the biggest losses i booked in stock market

@ Srouta- I agree with you.Highly dependent on ATF prices. Once crude recovers all airline stocks will come down.

 

a horrible story of multi begger.. it is a lesson to all investors in this forum. thanks for sharing

 

I lost 20k recentky in option

 

booked 4.5 lakh losses in ganesh jewellery and 1.5 lakh in hindustan copper.although the losses could have been lesser.but i was in europe for 21 days (medical conference) and was very much involved in some operative training when i returned and opened the account a big surprise 900 rs mcx at 240 and 100 rs sgjhl at 35. i was hopeful about mcx so averaged a little and later booked 20% profit. but i was not so hopeful about sgjhl so sold it at 37 rs(now at 10 or 11 rs). there was as such no reason to sell hind copper (my father said it is good,he was a sail employee) but due to disinvestment by govt at 50% of market price reduced the stock to 50% overnight.so sold it too at 50% loss.
after that there were numerous small losses numerous big gains,some moderate gains.
overall it is profitable and most important enjoyable.
my biggest learning was never buy a very low p/e stock that remained cheap for long without any reason.

 

now a days i don't believe in holding time.if i get abnormally large profit i book it immediately.lichsgfn,pidilite,pincon spirit all gave me more than 100 return but at 20-25% increments.
there is only one rule in market 'there is no rule'.no trick works consistently over long term its Efficient Market Hypothesis in play.

 

looks like you have paid quite big amount of tution fees in stock markets. but dont get this losses to affect your investing side. keep the learnings going.
are you a doctor?

 

I agree 100%. Cant remember who said it, but he called derivatives - Weapons of Mass Destruction.

 

Buffett still calls derivatives weapons of mass destruction. But one must note that Berkshire and its businesses still trade in derivatives. Would there be the housing trouble if they didn't create a derivative and then leveraged it several times over?

 

thanks bro.yes I am an orthopaedic surgeon based in kolkata.i am learning eagerly but if there was a little bit of extra time available i could have done lot better.actually my most important hobby is reading so i enjoy market and theories of economics very much.
one thing i strictly follow-not to invest any money that may be required in recent or distant future i.e I invest my free cash only. this discipline helped me to avoid frustration.
one sector i usually avoid is pharma,despite being a doctor i never understood those FDA things.

 

nice to see a ortho surgeon in this forum. welcome to this forum.
yes bro. what you said is right. invest in what you know is a very effective strategy to follow in investing.only commit a amount in a company if you understands its business fully.which companies you have invested in?

 

will submit detail in next wk bro.plz keep me posted on every friday so i can revert on saturday(12 hrs in saturday is my only free time).
its good to find new friends with similar interests. my DR friends think market means the regulated market of calcutta corporation.and equity means gambling and any body interested in stock is a incorrigible gambler.

 

Yes Buffet still refers to derivatives as 'weapons of mass destruction'. But this comes from a man who lost over half a billion on unregulated financial instruments.

For every Buffet who brands 'all' derivatives as such, there this clear credible evidence that this isnt right.

A class of Derivatives can actually be a force for good. They promote efficiencies. A distinction needs to be made between regulated derivatives and unregulated derivatives and Buffet was wrong since he didnt make this distinction in his WMD call.

 

dear friend derivatives are risky as i do not understand them.there r people who can do it very well.buffet has his own opinion and I have mine but 'ALL GENERALIZATIONS ARE WRONG INCLUDING THIS ONE"

 

Anything one doesnt know or understands is dangerous for him. Like driving a car would also be dangerous if you dont know how to drive.

And yes all encompassing generalisations are more often wrong to make...

 

Whilst we wait for anindyaswati to submit his details, @w4wealth can you share your commitments to businesses you have understood fully.

 

@darth i said invest in what you know, and not invest in what others know

 

the reason i asked you to share your commitments ( investments/ portfolio) to businesses ( companies) that you have understood fully since i presume that you follow what you preach : quote " 'commit an amount in a company if one understands its business fully" end of quote.

Or is it a case of dishing out 30,000feet general gyan meant only for others and with you not following it yourself.

 

darth this is not preached by me. this is from peter lynchs books.

 

In my limited understanding ... Wasn't it you who said this in here? It's a different matter that its sourced from a book.

But this isnt the main point. The main point was my requesting you to share your commitments (investments) to business (companies) that you have understood fully. Any signs of this request being met?

 

@BombayBoy Momentos!! have quite a few of them...GTL, Unitech, .. Same here holding them but highest losses inccurred in Rel Com, Ramsarup Industries , Tata Teleservices, Mtnl ... Futures &Options are weapons of mass destruction