Mar 19, 2018 11:42 am
The stock market is the story of cycles and of the human behavior that is responsible for overreactions in both directions. – Seth Klarman A few problems dog the markets that led markets to shrug off good economic data last week. One, domestic PSU related woes, and myriad follow on impacts. Two, relentless FI selling…
Read MoreMar 5, 2018 3:26 pm
“I’d love to have a trade war with China.…If we did no business with China, frankly, we will save a lot of money.” – Donald Trump In a volte-face, last year’s euphoria and optimism seems to have been replaced by skepticism and caution. Key concerns have come to the fore, including rising interest rates and…
Read MoreFeb 19, 2018 12:59 pm
“Failure comes from ego, greed, envy, fear, imitation. I have success not because I am smart, but because I am rational” – Warren Buffett XIV, VIX, PNB, PSU. It’s been an eventful fortnight, one that necessitates a review of the shifting investment landscape. Global The VIX Event Highlighted the Embedded Leverage in Developed Markets… Why…
Read MoreFeb 7, 2018 1:14 pm
Repo Rate and Policy Tone Maintained at 6% and Neutral Respectively The Reserve Bank of India today decided to keep the policy repo rate unchanged at 6% in a 5-to-1 vote. Dr. Michael Patra voted for a 25bps hike. The MPC maintained its neutral stance on monetary policy and commitment to achieving a medium-term target…
Read MoreFeb 5, 2018 12:52 pm
“The allure of safety is more perilous than the perceived danger of risk” – anonymous Fear Makes a Comeback… Fear returned to the markets last week. This wasn’t a domestic sell-off. The action in the stock markets, the action in the currency, and the overnight action in the U.S. (S&P 500 -2%), suggests that this…
Read MoreFeb 1, 2018 12:28 pm
Macro Takeaways on the Budget A Rural Focused Yet Minimally-Populist Budget We would rate this budget as generally along expected lines. The emphasis was expected to be on agriculture and rural and that, in fact, turned out to be the core focus of the budget. One of the fears market participants had going into the…
Read MoreJan 22, 2018 1:18 pm
“The biggest mistake is being fearful of making a mistake” – anonymous In a test, students are asked to identify players playing basketball in white shirts. In the midst of the video, a student dressed as a gorilla walks onto the court pounds his chest and walks off. At the end of the test, half…
Read MoreJan 8, 2018 1:59 pm
Performance Attribution for own in-house DPMS products. Indian Sanctum Titans Performance Our Flagship Strategy Indian Sanctum Titans Delivered a 51.0% Absolute Return in CY 2017… …Outperforming the NSE 200 by 17.6%… …and Outperforming the Nifty 50 by 22.4% Sanctum Titans Had Zero Negative Performance Months in 2017… …Demonstrating Low Downside Volatility… …Versus Four Negative Return…
Read MoreDec 11, 2017 12:30 pm
“Experience is what you got when you didn’t get what you wanted” – Howard Marks Outlook Publishing mid year and year end outlooks allows us to step back and ponder the big picture. This year, we share our findings on the outcome of reforms of the nature pursued by the government. In brief, we find…
Read MoreDec 6, 2017 2:05 pm
The Reserve Bank of India today decided to keep the policy repo rate unchanged at 6% in an “effective” 5-to-1 vote. 5 voted for status quo, while Dr. Ravindra Dholakia voted for a 25bps cut. The MPC maintained its neutral stance on monetary policy and achieving a medium-term target for CPI of 4% ± 2%,…
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