Micro-Investment: March thro' June
I was lucky last February; I was lucky all along.
I studied the recovery of the Bombay share market (BSE/NSE) from the crash last year. Since February I started a portfolio for small investment.
Now I have three different accounts with brokerage firms; and maintain three portfolios. The first portfolio usually contains thirty shares, price mostly below Rs. 100. The second portfolio contains 15-20 shares (price range Rs.100-500 ) The third portfolio contains 10-15 shares (price range above Rs. 500). The first port-folio contains biotech/infotech, chemical process industries, steel, energy etc. The second one is loaded with bank shares, and some infotech/biotech. The third one is primarily biotech/infotech.
I like to think of batting, bowling , and fielding. I also group shares into Floor, Ceiling, Profit, and Loss.
My address as Independent Investor is registered in the MAPIN Database. I deal with the Reserve Bank of India directly by myself; Income tax issues also I directly deal with the concerned GOI offices. I have access to lawyers all over. I have no branch, and no assistant, on financial matters (No one is expected to telephone/e-mail on my behalf).
The returns are likely to be good. Now I can pay the rent in Bangalore, rent plus food in Mysore. Bombay is costlier. If the plan works, I can become self-financed researcher. I am likely to be happy by December 2005.
[As a rough estimate blue chip Indian mutual funds promise a return of 15-25% per annum; FTD's are below 6.5%. Recurring schemes and chits are all in between. Inflation plus interest is within 20% pa. The income scheme is not possible without online-trade facilities.]
During the next academic year (2005-2006), I shall focus on equity share trade and FOREX trade in dollar and other currencies.
SG
June 30, 2005.
Note: I may take investors; small investors (Rs. 25,000 to 2 lakhs) and ($1000 to $10000) are welcome.
