Be Aware- stocks on free websites

People recommending stocks on their free blog websites, for example like today this website "https://theaceinvestor.blogspot.com" recommended stock named Camphor & Allied Products Ltd, at 3.20pm india time, the stock shot up 6%+ the author must be accumulating this stock at low prices and recommends it when he wants to make money.

So once innocent investors are alerted on his new stock they buy and this guys sells to make profits. No wonder in today's world who has the time to write free research/analysis report on stocks and post on their websites, i think that's the hidden secret!.

 

Why blame the author?? The fault lies wholly and squarely on the stupid small time investor...who wants to get rich without doing any hardwork ( carrying out his own equity research)

Atleast these authors maybe better than those who do the same thing but even charge individuals to obtain the name

Enough suckers around in both these universes ie Those investing blindly basis free recommendations and paid for recommendations

 

@ sonia, sachin - well said. I feel pity on the investors who jump to buy these shares without knowing any fundamentals. Today that particular share shot after 3:20pm.Hope the ace investor has made his fortunes. And he was giving publicity for his announcement from 2 days before in money control forums as well. All new investors be careful. Buy stocks if you are having any idea abt the company/ business.

 

100% Agreed. It is VERY DANGEROUS to buy such stocks recommended by shady sites.

 

SEBI SHOULD BAN SUCH SITES FOR MANIPULATION!

 

@ warren

Ya maybe you should start with a complaint about this very forum which keeps periodically posting which supposed value investor ( whether it is rakesh or ramesh or dolly or daljeet) has bought into or is buying into which share

 

Agreed sonia.Guys whenever u find a new stock name from such famous sources Just make a note and do your own research buy if it matches to ur risk apitite and u convinced to buy..

 

I don't agree,you can not blame a person who is expressing opinion about a stock.It is duty of invester who has to invest his her hard money to confirm and reconfirm the potential of that stock through his analysis and process.We should treat any information regarding any stock coming as recommendation just as his opinion.We need to do our research whether we endorse that idea.You should thank all the persons who express their opinion and help you to attract your research to a stock, which you might have missed in large ocean.So please listen to all,but do only what is right in your analysis.Blind walk is more dangerous in stock market than on real road.

 

No free lunch in this world, anyone recommending stocks on free blogs just wanted to market himself and nothing else, ONLY FRACTIONAL SMALL INVESTORS HAVE MADE MONEY IN STOCK MARKET 95% OF THEM HAVE LOST THEIR WEALTH IN STOCK MARKET, SO BE AWARE

 

Dear SUNNY ,I want to differ,no real invester lost money in stock market. Investers are those who invest in fundamently strong companies for long term. Those 95% who lost were in fact traders in my defination. Just for example if some body invest in Sensex or NIFTY stocks minus stocks of metals,mining,commodities,PSU,utilities,airlines can make money if invest for long term systemetcaly.And if you can manage over weight or under weight positions in basket of stocks I suggested as per flavour of that time, you can do wonders.

 

What about real estate and capital goods, did these sectors made money in last 5 years.... I can give you large companies like reliance, nmdc, BHEL, HINDALCO all are loss, stock market is gamble and retail investor should be very cautious with their money

 

Dear Sunny, you are again just mentioning stocks of catagries which I have asked not to invest ie, Reliance commodity,NMDC metals,BHEL PSU, Hindalco Metals and real estate which is not part of Sensex .Capital goods has not lost L&T represent that sector.People have made money in private banking,FMCG,IT,Pharma which are main constituent of Sensex in addition to L&T ,if you exclude stocks of catagries I mentioned.You could have made easily 20% CAGR or more in past and likely to make 20% CAGR in future also if some body follow this.

 

Th

There was a recent article in the Times of India that tabled out the probability of making a loss on equities across time frame and this article suggested that the probability reduces to zero over a 10-12 year time frame . ( i could have got the years wrong so will check and post on monday)

 

Even Big Advisory firms did the same with DCB Bank. While giving buy advice on the TV they reduced the exposure to the stock.

 

Unfortunately such things have happened in several cases .Recently many advisory and stock brokings firms were found working opposite to what they were recommending in many cases to public. I hope Sebi can enquire such cases if some body has complained .Investers should always be careful in working on stock recommendation by any one and should cross check that with their own analysis before taking a call. Those who can not do that should invest in mutual funds through SIP.As far as DCB bank is concerned, Bank performance is fine and profit were slighly down due to increase in income tax and hopefully good performace of the bank may continue .Bank has taken aggressive stance to face competion from new entrants. I hope management know their job well and continue to create wealth for their investers in long term.As of now , I remain invested in DCB for long term with full faith in management.

 

Very shocking how they do this. SEBI should take action and punish such people for misleading poor investors.

 

Indeed wealth can't be created through borrowed ideas. Borrowing ideas can lead like DCB bank case, where a big brokerage firm is advising to buy and at the same time they are selling at their own.

 

Dear V- reddy- - I totaly agree that wealth can not be created through borrowed Ideas .But DCB has been a idea of many investers. For your information even Tata group acquired big stake in this Bank in 2007 probably in hope that Govt may give permission to industrial houses to own a bank.Selection of this Bank for their probable entry into banking is not small thing.Simialry Crisil comes out with report of fair value of stock at 60 long back ,at that time Stock was below 40.Only after some time gap ,many brokerages comes out with buy reports.This bank is reporting good numbers and has done nothing to lose trust of investers.If management feel that aggressive expansion is good stretagy to remain ahead of coming competition, nothing wrong in it.Management knows its job and responsibilities.If some big investers don't agree with aggressive plans,they are well with in Right to exit the stock.But I don't know reasons of recommending and selling simulatanously by some one ,and it definitely don't inspire confidence in small invsters like us.But I would like to swim with management till they are performing . I wish and hope management will took this episode as challenge and work realy hard to prove them right to reward small investers in long run.But this is hard fact that we should not follow any advice blindly, as only we are responsible for our actions.Who is right and who is wrong will be decided in future, temporary price correction can not decide DCB future.Every one should decide as per his analysis.I had heard even best of names saying at the time of public issue and listing of HDFC bank at 30rs that pvt Banks may not survive due to distrust of public. Now splited 2 rs face value HDFC bank is in four digits. I would Never write off any body too early,but would not like to challenge wisdom of doom drumers of DCB ,who all are experienced one.I would like to wait even if alone .I would also refrain from any communication or discussion on DCB bank for some time .Let the future performance of DCB decide the issue in any way.

 

Thread starter Sonia joined this forum on Friday, and has only two posts..

One is: Start a discussion about SaralGyan's Diwali offer and the other is this very post against The Ace Investor hahahah says a lot.

 

You mean Saral is complex.?Wealth can not be created just on borrowed Ideas.We need to do proper analysis and satisfy ourselves regarding fundamentals and quality of any stock before putting our hard earned money.