CAMS is smartly venturing into non MF business like eKYC, insurance repository, Account aggregator, AIF & PMS through Fintuple acquisition ( PMS will always charge high expense ratio which could not come down soon as it is the case through out the world)

I am eagerly looking out how account aggregator will workout for them. If they can get it right. It can become 2nd revenue contributor to them next to MF…

@richdreamz

I have followed your slightly different approach to invest in platform/new age companies, a lot of which are recent IPOs. Nykaa, Policy bazar, Zomato, Delhivery, A lot of them listed with a lot of fanfare and in the subsequent sell off were hit hard. With the kind of charts I saw, which you put up as falling wedges, what I see are charts with consistent lower tops and lower bottoms in a lot of cases, or basically weak structures in most of them. Going ahead, I think there are going to be a lot of investors stuck at each of the higher levels which should offer resistances at each level once the stock manages to move up.

Instead of these, focussing on companies like Page, United Spirits, (good to see the former two in your list) even good FMCG companies like say Hind Unilever, Colgate, (not to compromise on quality of business and longevity of the runway) which are close to all time highs, or atleast on chart structures seem very robust (besides being proven race horses) might be more rewarding.

Stocks languishing at or near all time lows, or close to lows, or are not participating in any meaningful rallies seem to be there for a reason. I think most of these IPOs had already come at very lofty valuations, looking at the market mood (at the time when it was party time for all new fancy IPOs) and then fancy stories were floated around to make these appear stellar businesses to suck in retail investors who bought in with a lot of gusto even at much higher levels.

While we may be smart enough to be able to buy once all the froth is out of these, and downsides might be limited, what about the upsides?

Usually stock markets are always on the lookout for new stories /new themes/new narratives and my fear is that all the narrative related to these Nykaas/Policy bazaars/ Delhiverys are out in the open, and nothing new is going to come out… The only trigger left is a real big positive surprise in earnings which makes the stock prices run hard, past all major resistances.

A small note on these falling wedge theory… Usually falling wedges are to be looked at in bull rallies when these smaller falling wedges signify short term counter trend consolidations, before the major trend resumes.

The simpler aspect for anyone who follows basics of technicals is to look out at stocks which have broken past major resistances, and are consolidating while respecting major support levels. All the better if its above all time highs or near all time highs. The pathway of least resistance in these kind of situations is usually up and returns are quick and plenty.

There can be an endless discussion on the merits of businesses but we make money as investors only if price moves agree with us. And all the while we remain invested in these under performing stocks, a lot of other stocks keep running hard. Opportunity costs is something to be considered.

Personally I always want to see my money work hard for me, and not sit around lazing in stocks which don’t move much. Just my view. (Probably I don’t have the patience you seem to have nurturing these businesses in the portfolio, even when their stock prices are stuck or maybe by nature I am fond of fast cars. )

Screener for 52 week high growth stocks:
https://www.screener.in/screens/804662/52-week-high-growth-stocks/

One way of investing is to find out themes which are successful in western countries, sooner and later come to developing market such as India. India many times pick up trend better then developed world, such as telecom/data revolution/consumption.
I estimate, same will be true for EV trend, once EV is at par with ICE in terms of price, there is no looking back.

Disclosure: Invested

At first glance, not related to Saregama, however I estimate, Jio laptop will increase media consumption. Average user spend 3 to 4 hours/day on social media, with school children have this new weapon with them. Reducing entry barrier to get smart phone/laptop with lower price and cheaper data is boom for media companies.

https://www.arabianbusiness.com/abnews/reliance-jio-set-to-disrupt-indian-market-again-with-a-184-laptop

Disclosure: Invested