Chic: If you are trying to give  a makeover to your portfolio try doing so withe the targetted tsocks that have not moved. The other ones could be added in smaller doses.

Edited by basant - 27/Sep/2006 at 3:26pm

Chirag, Couldnt understand the comaprision between electrosteel and HDFC. I beleive both are a must-have although you may assign different weightages.Electrosteel is an enigma but then it may give you a bump up all of a sudden. A very rare stock you are getting close to its Book Value with an excellent dividend yield.....Awaiting your comments.

HDFC has moved up about 21% to Rs 1503 from our initial discussion at Rs 1245. While this movement has taken some of the cream from the milk HDFC remains a top notch portfolio holding.

 

The Indian Mortgage demand has grown at over 30% in recent months. The rise in income and the general culture of a shift from the joint family system into nuclear families shall keep the demand roust for the next few years.

 

In face of the rising property prices HDFC has been very efficient with its processes. They have kept the operating costs at 43bps of assets and credit costs at just 5 bps of assets.

 

The interest margins at 2.15% have been more of a constant even in the backdrop of interest rate movements of the past few years. the margins have moved  in a range of 5bps over the last 5 years indicating the efficient fund management processes of the company.

 

The value unlocking created through its forays into insurance, asset management and commercial banking should create significant shareholder benefits over the medium term (2-3 years)

 

The life insurance business is growing premiums at over 100%YoY.

Edited by basant - 30/Sep/2006 at 11:51am

Hello Basanji,