I have a retail shop in Pune and Cello has been very aggressive in its sales and marketing campaign, they provide better dealer margins and are also priced lower than la opala and have better and unique designs, it is difficult to maintain many designs as it increases shelf space and inventory, so we are now mostly selling cello dinner sets, very good demand I would say. Competition is heating as cello is planning capacity expansion and also a new plant for borosilicate glass division in direct competition to La Opala.

While i am appreciative of the detailed mathematical approach, Life does not run in an straight road. There are always twists and turns. We are in the middle of an expanding economy, relative job security and income growth on annual basis, All good,

Five years down the Line, lets say this stagnates or reverses.

Three Things life and time always teach everyone,

1. Nothing grows forever. 12% CAGR while realistically possible and probable is a dangerous calculation. More likely it will be 9-10%

2. Expenses are not determinable – Health, Deposits for purchase of Home, other unforseen is difficult to calculate.

3, Stoppage of Income- Either Private Job/Self/ Business- These can dissapear tommorow.

Long Story Short= Savings at an initial stage however high the % on personal basis is an key factor in survivability of these situations.

Many categories of mutual funds exist, which have different indices as benchmarks, and as per the categorization rules, MFs can hold some cash to invest even in IPOs. So, while the argument that if more money chases few stocks, then valuations go high, and when who hold more sell at peak, prices fall, there is also a chance that, with tighter regulations, stricter norms and transparency, many new companies enter the market, and market grows where the inflows can be diverted.

The point that retail who blindly participate without any idea will see some loss is true.

@iyeron Hello, happy to provide answers to the queries that you have raised.

1. This momentum portfolio moves on the basis of selecting the strongest stocks. Therefore, if any stock in the pf turns weak or another stock becomes stronger, it gets replaced automatically. Rebalance is done every week and hence response is very quick.

2. You are right in terms of growth of small cap stocks. However, please note that this portfolio will mirror the market direction. If the market is moving upwards, the pf will also rise. On the contrary, if the market falls, this pf will fall.

3. I measure strength of a stock and for smaller capitalisation, it is always better to do the rebalance at shorter intervals. For example, it is appropriate to rebalance Nifty 50 stocks on a monthly basis while for Microcaps or small caps, it is better to rebalance on a weekly basis. This is very normal for momentum portfolios.

4. The pf is very dynamic and changes on virtually every week. As of now, the highest returns in this pf is BSE which is returned 159%, ie. 1.5 times over 3 months. The weaker stocks get removed automatically. I have not seen losses over 10%.

5. This portfolio can be used for screening any market cap or any other formula. However, I have chosen to go with NiftySmallcap250 index and the stocks in the index. When the index get rejigged, the universe for me will also get changed appropriately. No other screening criteria. As long as the stock is strong relatively, it will remain in the portfolio.

6. All 20 stocks in the pf are from NiftySmallcap250 index. I have separate portfolios for NiftyMidcap150 and NiftyMicrocap250 indices.

7. This is a continuous process. I was waiting for one year duration before I published it.

Please note that this portfolio does not guarantee a positive return always. If the market goes down, the pf will also go down. If the market is in a secular downturn, pf will continue to go down. I never go to cash. Remain invested all the time.

The only consolation is that I will be holding the strongest stocks every week.

Viswanath

Bro watch this YouTube video from minute 18:30 they are taking about sip bubble.

Share Market के करोड़पति Traders का SCAM ! |@sharadjhun| The Investographer Podcast EP 9