ValuePickr Forum

Ramana's portfolio

Here is my portfolio.

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Stock ****Weightage%

****POLYMED 45%
****MAYUR 30% **
**TTK 17%
****AVT 4% **
**PI 2% **
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My investment philosophy.
1). Invest only when you trust the management. A capable management should be able correct any shortcomings and steer the company in the direction
2). Keep it simple. Prefer the company with less number of variables with decent financials
3). Don’t be part of the crowd and be wary of market gurus.
4.** Don’t worry too about short term fluctuations. Investment is like a ten year marathon, it is not an one year sprint
5). Have reasonable expectations, if you follow the above there is a good possibility of exceeding expectations in a long period


Oh wow! You are holding 45% of your portfolio in Poly Medicure!!

This is one of ourfavoritecompany, we were lucky to spot it early during 2005 or 2006 and have been an investor since. This has been a wealth creator and future is even more promising.

Would like to know about your side on Poly Medicure

1 Like

One of the most concentrated portfolio I have come across. Very interesting investment philosophy. Could you share why you invested in TTK and Poly Med on the lines of your investment philosophy? Also, almost everbody holds Mayur on Valuepickr - so, is investment in Mayur exception to the rules? :slight_smile:

Minor point, but just wondering if you hold some cash as well for making new committments.

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**

Stock ****Weightage%

****POLYMED 45%
****MAYUR 30% **
**TTK 17%
****AVT 4% **
**PI 2% **

1).
2).
3).
4).
5.**

Entered into PolyMed around two years ago. Underlying story remains intact, though the stock price got impacted due to higher tax (33% vs 9% before) and forex issues (mark-to-market losses of around 9 cr not yet accounted). They are also increasing the capacity by 20% in 2012-13 which is financed through internal accruals and debt. I usually hold on to the stock for a longer period if I believe in the management irrespective of the short term issues.

ourfavoritecompany,

I deploy savings from my salary into the market whenever I am comfortable.

I am not sure where to publish this.Admin, please move it this is not the right place.

I have created the following excel option future combination return calculator for my personal use. Feel free to use if you are trading using options. Please let me know if you have any questions on how to use it.

https://docs.google.com/open?id=0B4LI2lcDmAxzY1VNWnp3UU1EMjg

do you trade in futures and/or options?

personally I used to trade options back in 08, but ultimately gave up without much profit or loss.

Yes. I have a decent success with options as most of the time on the sell side (learned from my prev exp.). I think options are more forgiving if you use in combination with proper risk management and keep the time on our side. I use future to cover the option if I think the market is going go against me.

I have corrected the link. The spreadsheet also plots the return on a graph and can be used any type of option or future combination.

https://docs.google.com/open?id=0B4LI2lcDmAxzRjRkbko1WUZLYm8

Ramana,

I like the concentration of your portfolio.

I also like the AVT story.Infact have written a short writeup on that in aseparatethread under not-so-hidden gems. Would like to know your views on the same.

Since the forum is for only on stock market, I have not mentioned my real estate investments. 85% of my net worth in real estate. Only 2% is in stock market.

Wow… 85 % of your money is in real estate. But how you choose to invest in real estate ,1) whether farm land or apartment complex , & 2) do you basically expect returns every month inform of rentals or you wait for price appreciation over a long period?

I guess real estate as a investment needs long patience to reap profits relative to stock, which usually gives good returns in comparably shorter period of time, but yes stock investment is always a more risky asset than real estate.

Thank you, Atul. I think international prices, weather conditions and labour shortage are the key risks for the AVT. Growthmany notbeat the same levelin the last year.

If you look at the portfolio, the stocks are basically into Health (Polymed), consumer (TTK, Mayur(?))and agriculture (PI, AVT). I may add something from education sector in near future preferly a possible turn-aound story. All of them are for very long term.

story.Infact aseparatethread

I think it happened by accident. Used toinvest excess cash andstock market profits back into real estate. Have houses/apartments andland. Land value grows exponentially if the location is right. House/Apartment gives a decent growth with regular cash flows from rent.

For real estate, I think the location is the key.All my investment decisions in real estate have been taken within half-an-hour of visiting the location.

1 Like

Added Bajaj Finance, Unichem, Kaveri andAstral.

Hi Ramana,

From looking at the charts, seems like consumer themed finance companies like Bajaj Finance, GRUH Finance, SCUF are having good times. Have you analyzed these companies by chance?

I would like to invest these companies, but due to almost nil knowledge of how to analyze a finance company, I am bit reluctant to do so. Valuepickr doesn’t seems to have any thread on them too :frowning:

As you have added some of Bajaj Finance, you might give us some head start on what exactly is going on at Bajaj Finance

andAstral.

Unichem at cmp seems fairly priced. I guess optimistic projections for fy 13 eps should be around 14 or so. That doesnt make it too expensive or too cheap.

Current Portfolio

Will be adding moreshares as and when I am comfortable. Don't expect any major changes to stock list in the portfolio. 50 % of the cash is yet to deployed.
Stock Cost Price Portfolio
Weightage
Gain after acquisition
or Jul 12
TATAGLOBA.NS 141.00 11.63% 8.22%
KSCL.BO 1002.00 7.76% 7.02%
BAJFINANC.BO 1139.00 11.94% 8.29%
UNICHEMLAB.BO 197.00 -4.44% 15.18%
ASTRAL.BO 300.00 3.55% 8.08%
INDAG.BO 312.00 -13.24% 7.04%
POLYMED.NS 288.50 14.38% 22.41%
TTKPRES.BO 3067.00 5.44% 8.41%
MAYURUN.BO 273.00 42.49% 12.14%
PIINDLT.BO 497.00 8.62% 1.12%
AVTNPL.BO 37.00 7.97% 2.08%

Admin, Could you please interchangecolumn headings - ‘Portfolo Weightage’ and ‘gain%’ in the prev post?

Don’t know where to post this.

Black Monday - Oct 19, 1987

I was reading first hand narrative of the market crash of 1987. It is really fascinating to read and look at black and white photos at that time.

Dow climbed from the low of 776 in 1982 after recession and reached 2,722 on August, 1987). Two months later, the market started its fateful downward trend, falling 260 points between Wednesday, Oct 14 and Fri Oct 16. On Monday Oct 19 the market crashed by another 508 points, a 23 percent decline.

People did not have instant access to market news those days. You know something - when the crash happened Peter Lynch was in Ireland on a long vacation and was on his way back after hearing the news. Imagine what would have gone through his mind.

Overall portfolio is doing good with the exception of Unichem and Indag. May add Poly Med if I like the price. Trading using futures and options is going well. Will move the profits from trading either into long portfolio or real estate.

Long term portfolio includes Poly Med, Mayur, Unichem, Bajaj Finance, Astral, Tata Global Beverages.