Yes of cource, glass or metal cans also are the replacement options. And for Varun Beverages those bases are also covered as they have the background integration for glass bottle and metal cans for Pepsi CSDs already.
1 Like
This was a timely move given what has happened in the last few days.
2 Likes
Timely is a relative term. Ideally I should have exited long back. All the stocks YB, Page, IndusInd, 3M are down since I exited. But that should not be a criteria of feeling good. Post exit, many can move up significantly and cost of missing out can be huge.
Aside to non performers, I am confused with performers too. Bajaj finance, HDFC Insurance etc are 100% to 60% up. Now I read valuations are stretched and correction is imminent in these scrips. Do i sell and book profit ?
Seldom do I get a clear answer as to when to exit a stock- losing or winning , either way.
I think with experience , patience and bit of systematic exit rules (TSL), I plan to handle the dilemma.
Lets see how things go
2 Likes
We need to look at precisely where the problem is.
You started a portfolio with the expectation of Capital protection, which is why you chose the best stocks. All stocks have a proven track record of over a decade. Full marks for stock selection.
However, your second expectation of capital appreciation is unfulfilled. Hence, you are making some changes, but in vain.
It is my opinion that no rules or shuffling will get results, because the market is going through a time correction. And is likely to go through price correction as well in the days to come. The economy is doing poorly and most sectors are likely to post poor quarterly results.
As a solution, your best option is to see the storm through and NOT fold mid-way. The profit will only come after the economic cycle bottoms out, which will take a couple of years at least. But your capital is surely protected. You must give yourself a pat on the back for good stock selection.
In fact, with such good stocks in your PF, you could buy more at correction. You did great when you sold Yes. But, Page and 3M you shouldnt have sold, but bought more of at lower prices.
7 Likes
If I were in your shoes, ** only for those companies which I feel have topped out **, I would recover my invested capital by selling part of my holdings for the ones which have gone up 80-100% and not touch the rest of shares. Some people are dead against this approach (Free of Cost). I did this with few companies. Recently with HUL which was up 100% from my cost price and valuations were looking unsustainable. I expect it to consolidate for some time and may look to re-enter later.
3 Likes
Google trend shows search & interest level of key words. Cool analytics, quite obvious from google anyway
Keyword : Multibagger & Slowdown economy
Country : India
Duration: 5 years
11 Likes
I would compare this data with the sides which one orders when out for dinner. The main course of course is the earning revival and performance of the underlying business. Such data should always be coupled with rigorous fundamental research.
Regards
Divyansh
1 Like
For my own learningâŚsharing a post written by Hitesh Sir.
Portfolio update !
Applied conditional formatting in excel to understand a continuous scale of performance.Overall portfolio return 15%. Out of tail stocks only Berger Paints is showing momentum.
4 Likes
Excellent performance. Have you included the stocks you sold in calculating the returns or are they for just ones you are currently holding?
1 Like
This is holding portfolio return 15%. Exits (cash adjusted) is 8%
Exploring increasing weightage of few performing tail stocks by putting fresh cash.
Thought of exiting 2 stocks- Sterlite and ALL but not decided as performance is cyclical. Chances of reversal is there .
1 Like
You need to start using the XIRR function in excel to calculate returns. I am not sure but your calculation of returns could be ignoring the time value of money.
3 Likes
The thing I find highly impressive in your PF is your capital allocationâŚThe stocks with more weightage in allocation are the ones that are best performing and any loss is only seen in lesser weightage stocksâŚ
1 Like
Impressive , How do you keep track of all these companies, there are 28 in your portfolio , do you have any number in mind or your prefer to add more ?
Some more articles that puts more light on the topic of quality stocks Topic
(money life is paid one)
Your holding period and date of purchase of each script may be different and if itâs so, they r not comparable.
1 Like
Although strategy has changed & evolved over the last 1.5 years, but so far so good. More importantly, picked up good lessons along the way. The core of portfolio has been- select good quality companies, hold for medium term, cut the losses and let the winners grow. Fill the exited ones with new set of quality companies.
Time nearing for sterlite, ashok Leyland and bandhan to make an exit
1 Like
Hi, Is your mode of investment through SIP or lump sum when there is a correction?
No not SIP.
Lumpsum whenever there is a correction in overall index.
1 Like