— N. Rangarajan, Mumbai.
Indian Stock Market : For the consecutive 8th session Indian markets are in negative barring one or two of flat closing. This despite some good news from FM ie., no tax till Rs. 12 lakhs followed by RBI governor Sanjay Malhotra reducing the Repo Rate by 0.25%.
But alas! Market ignored only to fall more. While seasoned investors take it in the right sense and an opportunity to buy more in good quality stocks, with total conviction about the growth story of India, the novices make lot of noises, abuses, criticisms and what not towards Nirmala & Modi.
New entrants to the market expect Whatever stock they have purchased must be a multi bagger in short time say within a few months. Second they expect the stock market shouldn’t fall at all or correct at all once they purchase. Third they think that having bought the stocks the market must obey their wishes not the economic reality or the market dynamics.
Curses are casts on Modi & Nirmala. Verbal diarrhoea of abuses are unstoppable with any medicine. The emotions are kindled by fly by night FINFLUENCERS.
While they make huge quick money the new inexperienced investors are left in lurch. These FINFLUENCERS conveniently deflect the blame on Modi & Nirmala.
Just watch a few YT videos, one can realise how these FINFLUENCERS subtly blame the government, the PM & FM. The pity is one such FINFLUENCER was heavily fined, in crores of rupees, for his influence on investors without proper registration withe the regulator SEBI.
The height of the pity is a leading TV business channel is advertising about his Stock Market education program run by him. One should also read the comments, that too in Tamil, most are height of filth & dirt. Neither the PM nor the FM pleaded with any one to invest in stocks & shares.
On the contrary it is the FINFLUENCERS who brainwashed you to invest that too in penny stocks mostly. During a recent trip to Coimbatore the driver was continuously blaming the centre for all the ills of the state and in particular Coimbatore itself.
He was brutal in attack saying that Rs 2000 to farmers by centre hasn’t been received by any one farmer in Coimbatore.
Do you all know the reason? The driver said the central government helps only North Indians and not the Tamil. When I asked how come he knows about it, he candidly replied the local news papers and TV channels said so.
He claimed he is graduate. I just pitied his awareness. Such is the deflection by the state for its own ills and failures but directed towards the central government.
The same is true in the case of many stock & shares investors and the YT advisors. Even so called well educated, knowledgeable, experienced analysts and advisors, some are really big names and have made very big money do such deflection.
I wonder on who’s behalf or which political parties or agenda they drive such narratives and play with the emotions and kindle the anger of poor investors.
Stock market investment is not everyone cup of tea. In Mumbai my stock market friends often used to recall the story of Joseph Kennedy. Father of Jhon F Kennedy, ex US president, Joseph Kennedy was one of the great stock market trader, investor.
Many investors followed him in those days as he was considered as the biggest Bull of those days. One day he was getting his shoe polished.
The boy who was doing it, noticed Joseph Kennedy reading the WSJ, and told him if he is an investor then he must surely buy the “ Kennedy” share today.
JK asked him for details. The boy said there is a share by name Kennedy and he must buy it for it will give multi bagger returns. Do you know what JK did?
He simply went inside NYSE and sold all his holdings at the opening of the market. People who followed were puzzled.JK didn’t utter a single word till the market closed.
On 28.10.1929, Monday the market fell by a whopping 13%. Then again on 29.10.1929, Tuesday market fell by another 12%. Black Monday followed by black Tuesday. A really big fall on that day. Finally JK opened his mouth and said, “ Stock market is an exclusive club of knowledgeable experts, not for a shoe shine boy who don’t have any knowledge or understanding but advises to buy a non existing share.”
Which means nothing but a biggest bubble waiting to burst. People don’t learn, why? Because after every bubble burst the losers move out and a new set of investors enter the market to keep the market vibrant and alive.
Also the old set of stocks which have fallen by 80 or 90% never prop up. It will be another new set of sectors, industries or concepts or ideas.
New set of investors and new set of stocks and ideas. Let’s see a recent example. In 2008 / 2009 there was a very big fall in the market around the world.
India too couldn’t escape the blood bath. Nifty Index fell from 6200 to 2800 just in few days. A fall of nearly 60%. So called Harvard educated stalwart was the FM, but everyone was quite.
If one takes the same calculation Nifty index must around 12000 from the recent high of 26277. When market went up to 26277 did anyone praised PM or FM?
They praised themselves for their brilliance on Stock Market. In fact that time too people cursed the FM for taxing them heavily instead of Zero tax.
Greed has no boundaries. Understand that Stock Market functions on its own dynamics. Never according to whims and fancies of individuals.
Stop blaming like the Coimbatore taxi driver. Learn the nuances of Stock Market investment. Or better leave it to the experts and invest in Mutual Funds.
I strongly believe that Stock Market is one place where one can create wealth for our future generations in a most honest way.
Remember your earnings are for you. Your wealth creation is for your next generation. Finally India is the growing rather the fastest growing economy with a most talented, dedicated, patriotic leadership.
