Tar's Portfolio and Information Attic

Hi Tariq, you mentioned you hedged #Strides during the quarterly results, so you could limit your losses. Do you hedge your portfolio during the Budget? Is it good to consider hedging pf near the budget time ? Can you write a thread on Hedging a stock/pf. on twitter

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hey tariq sir , just wanted to know your views on proxy’s of real estate sector boom ( acrysil ,astral)
and your views on equitas bank ( and bank and finance as a sector for this year)
loved your thread keep up the good work sir .

No, if you hedge your PF, don’t try to time it unless you buy it as an insurance. Insurance/ option premium paid will be your cost and will ultimately reduce your return in short term but should help in the long run. For example, you can buy Nifty shorts every for 3 months out and refresh them for next quarter.

The problem with this approach is that even next month out options are very illiquid and prices are usually inflated.

Stock specific option hedges I try out whenever ‘events’ are near, esp. earnings example Strides.

As more companies get added to F&O in India, this approach should help normalize the returns over time.

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Hi, you dont have to call me sir, you can address me as Tar or Tariq :slight_smile:

I missed out on Acrysil, others are quite expensive today. Find real estate companies better priced and available at decent margin of safety.

Sorry do not track Equitas bank.

Thank you for reading and all the support

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ohk Tar :grinning: , i forgot to ask you about the hospital sector .like most of the cos did heafty capex in last 2-3 years.(hcg , aster dm and some more) whats you views on this . and thankyou for a quick fire response. :heart:

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Hi Tar,

have been researching to find out solar energy sector stocks at decent valuations. Recently, came across the results of Swelect Energy systems. Coincidentally swa your tweet about it. Seems that they are available at very reasonable valuations. Could please provide an Outlook over here as not much information is provided in their Annual report.

Hi Tar, do you have any view on Solara active pharma or strides pharma after the massive corrections. Both companies are from the Arun Kumar group. Would you look at any of them now?

Hi @Tar

What is the rationale behind allocating such high percentage of your portfolio to a small cap company(Borosil Renewables) which is yet to prove his worth and its profitability can be impacted if there is change in PLI schemes or if GOI allows import of solar glass panels.

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Hi @Tar ,
Wanted to know your thoughts on Indiabulls real estate and the recent steep fall , if you have been tracking it. Sorry, if you have covered it already.

Thanks

Hi Parth,

Indiabulls Real Estate went through so many whammies since Feb.
First, was the reveal of debt of 6K cr by Embassy at the start of Feb, then came the Russian War, then there was those raids by ED on Indiabulls Housing which impacted IBREAL as well

It was showing signs of recovery, then market sentiment changed, then came QIP, and then came broader market sell off from April onwards.

So a lot has happened and none of the decline is related to fundamentals - simply cause there aren’t any to look at. Real fundamentals will only be revealed once the merger completes.

The near term earnings triggers are two

  1. Completion of merger (should have happened this month but it keeps getting pushed, so monitor this closely)
  2. Reducing of Debt (Monetization of land bank will help here)

In my view its a misunderstood firm that just got dealt with a bad hand and continuous whammies.
The firm remains cheap and if they execute well, they have everything going for them to do well over the next few years.

My mistake here was to take the event risk (pre merger) and I should have waited for merger to complete.

D: Holding, will add once merger and name change gets completed

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Thanks Tariq for the explanation, I agree. Although some of the factors like Indiabulls group raid should not have lead to impact, as the promoter had already his stake by then.

Anyway, hope the merger and clarity on debt etc emerges soon.

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