital. As a 50-year old person you will not have more than 40% of your money in equities. You will make it a point to book profits if returns on a stock cross 30% in a quarter. And you will be out of equities at a market p/e of over 25. So on. Continue reading “Create your own trading rule book”

The ART of broking

by- Jayant Manglik, President of Retail Distribution at Religare Securities Limited 

The history of stock markets is littered with changes which significantly altered the pecking order of the largest brokerages. Most of the changes had to do with the advent of the new technology introduced by the newly formed NSE in 1994 with BSE playing catch up. The major changes have been market-transforming with increased reach and availability of sophisticated products, sometimes more advanced than several western nations. Continue reading “The ART of broking”