Saturday, February 16, 2008

Good Stock Picks at Your Own Risk

Granules India GRANUL 85   150   76.47%  12 - 15
PTC India POWTRA 115.4   178   54.25%  12 months
Wipro Technologies WIPRO 411   633   54.01%  12 - 18
J K Cement JKCEME 176   255   44.89%  12 months
Cinemax India CININD 109.7   150   36.74%  12 months
ACC ACC 778.5   1022   31.28%  12 months

All about Warren Buffet - (c) as found on net

There was a one hour interview on CNBC with Warren Buffet, the second richest man who has donated $31
 billion to charity. Here are some very interesting  aspects of his life:

 1. He bought his first share at age 11 and he now regrets that he started too late!

 2. He bought a small farm at age 14 with savings from delivering newspapers.

 3. He still lives in the same small 3-bedroom house in mid-town Omaha , that he bought after he got married
 50 years ago. He says that he has everything he needs in that house. His house does not have a wall or a  fence.

 4. He drives his own car everywhere and does not have a driver or security people around him.

 5. He never travels by private jet, although he owns the world's largest private jet company.

 6. His company, Berkshire Hathaway, owns 63 companies. He writes only one letter each year to the CEOs of these companies, giving them goals for the year. He never holds meetings or calls them on a regular basis.
 He has given his CEO's only two rules.
 Rule number 1: do not lose any of your share holder's money.
 Rule number 2: Do not forget rule number 1.

 7. He does not socialize with the high society crowd. His past time after he gets home is to make himself
some pop corn and watch Television.

 8. Bill Gates, the world's richest man met him for the first time only 5 years ago. Bill Gates did not think
 he had anything in common with Warren Buffet. So he had scheduled his meeting only for half hour. But when Gates met him, the meeting lasted for ten hours and Bill Gates became a devotee of Warren Buffet.

 9. Warren Buffet does not carry a cell phone, nor has a computer on his desk.

 His advice to young people: "Stay away from credit cards and invest in yourself and Remember:

 A. Money doesn't create man but it is the man who created money.

 B. Live your life as simple as you are.

 C. Don't do what others say, just listen to them, but do what makes you feel good.

 D. Don't go on brand name; just wear those things in which you feel comfortable.

 E. Don't waste your money on unnecessary things; just spend on things that you really need.

 F. After all it's your life, then why give others the chance to rule your life."

Tuesday, February 12, 2008


I was sitting here thinking of the words i want to say
But they wouldn't come out right so i found another way
I opened my notepad and i wrote this poem for you
But there's no way to thank you for everything you do
For always being nice to me and staying by my side
For helping fix my problems and never leaving me behind
For accepting my thoughts and feelings though you dont understand
For never giving up on me and being my best friend
For making me laugh and letting me cry
And saying you'd miss me if i were to die
Everything you mean to me you could never know
In all the ways you've changed my life i could never show
The way you take care of me you're my shining star
And though it's so incredible that's just the way you are
Before i get too mushy it's time for me to go
But before i stop there's one thing you should know
As long as we are living no matter when or where
If you need me, i'll be there
I'll climb a thousand mountains and swim a thousand seas
Anything to be there because you've been there for me
This poem goes out to all the special people in my life

There is a miracle called friendship, that dwells in the heart
You do not know how it happens or when it gets its start
But you know the special lift it always brings
You realize that friendship is God's most precious gift!

Monday, February 11, 2008

RELIANCE POWER bang with power!

The much hyped Reliance Power IPO story has come to a Red end.
Opening at a nice Rs 530/- issue price, it was dragged down, by the bears and people with a sense of urgency to get rid of the stock, that were alloted - which was bought on credit.
See the math.
The application money was 25% of issue cost Rs 450 * 225 = Rs 1 Lakh.
Margin money paid = Rs 25,000/- @ 19% interest PA, costing the total investment Rs 396.
Alloted shares at Rs 430 for retail investers @ 15 shares = 6450.
Nett refund = Rs 18550/-, effective - Rs 18154, after interest.
So cost of acquisition is ( 6450 + 396 ) / 15 = Rs 456.4.
So to break even at sale, the investor should have sold at Rs 461 per share. But see what price it closed at? Rs 376/- an effective loss of Rs 85 per share or Rs 1275 in an investment of Rs 6846, which means a whopping loss of 18.62%. Not bad for a days trade? And a months wait?

Sunday, February 10, 2008

What Success Really Means to You?

What Success Really Means to You

When people speak of "success", they generally mean a position of importance in the world's eyes, or a job that yields lots of money and all the material pleasures and comforts that implies. But success, in terms of the deeper issue of vocation, is a highly individual thing that means different things to different people.

US Elections Trigger Recession? (Sort of as per (c) NBER data)

US Recessions since 1945

Duration of recession/Election in

1. Feb. 1945-Oct. 1945

8 months/Nov 1944

2. Nov. 1948-Oct. 1949

11 months/Nov1948

3. July 1953-May 1954

10 months/Nov1952

4. Aug. 1957-April 1958

8 months/Nov1956

5. April 1960-Feb. 1961

10 months/Nov1960

6. Dec. 1969-Nov. 1970

11 months/Nov1968

7. Nov. 1973-March 1975

16 months/Nov1972

8. Jan. 1980-July 1980

6months/No election

9. July 1981-Nov. 1982

16 months/Nov1980

10. July 1990-March 1991

8months/No election

11. March 2001-Nov. 2001

8 months/Nov 2000

Source: NBER