No point in giving such guidance if they could not predict current year growth no’s . Said something in Q1Fy24 and reduced the guidance by 20% for full year in Q2Fy24 ……

Business is not linear … So stay cautious while u get such guidance

MON100-Etf – (9% allocation of PF, 35.5% profit)

Why I invested: The narrative is straightforward: the majority of innovation, both present and future, is expected to be showcased on Nasdaq. In my view, Nasdaq stands out as the premier global index, boasting a remarkable 15-year Compound Annual Growth Rate (CAGR) of 15%. Personally, I believe that including Nasdaq in my portfolio is essential for hedging against technological disruptions. Furthermore, it serves as a safeguard against rupee depreciation.

Here is an interesting article on the alloy wheels market in India. Alloy wheels: A preliminary analysis in the Indian context | Team-BHP
TLDR

1. Alloys are a key differentiator in the common segment (Tata, Maruti, Mahindra, Hyundai etc) for the top-end models, whereas it’s a basic expectation in the luxury segment (Merc, BMW, Porsche). Foreign companies in the common segment offer more variants with alloys than Indian companies.
2. However, things are changing in the common segment with companies offering more variants with alloys.
3. In the common segment, adoption is increasing in SUV and Sedan sub-segment whereas Hatchback is lagging behind.
   With all of this, alloys market seems to only grow going forward.

To remove : continuous bad results, and any type of fraud, mostly based on results only for mid-caps, for small caps it required continuous monitoring as so many factors need to be taken care of.

Hi. Have recently exited IDFC First Bank due to below reasons. Would like to inform the VP forum:

1. Increase in NPS provisioning results into risk that Bank will keep on provisioning high on unsecured loans and high risky loans as compared to large banks. This quarter most of the banks had reduced provisioning but was not the same for IDFC.

2. High C/I ratio will take few years to come down due to high touch business model of the bank and investment in tech.

3. ROE is significantly lower as compared to other large banks. Will keep on raising capital whereas large banks don’t need capital to grow. It would be tough to generate strong alpha from here for few years till ROE & C/I doesnt improve.

4. Journey from here on will not be easy growing at 25% CAGR. Deposit war is very tight and bank has to keep on investing in branches to grow.

5. With recent increase in risk weight on unsecured loans, PL and other USL COF and risk weight shall go up and bank will have to focus more on secured lending which will result in NIM pressure.

Reduced financial sector allocation significantly since there are much distinct opportunities in Manufacturing, engineering, pipes, railway beneficiaries, water and many fast growing sectors in small and micro cap space which can lead to much higher alpha as compared to large banks in medium term.

P.S: Continue to hold Equitas since they are into distinct and less competitive sector within banking + Secured lending. Views are personal.