[alpha1]

Originally Posted by Jimmy_u

7.Once the money starts rolling "Live Life Kingsize" :-)

I leave this post open to feedback from the experts.

There is a point 6.5 somewhere in between that you have not mentioned.
Try to stay away from the charms of the derivatives. Futures especially.

The potential earnings from futures bet gone right will astonish you. But at the same moment slight movements contrary to your position will wipe away all your gains, perhaps even make you liable to pay more from your pocket ...

Options are still safer because of the "option" to exercise or not, but again the leverages are too high for recommendation to the general public.

[humyum]

Originally Posted by alpha1

There is a point 6.5 somewhere in between that you have not mentioned.
Try to stay away from the charms of the derivatives. Futures especially.

The potential earnings from futures bet gone right will astonish you. But at the same moment slight movements contrary to your position will wipe away all your gains, perhaps even make you liable to pay more from your pocket ...

Options are still safer because of the "option" to exercise or not, but again the leverages are too high for recommendation to the general public.

You are right, no futures initially for anyone atleast. The money in futures is so much initially, that we lose quite a bit of senses when we start trading it. I went through that phase because I started my share market trading with futures, a wrong foot I know, got burnt too. Lost quite a bit, gained it back over time and now I trade everyday/hold a couple of days but only in futures but with strict stoploss with the help of charts. The stability of mind and understanding of share market has come over time, the stability part is most important. I usually have a 5 thousand rupees stop loss in all the future scrips I buy, has worked out since some months quite well but in the initial 2 years, it was a disaster.

[sukhoi]

Originally Posted by Jimmy_u

I have been told by many in my circle that I should be willing to loose money which eventually i will regain but as rightly said this is will be a long innings in case i want to make sensible money.

Here is the plan of action which i have planned.

Hello Jimmy and welcome to the wonderful world of stock markets.
alpha1, humyum & RoadTiger have given some very valuable inputs. Few more thoughts from my side (not an expert but a fellow traveler on this journey of investment) which you might consider to include in your plan of action:

Read, read and read. Books, blogs, articles, newspapers. Depending on how much time you have and how much time you can make, read a lot because the markets are a vast playing field/maze. The more you know, the better armed you would be to make way through this playing field/maze. There are some very good blogs covered across the pages of this very thread along with some very interesting discussions and views by the people who are well versed in the markets or are doing trading full time. Trust you would have gone through this thread at length but if not, please do so.

Living life king size is very subjective and could mean many things. Are you saying that you would want to stop your current day job and live off the earnings from the stock market alone or would this be another source of income to supplement your income from your regular job?
Either ways, it would take a while to get to the goal where you start seeing regular income coming in from the stock market (learning phase, investing phase, watching the investments grow phase and then enjoying the returns phase). Be prepared for that and be patient.

Might be of interest to you - Reader's Story: How I Created a Corpus of Rs 3.7 Crores in 10 Years!! – Part 1

wish you all the very best Jimmy. Keep us posted as to how you progress and your experiences, I am sure it would benefit the community as well.

Fellow boarders, in recent times I have been reading about dividend growth investing strategy and that has appealed to me so far. A good site to learn about this could be http://dailytradealert.com/dave-van-...sting-lessons/. I came across this when I stumbled upon the blog of Jason @ http://www.dividendmantra.com/. This guy writes about his portfolio, incomes and expenses and how his earnings from the market (in form of dividends) are growing over a period of time. Any one here follow this strategy. Any views on this.

Cheers,
SK

[PatienceWins]

Originally Posted by sukhoi

Fellow boarders, in recent times I have been reading about dividend growth investing strategy and that has appealed to me so far. A good site to learn about this could be http://dailytradealert.com/dave-van-...sting-lessons/. I came across this when I stumbled upon the blog of Jason @ http://www.dividendmantra.com/. This guy writes about his portfolio, incomes and expenses and how his earnings from the market (in form of dividends) are growing over a period of time. Any one here follow this strategy. Any views on this.

Cheers,
SK

Thanks for sharing. Any idea how we can get the dividend yield data over the years for indian shares? I do not find this data in screeners like screener.in. The author has given charts for shares with dividend growth over the years (refer link below).

http://dailytradealert.com/2013/04/2...e-5-year-rule/

[sukhoi]

Originally Posted by PatienceWins

Thanks for sharing. Any idea how we can get the dividend yield data over the years for indian shares? I do not find this data in screeners like screener.in. The author has given charts for shares with dividend growth over the years (refer link below).

http://dailytradealert.com/2013/04/2...e-5-year-rule/

Glad you also found it useful mate.

One of the reasons I like it is that it sort of ensures that every month/quarter we would get some monies in your pocket, while capital appreciation would be happening as well (which is paper monies till we encash it).

Am also learning about this so not very sure of resources suitable for Indian equity market which could provide this data. Screener.in was going to be my first choice as well since I read that it offers us to create custom queries and view stocks which meet that criteria, but as you have mentioned, it does not provide a lot of information. http://in.dividendinvestor.com gives historical data about dividends so that should help.

Also another site which I intend to look at is http://www.morningstar.in/ which should have some data. It offers quantitative ratings of equities on basis of various factors like Moat Ratings, Financial Health Ratings, Valuation Ratings and Uncertainty Ratings. Do not understand these terms very well so not sure if this is exactly what you are looking for but it might be of some help.

Till now I was relying on moneycontrol to get data but that is a tedious process to visit each companies page and go to corporate action and get dividend history.

Cheers,
SK

[tiger_stripes]

In case it hasn't been mentioned here before, I will recommend reading Warren Buffett's annual shareholder letters to the shareholders of Berkshire Hathaway.

You can find them at http://www.berkshirehathaway.com/letters/letters.html

Written in typical Buffett style, they are full of little gems of wisdom. Just can't help but smile after reading them, and wonder why you did not think like that before.

[faustus77]

Originally Posted by Jimmy_u

Thanks ,
Appreciate the frank advice and wisdom from you gentlemen. This is the reason why this Forum is so valuable , we share and guide our fellow members and post real life experiences.

I have been told by many in my circle that I should be willing to loose money which eventually i will regain but as rightly said this is will be a long innings in case i want to make sensible money.

Here is the plan of action which i have planned.
1.identify approx 30 stocks based on the reading and recommnedation of people i trust, pick 3 from each sector of the market (finance/infra/banking/auto/pharma,etc)

2.using rediff money i can have an account and create my portfolio which i will track for another 3 months

3.in the interim open an account with Share Khan which came highly recommended from a family friend

4.based on the conclusions of the point 2, start investing in stocks with a return margin of 8%-10% over a period of 3-6 months

5.invest 40 % of the profits earned back into the stocks, hold any loss making script till such time that i can recover my investment

6.DO NOT DO INTRADAY till about a year

7.Once the money starts rolling "Live Life Kingsize" :-)

I leave this post open to feedback from the experts.

Jimmy.
Hi.
Quotes.
1) There are two times in a man's life when he should not speculate: when he can't afford it and when he can. Mark Twain
2)“October: This is one of the peculiarly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.” M. Twain
3) "Derivatives are weapons of mass financial destruction " AFAIR Buffett
4) " Speculation is injurious to your wallet" I dont remember the author.
Buy only quality shares(and watch the channels which have better looking anchors ) and hold.That has been found to be the best strategy.
Another point. It is not necessary that you will always get the price that you paid. A few I bought viz Reliance Capital, Rel Comm,Great Off Shore, Ucal Fuel, Hotel Leela, JP Associates are nowhere repeat nowhere near my purchase price. Most experts advocate a stop loss. Unfortunately I dont do it and consequently have suffered in a few. At the same time have gained in quite a few.
Happy investing and best of luck.
Regards
PS: Somebody suggested that you invest in mutual funds.That is a good option. For my daughter I do that

[JMaruru]

Another rate cut today. Markets are poised for much higher levels. Financials will do good. Exciting times ahead!

Brace in for a roller coaster ride!

Sensex past 30K today.

[humyum]

Originally Posted by JMaruru

Another rate cut today. Markets are poised for much higher levels. Financials will do good. Exciting times ahead!

Brace in for a roller coaster ride!

Sensex past 30K today.

I have been cursing myself since today morning. I churned bank nifty futures since 3 days but yesterday before closing advised myself against buying it thinking I ll buy it tomorrow when it falls down a bit. Darn thing opened 600 points plus up

[vinay kamath]

An interesting article in today's ET :

An Investment for the money's worth of approximate cost of One Royal Enfield 350cc motorcycle in those days, i.e. Rs 55,000 worth of the parent Company Eicher's stock in 2001 (@Rs17.50 each) would today be worth Rs 4,75,00,000/-(@Rs 16,000.00 each) ! WOW !

[Jimmy_u]

Hello Friends,

I thanks each and everyone one of you for the valuable tips and ticks of making my Debut in the Stock Market.

I am reading through and doing the due diligence and have identified and created a list of stocks i am interested in , I have created a dummy portfolio of the same on moneycontrol.com and am monitoring it.

Next step is to choose the right brokering firm, initially it was Sharekhan based on couple of good reviews but I have also been advised by family elders to go in for 3-in-1 account option such as ICICI/HDFC/SBI.

also i was reading online and it seems there are a host of other brokers out there who provide good services.

Can the guru's please advice ...

[MuraliR]

Jimmy, if you are an investor, buy+hold kinds, then consider ICICI Direct/ Sharekhan.
Transactions/ transfer to account, etc will be easier.

If you want to get into day-trading, then consider Zerodha/ RKSV/ etc - the low cost brokers.

You can also open a Demat with ICICI Direct/ Sharekhan, and a "trading only" account with any of the low-cost brokers, and also give them your Demat details to map them together.

[pankaj_sachdeva]

Folks, what is the view on HCL tech's bonus share announcement.

HCL is going to issue bonus shares on 20 March and if someone buys the shares today, would they get the bonus shares as well?

[nowwhat?]

Originally Posted by Jimmy_u

Hello Friends,

I thanks each and everyone one of you for the valuable tips and ticks of making my Debut in the Stock Market.

I am reading through and doing the due diligence and have identified and created a list of stocks i am interested in , I have created a dummy portfolio of the same on moneycontrol.com and am monitoring it.

Next step is to choose the right brokering firm, initially it was Sharekhan based on couple of good reviews but I have also been advised by family elders to go in for 3-in-1 account option such as ICICI/HDFC/SBI.

also i was reading online and it seems there are a host of other brokers out there who provide good services.

Can the guru's please advice ...

3-in-1 is usually for convenience. Otherwise broking and demat is done by one (2-in-1) and banking services will be provided by a bank. I have used both types of services and did not face any major inconvenience with a 2-in-1 as deposits or withdrawals between broker and bank are seamless.

I am not much into stocks these days and I did only delivery transactions, but I do not see any mention of Bajaj Capital which in my opinion is one of the best out there. I joined them many years ago and I paid ₹1,500 for a lifetime free demat account with zero demat charges. Their brokerage charges were also the least back then.

Everyone talks about ICICI, but I lost a tidy sum to them in all sorts of fees & charges that they simply debited from my bank account. One big advantage keeping the bank account separate (i.e. not opting for 3-in-1) is that they have to run behind you for things like annual demat fees.

Originally Posted by Jimmy_u

Next step is to choose the right brokering firm

I have been using my trading + demat account with Kotak Securities with my Axis Bank saving account linked since 2006. I am fully satisfied. I am a long-term investor and not a trader. I pay 0.5% brokerage plus taxes for each buying or selling and ₹ 50 plus taxes/month for the maintenance of my demat account. Apart from these charges, there are no other fees.