India Infoline - Its All About Money,Hone
Printed From: The Equity Desk
Category: Investment Ideas - Creating winning portfolios!
Forum Name: Emerging companies - Mid caps that can become large cap
Forum Discription: These are companies operating in growing markets having have certain niches or specific attributes like new sector plays. These are emerging multibaggers with high risks and high rewards.
URL: http://www.theequitydesk.com/forum/forum_posts.asp?TID=1396
Printed Date: 07/May/2025 at 1:33am
Topic: India Infoline - Its All About Money,Hone
Posted By: deveshkayal
Subject: India Infoline - Its All About Money,Hone
Date Posted: 25/Nov/2007 at 3:59pm
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CMP: Rs 1119
Market Cap: Rs. 5975 crs
PBT FY08: Rs 1.8 - 2 bn
Revenues FY08: Rs 7-7.5 bn
EPS FY07: Rs 12.85
ROE FY07: 18.26%
Market share: 3.3%
Avg. daily turnover: Rs 2100 crs
Branches: 596 in 345 cities
Fully diluted equity after accounting for the warrants that are going to be issued in January 2009 and ESOPS will be around Rs66 Crores and plus incremental new ESOP scheme . As on date equity is Rs53 crores.
Revenue contribution from various businesses:
Brokerage : 56%
Insurance : 15%
Commodities, Merchant banking and Mutual funds : 29%
Chairman: Nirmal Jain - IIM-A Alumnus
Retail broking:
India Infoline has around 3 lakh custumers. It has a tie-up with Bank of Baroda for e-broking.
Institutional broking:
India Infoline has roped in Bharat Parajia, director of sales at CLSA in Singapore, H Nemkumar, CLSA's country head for India, Aniruddha Dange, CLSA's head of research in India, and Vasudev Jagannath, CLSA's head of sales in India. While Parajia will join as head of institutional sales at India Infoline, Dange will be head of research and Nemkumar head of investment banking.
Each one of them is bringing in more than 10 years of experience with a top institutional brokerage in Asia. The CLSA foursome will also pick up stakes in India Infoline through the preferential allotment route. Their collective stake would add up to around 15%. Parajia already holds a 2.88% stake in India Infoline. He will subscribe to 25 lakh equity warrants at Rs 440 each.Nemkumar will pick up another 25 lakh, while Jagannath and Aniruddha Dange will subscribe to 20 lakh warrants each. The preferential allotment includes the four men buying 90 lakh equity warrants at a price of Rs 440 each, of which 10% will be paid up front as their sign-on bonus. The remaining will be payable at the end of eighteen months when the warrants will be convertible into shares.That is, all these guys will have to cough up about Rs 360 crore to convert their warrants into shares. Currently, the company's institutional equities team has 35 people, including research analysts and dealers.
Consumer Finance: During the quarter, it managed a book size of Rs 25 crore and has suffered a loss of Rs 5.5 crore. It expects to break even in 2-3 quarters. NIM of 6-8% on personal loans and 3-4% on home refinancing. It is looking at a Rs 200 crore private-equity funding for its consumer finance subsidiary. It intends to leverage its extensive branch network to expand its consumer finance division to tier-II and tier-III cities in the coming quarters. India Infoline is going slow as it has just started this business with a robust risk management system. The company has roped in experts from Citi Financial and other banks. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Replies:
Posted By: deveshkayal
Date Posted: 25/Nov/2007 at 4:09pm
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Future of India Infoline depends on CLSA guys. Investment managers plays a key role in Capital Markets. Aditya Birla Group recently hired Ajay Srinivasan and Pankaj Rajdhan of ICICI Pru is a testimonial to the fact. Every businesses can be scaled up significantly from here. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: basant
Date Posted: 25/Nov/2007 at 4:38pm
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Very well articulated. But do you think there is enough left from the current prices though over the long term this company would do well without a doubt?
------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: bgkochar
Date Posted: 25/Nov/2007 at 5:19pm
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i know abt niram jain,nem kumar and bharat parajia. they are genius but i have same question that do u think there is enough left? i habe one more quest that all brokerage firm are quoting at 40-60 pe,is it justified,i know that after stovk mkt reform mkt turnover will be much much more,but competition will also come from foreign brokerage also. what is your view on brokerage firms,
basantji i need your views also.
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Posted By: shivkumar
Date Posted: 25/Nov/2007 at 6:35pm
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Companies like indiainfoline will face tough competition from brokerages like Reliance Money. Already a few like HDFCSECURITIES have had to reduce fees following RM's onslaught. RM charges a mere one paisa commission on every trade though take Rs 500 upfront from users. I think for renewals they charge something like Rs 2500 for Rs one crore worth trade or six months whichever is earlier. Though RM could create problems for investors who buy and hold for long time, short-term traders will make hay from RM. So brokerages like Indiainfoline, ICICI Direct, etc will have to work hard to retain customers. Much depends on the abilities of the brokerages to get you shares of companies that are not traded in large nos. For instance, I couldn't get shares in Forbes Gokak and Sanghvi Movers using my RM account. The RM account even refused to place an order for these shares. Subsequently, I had to buy shares in these companies from HDFC Securities. So if Indiainfoline and Religare are planning on brokerage fees to shore up their revenues, then there will be tears to shed when the fees fall. |
Posted By: basant
Date Posted: 25/Nov/2007 at 7:10pm
They are cyclicals. Tell me a brokerage stock that has doubled when the index has fallen. There are several other sectors which do well even when the index falls but brokers are always undercutting each other unless there is a special niche about them and the only niche that brokers have is lower brokerage.
So if Geojit is a 5 bagger the index would surely be a 3 bagger is the premise that I work on . Stable or declining prices always affect volumes which in turn affect profits.
------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: deveshkayal
Date Posted: 25/Nov/2007 at 7:44pm
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At CMP, India Infoline is trading at a FY09 PE of 40, so the upside is limited. As for competition, India Infoline increased its market share by 10% to 3.3% from 3%.
Nirmal Jain wants to make India Infoline a financial powerhouse. He says in 3 years, institutional broking share will be equal to retail broking share in the overall revenues. Wealth Management, Asset Management will start contributing to the topline in FY09 significantly.
Equity dilution of about 25% in FY09 is a negative but that will be offset by increased revenues from institutional broking.
Prof.Mankekar have increased his holdings to 18.75 lakhs from 15.95 lakhs. BCCL holds 2.2% stake. Mutual Funds too have increased their holdings in Oct'07. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: bgkochar
Date Posted: 25/Nov/2007 at 7:49pm
| i think everybody is betting on bharat and nem,they are genius. |
Posted By: smartcat
Date Posted: 25/Nov/2007 at 11:39pm
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I want to understand what goes into expansion of a brokerage business of companies like IndiaInfoline. Now this company will generate a PBT of Rs. 180 crores in FY08 with 600 branches and 3 lac customers. My question is - what kind of expenses does this brokerage company have to bear to service, say, 5 lac customers? More branches and hence more people? Are there any fees to be paid to NSE/BSE by Indiainfoline for servicing the extra 2 lac customers?
What I'm trying to figure out is the scalability of a brokerage business with the available infrastructure. If the majority of next 2 lac customers are those who trade online rather than visiting the branches, isn't there a possibility of massive margin expansion and incremental profit gains?
I really don't know how it is in the developed markets, but I assume most of the trading is done online by the customers sitting at home. If India is also moving there, brokerages like IndiaInfoline could see incremental gains with the existing infrastructure.
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Posted By: deveshkayal
Date Posted: 25/Nov/2007 at 11:46pm
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Branches are not just for trading. One sells other financial products like Insurance, Personal Loans, etc.. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: xbox
Date Posted: 25/Nov/2007 at 4:33am
------------- Don't bet on pig after all bull & bear in circle. |
Posted By: deveshkayal
Date Posted: 25/Nov/2007 at 10:52am
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India Infoline to http://economictimes.indiatimes.com/News/News_By_Industry/Banking_Finance_/Finance/India_Info_to_sell_26_stake_in_arm_for_100_mn/articleshow/2570456.cms - Sell 26% stake in distribution subsidiary for $100 mn. Leading investors like GS and Blackstone are in final negotiations. (ET)
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This values the distribution arm at around 1600 crs. Times Group holds 2% stake so this news might be true. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: jstk
Date Posted: 25/Nov/2007 at 10:56am
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they are the largest corporate agent for ICCI-pru life and for the half year ended sept 30 have done a 51 cr + income ( 19 cr same period last year) .They had done 59 cr + for the full year in 2007 . A large % of the income accrues in the 2nd half. This is annuity income and they have been tripling the Weighted annualised premium income every year for the last 6 years. ------------- If you buy for a non-value reason, you will end up selling for a non-value reason. |
Posted By: deveshkayal
Date Posted: 27/Nov/2007 at 9:00pm
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What's buzzing here ?? up 14.5% in 2 two days....TED effect ?? ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: basant
Date Posted: 27/Nov/2007 at 9:30pm
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The http://www.theequitydesk.com/forum/member_profile.asp?PF=133&FID=30 - DK effect I think! ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: Rinku
Date Posted: 27/Nov/2007 at 9:49pm
| In same Space - On some Site I have read ILFS investmart is highly highly undervalued?Any views Diveyeshji,Basantiji,Vipulji,Omshivbhayyaji..etc |
Posted By: kulman
Date Posted: 29/Nov/2007 at 5:58pm
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Is this also due to DK effect???
Citigroup consolidates stake in India Infoline to over 5%
Link: http://www.thehindubusinessline.com/businessline/blnus/15291506.htm - http://www.thehindubusinessline.com/businessline/blnus/15291506.htm
------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: deveshkayal
Date Posted: 01/Dec/2007 at 7:36pm
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Kotak Institutional on India Infoline:
India Infoline (IIL) has placed a 22.5% stake in India Infoline Investment Services (IISL) at US$76.7 mn with Orient Global—a Singapore-based private investment institution. IISL is engaged in the financing business and proposes to leverage IIL’s network to scale up its presence in personal, auto and home loans. The deal values IISL at Rs13 bn (2.7X PBR – post money). We add Rs138 per share (after considering 10% holding company discount to the aforesaid valuation) to our sum-of-parts-based target price. We are also raising our estimates (of the brokerage and distribution business) by 15% for FY2008E and 11% for FY2009E to factor higher growth in market volumes, while we retain our ADD rating. We are awaiting further information from management to make projections for IISL. IIL’s reported consolidated profit for FY2008 will likely be lower than our estimates since IISL, currently in the incubation stage, will likely report a net loss in FY2008.
Brokarge & distribution busniess 1,151 (PV of 18X FY2010 EPS in FY2009) India Infoline Investment Services 138 (Based on placement of 22.5% stake at US$76.7 mn, 10% holding company discount) Total : Rs.1,290 ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 02/Dec/2007 at 1:01pm
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Kotak Institutional expects an EPS of 50.1 in FY09. Much higher than my estimates. This is where i go wrong in estimating future earnings and the stock surprises me ! ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 05/Dec/2007 at 9:09pm
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Edelweiss will be listing at a FY09 PE of around 30-35, so if we go by Kotak's EPS estimates of India Infoline, that results in a stock price of 1500 !!
------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 05/Dec/2007 at 11:44am
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India Infoline to NDTV
Equity brokerage share will come down to 35% in the next 3 years from 56% now. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 10/Dec/2007 at 3:16pm
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Edelweiss will be listing at a FY09 PE of around 30-35, so if we go by Kotak's EPS estimates of India Infoline, that results in a stock price of 1500 !!
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As Expected. India Infoline crossed 1500 !
As X-box jee said money will be made in listed companies  ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 15/Dec/2007 at 4:09pm
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Anand Rathi on India Infoline
We initiate coverage on India Infoline, with a BUY rating and a price target of Rs 2,068 implying a 38% upside.
Investment positives �� Buoyant Indian equity market conditions to drive topline growth : Indian equity markets remain buoyant, with the current daily average turnover in FY08 being approximately Rs 702bn. Ahead, we expect growth rates to be modest, even while remaining strong though with cyclical downsides. �� Equity broking revenues to be driven by rising contribution from the institutional segment :The India Infoline management went the inorganic way and inducted a team to initiate institutional broking. The new team brings to the table, besides expertise in research, strong client relationships in the institutional segment. We estimate broking revenues to grow at a CAGR of 58% over FY07-10,driven by the increased contribution from the institutional segment. �� Strong distribution network and rapidly growing customer base to drive growth in distribution income: India Infoline now has 596 branches in 345 cities, compared to only 177 branches in FY06. The client base has grown from 75,000 on March 31, 2006 to over 500,000 on September 30, 2007. �� “Feet-on-Street” model driving growth in revenue from insurance commissions: With the rapid increase in client additions and branch network, we expect the company to generate a WAPI of ~Rs 700m and insurance commissions of Rs 1,311m in FY08. It is expected to receive its insurance broking license by the current fiscal year-end. �� Recent capital infusion to drive growth in margin finance income, consumer finance has potential : In its fully-owned subsidiary, India Infoline Investment Services, the parent company sold its 22.5% stake to the Singapore-based Orient Global at $76.7m. We see the recent capital infusion benefiting the margin finance and consumer finance business. We estimate the margin finance book to grow by 95% in FY08 and 51% in FY09. Concerns �� Revenues and profitability are highly dependent on equity market activity �� Margin finance losses can be large during sharp corrections in equity markets Valuation India Infoline's valuations can be characterized by strong management, a growing market share and underlying structural growth in the Indian equity markets. At the CMP of Rs 1,504 the share trades at a P/E of 26x FY09 estimates and 19x those of FY10. At our target multiple of 8x Mcap/TI FY09E, we value an India Infoline share at Rs 2,068 implying a 38% upside from ruling levels. Hence, we rate the company as a Buy. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: basant
Date Posted: 15/Dec/2007 at 5:44pm
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Seems underpriced from these estimates but how can brokerages be moderately bullish on the sensex and super bullish on brokerages something is missing maybe the sensex will move upwards more strongly from here then we think. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: India_Bull
Date Posted: 15/Dec/2007 at 6:02pm
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Based on my little knowledge, For next year sensex levels, US- Significant rate cuts going to happen, increasing fund flow to emerging/Indian markets. India- Interest rates at peak, will start coming down next year onwords, good for everybody, automobiles, banks etc. If PC cuts income tax further for individuals and corporate tax further (and most likely he is going to do that) it will boost market The only and only problem is political uncertainty (imagine midterm polls and e.g Mayawati becomes PM of this country !! Else I assume we can easily see 25000 tested in 2008. ------------- India_Bull forever Bull ! www.kapilcomedynights.com |
Posted By: deveshkayal
Date Posted: 17/Dec/2007 at 4:28pm
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More fund raising plans
India Infoline Ltd has informed BSE that a meeting of the Board of Directors of the Company will be held on December 24, 2007, inter alia, to consider the following:
1. Preferential allotment of equity shares / convertible instruments / equity warrants subject to the provisions of the Companies Act, 1956 and SEBI DIP guidelines.
2. Raising of capital in the subsidiaries. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 18/Dec/2007 at 9:02pm
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India Infoline Ltd has informed BSE that the Board of Directors of the Company through circular resolution on December 17, 2007, inter alia, have decided the following, subject to the necessary approval of shareholders and other regulatory approvals : 1. Seeking approval for sponsoring of mutual fund and setting up of an Asset Management Company and other related entities for carrying on mutual fund activities. 2. Increasing the limits for investments / loans and guarantees upto a maximum amount of Rs 2,000 Crores. ---------------------------------------------------
Some of the CLSA guys are going to manage AMC. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: basant
Date Posted: 18/Dec/2007 at 9:12pm
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I am told that in US there are more MFs then stocks and with our theory of everything that has happened in the West will happen in India we can apply the same logic here. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: Mohan
Date Posted: 18/Dec/2007 at 2:20am
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Yes Basantji, You are absolutely right. There are more Mutual funds in The US than there are stocks listed on the exchanges. Once this is replicated in India, the next trend would be for ETF's and hedge funds. Actually , a lot of MF's invest in ETF's and funds of funds and not stocks directly. ------------- Be fearful when others are greedy and be greedy when others are fearful. |
Posted By: kulman
Date Posted: 18/Dec/2007 at 7:15am
And after that MBS, CDOs, Sub-prime? Let's hope that not all that happened in the West would happen here.
------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: Mohan
Date Posted: 18/Dec/2007 at 9:17am
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Good one. Lets hope not. ------------- Be fearful when others are greedy and be greedy when others are fearful. |
Posted By: deveshkayal
Date Posted: 24/Dec/2007 at 3:59pm
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India Infoline Ltd. said on Monday that Singapore-based investment group Orient Global would acquire a 6.48% stake in the company through a proposed equity investment of Rs5.55bn (approximately US$141mn). Orient Global will acquire 32mn shares in India Infoline on a preferential basis, subject to shareholder and other approvals, if any. The company has been witnessing robust growth in its retail and institutional equities businesses, India Infoline said, adding that the capital provided by Orient Global provides resources for the company's continued development. The company's Board also approved another proposed investment by Orient Global of US$50mn (Rs1.97bn) for a 10% stake (post-money, fully diluted) in the company's insurance subsidiary, India Infoline Marketing Service Ltd. (IIMSL). IIMSL does its business through its two subsidiaries, India Infoline Insurance Services Ltd. and India Infoline Insurance Brokers Ltd. The capital provided by Orient Global will be used to expand the company's branch network, establish call centres, invest in new technology and set up training facilities and general corporate purposes. In November, Orient Global invested US$76.7mn (about Rs3bn) for a 22.5% stake in India Infoline's consumer finance subsidiary, India Infoline Investment Services Ltd. "As the financial services sector in India continues its extraordinary growth path, India Infoline has emerged as a dominant player in the broking and insurance distribution space. The capital provided by Orient Global will help us further grow these businesses," said Nirmal Jain, Chairman & MD of the company. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 24/Dec/2007 at 10:56am
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At a current market cap of 8200 crs, SOTP will look like :
Insurance subsidiary valuation : 1773 crs (90% stake)
Consumer finance subsidiary : 1033 crs (77.5% stake)
Equity broking : 5394 crs
How the equity dilution to Orient Global and warrants conversion in FY09 affects EPS remains to be seen. New businesses like AMC and Wealth Management will start contributing from FY09 onwards. Investment banking unit needs to be ramped up. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: xbox
Date Posted: 25/Dec/2007 at 4:29am
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Last year in these times, Orient invested into Indiabulls at 450 or so and they made 3.5 times of that money in one year. I hope they make more this time, as visibility & conviction factors are stronger than last year.
Orient seems to be playing big in Indian financial system. ------------- Don't bet on pig after all bull & bear in circle. |
Posted By: deveshkayal
Date Posted: 25/Dec/2007 at 11:22am
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Nirmal Jain was working with Motilal Oswal, he asked Motilal to hand over PMS division to him but was rejected. He quit and went over to establish a business whose market cap is higher than Motilal.
From his appearence on TV, I never thought he has what it takes to build a financial powerhouse. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: BGKGURU
Date Posted: 25/Dec/2007 at 11:41am
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it is news to me that he was working with mosl,i know him from 1997. as per my knowledge he never worked with mosl. he was working with hul and quit from hul and started company probity then changed company name to india infoline. i got chance to interact with him between 1997-2000. he is very-very intelligent, if they(nirmal,bharat,nem) will work together for next ten years then shareholder will much richer.
i don't know abt venkat and other two clsa goy so can't comment.
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Posted By: deveshkayal
Date Posted: 07/Jan/2008 at 9:57am
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India Infoline will poach 3-4 executives from Kotak Mahindra Wealth management for its wealth management foray. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: Mr. V
Date Posted: 08/Jan/2008 at 6:52am
| Maybe its a boon in disguise for Kotak PWMS clients. |
Posted By: deveshkayal
Date Posted: 10/Jan/2008 at 9:58am
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A handful of executives from Kotak Mahindra Bank, who left to set up India Infoline’s wealth management business, are being wooed with huge sign-on bonuses from the brokerage. People in the know said that the compensation could be a sum, upwards of Rs 30 crore for the small team put together. Recently, India Infoline announced that it is setting up a wealth management subsidiary that aims to tap the rapidly growing market of wealthy individuals in India. Although no company official or the new recruits could be reached, people in the know said that the compensation for the new recruits is likely to be a combination of stake in the wealth management subsidiary, ESOPs in the parent company and include a cash component too. ET learns that Yatin Shah and Karan Bhagat, senior personnel who had been heading Kotak’s wealth management business, are slated to head the team at India Infoline too. The two executives, along with six others (one from Delhi), are being allotted about 26% of the equity of the subsidiary. However, both Mr Shah and Mr Bhagat are slated to get more than three-fourths of this stake. The ESOPs in India Infoline and cash put together are expected to be a significant amount. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: basant
Date Posted: 10/Jan/2008 at 10:12am
The last time when they paid Rs 44 crores they added a billion dollars to market cap. How much this time?  ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: India_Bull
Date Posted: 11/Jan/2008 at 3:31am
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One of the top Accenture guy (whom I know ) recently joined Kotak Mahindra for the Investment Banking division, lets see how he delivers
------------- India_Bull forever Bull ! www.kapilcomedynights.com |
Posted By: deveshkayal
Date Posted: 22/Jan/2008 at 12:48pm
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India Infoline has come out with a good set of numbers (atleast better than PL estimates)
Performance of 9 months ending Dec. 31, 2007 (y-y)
�� Consolidated Revenue up 127% to Rs 6.39 bn �� EBITDA up 146% to Rs 2.3 bn �� EBITDA margins up 8.55% to 36.68% �� PBT before exceptional items up 144% to Rs1.9 bn PAT up 84% to Rs.94 crs.
Highlights
�� Average daily trading turnover grows 279% y-y to Rs 35.3 bn and market share on NSE grows to 3.5% �� Institutional brokerage contribution improves equities volumes and yield �� Insurance mobilization Rs 1.14bn, up 35% y-y �� Consumer finance takes off with disbursal of Rs 947 mn �� Separate subsidiary for Wealth Management. Download their investor presentation from http://www.indiainfoline.com/investors/innersection.asp?lmn=11&cat=3&yr=2007&co_code=&fdcd=&shcd= - here
Nirmal Jain said to CNBC that he remain bullish on business prospects. Risk management system of India Infoline is pretty good. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: luke123
Date Posted: 22/Jan/2008 at 4:03pm
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I think the numbers are excellent. Following the script written by iBulls as in NBFC and financing but going one up on everybody in Institutional business. Tremendous results. I think good days ahead for this one. Even if broking slows after the bloodbath on the street, NBFC will pick up. On the cautionary side, they still need to find what works in Financing. I think IBULLS learned the hard way and moved over to Secured lending from sub-prime lending. Luke |
Posted By: kumarrvq
Date Posted: 22/Jan/2008 at 8:58pm
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Devesh Jee, Nirmal jain use to talk that India Infoline will be a holdings company for 6-7 subsidiary they have created, and they might go for IPO so that hedge funds or foreign investors can get exit, in such case if they go for IPO rather than de-merger (like Ibulls) then investor of India Infoline will not be benifited (what happened for Future Capital in case of PIRL)?
What is your views on this, Is it better to bet on this holding company? ------------- Thanks & Regards, Harry |
Posted By: deveshkayal
Date Posted: 22/Jan/2008 at 9:07pm
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Yes. I read it in BS today. I believe IPOs create more value than demergers. Two subsidiaries will go through the IPO in two-three years.
IIL remains one of the best financial plays. No wonder the stock was up 5% when peers were hammered quite badly. Take a look at Edelweiss also. Both the stocks should deliver significant returns over the next three years. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 10/Feb/2008 at 8:06pm
|
Kotak Institutional Equities estimates (Latest) EPS FY08: Rs.28.8, ROE: 23.1 EPS FY09: Rs.54.9, ROE: 23.9 Target: Rs.1400 ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 27/Feb/2008 at 8:31pm
|
Excerpts from PL report
To scale-up institutional & investment banking: The recently started institutional broking has picked-up phenomenally. It is empanelled with over 200 large institutions and currently accounts for 5% of the cash market volumes. It has a research team of 25 people, and plans to double the team in the coming years and increase its coverage to 200 odd companies fromthe current 120 companies. By increasing the number of companies underits coverage and by building corporate relations, the company expects its
institutional broking business to scale-up further. Similarly, it expects investment banking business to gain momentum, though it may take some time. Consumer finance and wealth management: future triggers: India Infoline currently has an advance book of Rs1bn, of which 80% is loan against property and 20% are business loans. The current networth of the financing company is Rs11bn, which the company can leverage to 4x and can depict robust growth. It has also started offering wealth management services aimed at HNIs and expects the business to grow phenomenally over the years.
Distribution business to offset decline in volumes: Affected by the current turmoil in the market, the company accepts that volumes have taken a hit as compared to the last quarter. Its current average daily volume is down to Rs21bn from Rs35bn in Q3FY08. Despite this, the management feels the distribution of insurance products would speed up in this quarter and it will be able to offset some of the impact of decline in volume. Valuation: At the CMP of Rs1,147, the stock trades at 25.3x and 17.7x its expected earnings for FY09 and FY10. Inspite of volatility in the market and slowdown in the volumes, we remain bullish on the prospects of the company in the long run. Moreover India Infoline has the most diversified model amongst its peers and therefore deserves a premium. We maintain Outperformer rating on the stock. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 27/Feb/2008 at 8:33pm
|
Since Kotak Wealth Management executives will join India Infoline, here is some information on the former's business:
Kotak Wealth Management: Focus on HNI customers (investible surplus > US$ 1 mn)
Manage /advise wealth of over 3,700 families Around 30% of the top 300 wealthy families in India. Now how many will shift to India Infoline is difficult to guess... ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 27/Feb/2008 at 8:49pm
|
We target 20-25% ROE and three to four times leveraging on personal financing. We will be targeting ROA of around 6% to 8%. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: omshivaya
Date Posted: 27/Feb/2008 at 1:13am
|
ROA of 6%-8%...Did I read that right? Is that possible...Basant sir!!!?? ------------- The most important quality for an investor is temperament,not intellect.A temperament that neither derives great pleasure from being with the crowd nor against it |
Posted By: basant
Date Posted: 27/Feb/2008 at 8:44am
|
For non banking companies RoA does not matter because they cannot leverage it 15 times. Even Kotak bank had that kind of a RoA.
So we cannot use that 1.5% blanket RoA cap to non banking companies or to non banking operations of Banks.
------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: omshivaya
Date Posted: 27/Feb/2008 at 11:18am
|
Okie! One new thing learnt for me today. ------------- The most important quality for an investor is temperament,not intellect.A temperament that neither derives great pleasure from being with the crowd nor against it |
Posted By: Mohan
Date Posted: 27/Feb/2008 at 11:59am
|
Even for Berkshire Hathaway ROA is 6.84 % as per Sept 07 QTY http://finance.google.com/finance?q=BRK.B ------------- Be fearful when others are greedy and be greedy when others are fearful. |
Posted By: Mr. V
Date Posted: 28/Feb/2008 at 12:10pm
| ROA can be theoretically calculated for any company. As an investor one needs to put a weightage to it in terms of valuing the business. |
Posted By: deveshkayal
Date Posted: 28/Feb/2008 at 5:15pm
|
Being an NBFC, these ratios are excellent. India Infoline is one of the co-book running lead managers of Future Ventures IPO.Some key takeawys from Earnings Call:
"In retail also, delivery-based business accounted for almost about 70% of our brokerage income. So, there has been all-round improvement in volume as well as commission."
"We have set up a subsidiary in Singapore, and we also have a DG Commodities company and a subsidiary in Dubai. So, these two markets are key for us, at this point time we look at Asia and Middle-East."
"We do not have any prop book, except that when we have surplus fund, we put it in cash which are arbitrage."
"I am happy to reassure that all our terminals were working very efficiently with no problems in terms of margin calls. "
Read the last two posts of mine in the previous page which says a lot about the prospects of the company going forward. I am planning to increase my exposure significantly if the price falls to 1100. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 07/Mar/2008 at 9:34am
|
Orient Global bought additional 0.77% stake from the secondary markets taking their stake to 10.78%.
India Infoline was the sole advisor to the placement of Anant Raj Industries. So we can see IB is being scaled up... ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 11/Mar/2008 at 9:57am
|
India Infoline has acquired an IT park in Chennai for about Rs 80 crore and is entering into a partnership with Indus group to promote real estate projects. The newly acquired facility will function as a captive centre that will offer back office support for the company's India operations.
The IT park, called 'Techscape Towers' was owned and developed by city-based Indus Group, a 25-year old realty player promoted by the Lunawath family. The partnership with Indus is part of Indus Infoline's strategy to diversify into the real estate business.
Confirming the move, Indus Group joint managing director Mahaveer Lunawath said, "We will jointly promote real estate projects by means of a special purpose vehicle (SPV). As part of this partnership, we have embarked on a commercial project in Madurai and a residential project In Chennai. We will also look at projects in Bangalore and Hyderabad. (ET)
-------------------------------------------------------
This is completely unrelated to the existing business. Maybe these guys are following Indiabulls..
------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: nitin_jagtap
Date Posted: 11/Mar/2008 at 10:01am
|
Ak Purwar has joined IndiaInfo as Independent director.- Business Standard ------------- Warm REgards Nitin Jagtap |
Posted By: kanagala
Date Posted: 12/Mar/2008 at 10:29pm
I do not know if it is good or bad. Financial sector itself has very good growth opportunities. I am bit sceptical about real estate. It is saturated in most of the tier1, tier2 cities. It looks bit ok in tier3 cities. Agri Land prices are obscene. It is like di-worsification. ------------- While one person hesitates because he feels inferior, the other is busy making mistakes and becoming superior. |
Posted By: deveshkayal
Date Posted: 12/Mar/2008 at 9:24am
|
From FY10 perspective, consumer finance business alone should be valued at 3100 crs assuming P/BV of 2x (current networth at 1100 crs), so we are getting other businesses for just 2340 crs (@ Rs.800 stock price and 6.8 crs shares) !!! ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: basant
Date Posted: 12/Mar/2008 at 9:27am
|
It seemed Ok til yesterday till they went ahead and bought this IT Park! What is the current Book alue of Indiainfoline at the moment post the sisue of shares to Orient Global?
Do you have any idea on the bookvalue of subsidiaries? They were planning toraise capital in each of them so wanted to know where the story is at the moment.
------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: tridev
Date Posted: 12/Mar/2008 at 9:59am
| deveshji--do u think that their nbfc co.will go like indiabulls way. |
Posted By: deveshkayal
Date Posted: 13/Mar/2008 at 10:13am
Book Value is Rs.280/share.
It seems like ! What are the ROE and ROA of Indiabulls ??
India Infoline will continue to trade at a premium to its peers bcoz of low floating stock assuming Prof.Mankekar, CLSA guys, Times Group wont exit. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: kulman
Date Posted: 13/Mar/2008 at 11:37am
What if those other businesses act as a drag on the parent? I mean if they are capital guzzlers it might take long time for them to make positive impact.
------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: deveshkayal
Date Posted: 14/Mar/2008 at 10:26pm
|
They are not expanding their distribution network right now since they feel existing branches are not fully productive. I dont think Wealth Management and AMCs are capital guzzlers.
I am confident that all the businesses will do well bcoz of their focus on PEOPLE (talent). ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: CHINKI
Date Posted: 15/Mar/2008 at 2:42pm
|
During January month (before the sensex crash), I was talking with the State Head of Indiabulls regarding their business.
He was mentioning that other than Bangalore, there is not much of businesses in other tier-II & tier-III cities. Then I told him, we keep hearing that D-mat No.s are increasing and so the retail investors. He gave me an example. In Belgaum, two years back they had open their office almost 3 kms from the city with lot of space. Initial response was good and so was business. But with in 6 months, there were more than 6 brokerage offices in the same building leave alone in Belgaum. Hence they closed the office as the business was not enough. As on date, Indiabulls have their offices only in Bangalore (around 6). So unless the new entrants are not aggressive and innovative, the future with the sensex going down may not be so bright. ------------- TOUGH TIMES NEVER LAST, BUT TOUGH PEOPLE DO |
Posted By: xbox
Date Posted: 15/Mar/2008 at 4:16pm
|
Market intermediatories are best in rising markets. I guess we can ignore broking space for 10-15 months. ------------- Don't bet on pig after all bull & bear in circle. |
Posted By: deveshkayal
Date Posted: 15/Mar/2008 at 4:23pm
|
Yes..it does seems like brokerages will have a tough time this year. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: CHINKI
Date Posted: 15/Mar/2008 at 6:04pm
|
It took some time for the retail investors to return to the market after May'07 carnage.
During that time market rebounce within a short period of time. This time scenario is different and market going back to upward path seems to be bit difficult. With Jan'08 carnage as well as bearish market, retail investors will stay away from the market for more time than anticipated. Most of the brokerage houses which had expanded aggressively will have to close down lot of their offices affecting the turnover as well as the earnings. So those who wanted to start off, may be they can try their luck next year?? ------------- TOUGH TIMES NEVER LAST, BUT TOUGH PEOPLE DO |
Posted By: deveshkayal
Date Posted: 31/Mar/2008 at 5:05pm
|
India Infoline Ltd said on Monday it had tied up with U.S. brokerage Auerbach Grayson to be its exclusive partner in India for expanding trading and market coverage in the country.
Under this partnership, India Infoline will offer research and trade execution on Indian companies for Auerbach's U.S. clients, which includes 400 of the largest U.S. institutional investors, it said in a statement. It will also help India Infoline build its international business as it would build relations with some of the largest institutional investors, it said. Auerbach provides access to 119 equities markets worldwide through similar partnerships with local brokerages. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 31/Mar/2008 at 5:06pm
|
A demand draft is as good as cash. Right? Wrong! Ask http://economictimes.indiatimes.com/News_by_Industry/Demand_drafts_bounce_on_stop_payment_order/articleshow/2900037.cms# - When India Infoline officials decided to find out more, they discovered that the client had pulled a fast one on them by giving the bank a 'stop payment' order soon after issuing the draft. Since stop payment orders can be issued only in case of cheques, it was evident that the client in question was acting in connivance with a co-operative bank at Girgaum, South Mumbai. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: basant
Date Posted: 31/Mar/2008 at 5:21pm
|
This is outrageous. I sometimes wonder as to the need for having these co-operative Banks. WHy not merge all of them with the bigger Banks. Everytime we have a scam it originates from these very Banks!!!
------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: kulman
Date Posted: 31/Mar/2008 at 5:32pm
An example of leveraged undisciplined player going bankrupt despite the fact that commodities never go to zero. ------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: deveshkayal
Date Posted: 15/Apr/2008 at 10:04am
|
No change in Prof's holdings. Interestingly, Arisaig Partners, known for spotting Educomp and Champagne Indage early, has entered in Q4. Arisaig India Fund has given an annualised return of 23.7%. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: prashantmohta
Date Posted: 27/Apr/2008 at 10:55am
|
good to see nirmal jain accepting that this business is cyclical. |
Posted By: deveshkayal
Date Posted: 09/May/2008 at 11:53pm
|
IIFL is one of the lead managers for Infinite Computer IPO. They are also managing Future Ventures IPO.
Q4 results were good primarily due to increased lending for Rel Power issue and the quarter being the best when it comes to life insurance distribution. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: deveshkayal
Date Posted: 20/May/2008 at 7:27pm
|
IIFL is the lead manager for the Triveni Infrastructure issue. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: muralimohan001
Date Posted: 05/Jun/2008 at 10:59am
|
It seems India Infoline is sending Daily Market Strategy news letter for FREE.
I am getting it from last 2 days. ------------- If money is your hope for independence, you will never have it. The only real security that a man can have in this world is a reserve of knowledge, experience and ability. |
Posted By: basant
Date Posted: 05/Jun/2008 at 11:30am
You think anyone would pay for that strategy report?these are marketing techniques I get a daily report from Edelweiss and find it of very little use. Of course I too get it free. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: PrashantS
Date Posted: 06/Jun/2008 at 6:09pm
| yes that is called marketing ....selling paper ...the thing is these so called analyst have to make some money and do some work so they come out with reports ....unless people mature and know what to buy these kind of things will exist ...lucky us we found TED |
Posted By: CHINKI
Date Posted: 07/Jul/2008 at 9:45am
|
Some good news for the investors:
http://economictimes.indiatimes.com/Personal_Finance/Insurance/Insurance_news/India_Infoline_gets_insurance_broking_license/articleshow/3208033.cms - India Infoline gets insurance broking license ------------- TOUGH TIMES NEVER LAST, BUT TOUGH PEOPLE DO |
Posted By: deveshkayal
Date Posted: 29/Jul/2008 at 10:36pm
|
Cons.PAT down to Rs.49.8crs from Rs65.8 crs, QoQ
EBIDTA margins down to 37.1% from 44%, QoQ
Avg.daily turnover declines from Rs26.7bn to Rs23.7bn, QoQ
Consumer finance portfolio size grew from 3.29bn to 6.2bn. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: Hitesh Shah
Date Posted: 06/Dec/2008 at 9:48pm
Geojit doesn't give anything for free. They have charges for everything. ------------- |
Posted By: CHINKI
Date Posted: 17/Feb/2009 at 10:22am
|
http://www.business-standard.com/india/news/india-infoline-gets-nod-for-home-loan-arm/11/46/55173/on - India Infoline gets nod for home loan arm
What has happened to other subsidiaries?? Looks like each of these brokerage companies will have more than 10 subsidiaries. They are trying their hand in everything. ------------- TOUGH TIMES NEVER LAST, BUT TOUGH PEOPLE DO |
Posted By: investor
Date Posted: 18/Feb/2009 at 1:42pm
Getting into home loan sector - is it good or bad for the company, considering the current economic situation?
------------- The market is a place where people with money meet people with experience. The people with experience get the money while people with money get experience! |
Posted By: basant
Date Posted: 18/Feb/2009 at 2:06pm
|
I think they just wanted this as part of their offering. Don't think that this weapon is going to do anything to the market cap.
------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: kulman
Date Posted: 18/Feb/2009 at 2:17pm
|
Any news on that highly paid ex-CLSA team of three musketeers? That news had contributed to market cap during those days. Market Cap ko topi kyon nahin kehte? ------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: CHINKI
Date Posted: 18/Feb/2009 at 6:55pm
|
They are still working in the company. Since the earlier warrants were issued at high price, they did not subscribe the same and had to forgo some crores (I am not sure of the amount)which was paid as Initial Money when the warrants were issued to them.
Since then they have got issued new warrants at lower price. Hope Infoline prices will not go further at the time of their subscription.  ------------- TOUGH TIMES NEVER LAST, BUT TOUGH PEOPLE DO |
Posted By: Hitesh Shah
Date Posted: 31/Mar/2009 at 1:04pm
|
Any one still following this company? The stock seems quite "bouncy" and they just paid a decent dividend as well.
------------- |
Posted By: deveshkayal
Date Posted: 31/Mar/2009 at 6:58pm
|
Volumes have picked up in March but the question is "Is it sustainable" ? I might consider this stock after elections.
------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: arunshah2k
Date Posted: 15/May/2009 at 7:51am
|
This one has almost trippled with the rally in Sensex. It seems brokerage stocks fly like a rocket when there is a rally in Sensex. |
Posted By: Hitesh Shah
Date Posted: 15/May/2009 at 7:59am
 ------------- |
Posted By: arunshah2k
Date Posted: 19/May/2009 at 5:14pm
|
Talking of multibaggers in bear market. This stock has now become a 5 bagger from its lows and is just 50% from its peak in 2008. |
Posted By: chimak10
Date Posted: 19/May/2009 at 8:14pm
| On market cap.............PE ratio........all front this one looks quiet costly........... |
Posted By: subu76
Date Posted: 19/May/2009 at 10:15pm
|
IMHO...
Depends on bet sizes.
If one bets 1/10 of his monthly salary on a stock, one would probabily bet on stocks which can fly but can equally sink overnight.
If one's minimum bet size is say....3 month's salary...then one would look for some downside protection. Things like holding time, company's track record, dividend protection, ROE, competitive advantage then becomes important.
It would take great conviction to bet a large sum on a company with limited track record and where promoters do not even exercise their warrants.
|
Posted By: chimak10
Date Posted: 19/May/2009 at 10:53pm
If someone is betting........be it small or large then he is a trader......be it momentum or........chart based........or whatever. He shouldn't worry too much about the valuations.... 
Just trying to be smartass.......take it lightly......if the corpus is small one has to trade........there is no other choice |
Posted By: subu76
Date Posted: 19/May/2009 at 11:00pm
|
Chimak Sir...IMO...Stocks..like a game of cards is about probabilities.
No doubt everyone is betting...including WB, RJ. It's just that the games are different and odds are different.
Everyone in the stock market wants to make money....and quickly..including WB.......but it's difficult to make quick money over a period of time.... Atleast that is what theory tells me.
|
Posted By: Alok Bhola
Date Posted: 12/May/2010 at 9:46am
|
http://www.indiainfoline.com/Discuss/Blogs/R-Venkataraman-Blog-11-years-later-Knowledge-still-is-the-edge/699930 - An interesting reflection on the initial weeks of India Infoline by an insider On a side note, their handling of their web technology at minimal cost reminded me of my own experience several years back when I tried to set up a medical transcription business while still in the second year of MBA. As most of my savings were spent towards the MBA program expenses, I needed to keep my costs to the bare minimum. I wanted to get a website professionally developed. For my specifications, the established firms were quoting between Rs 25,000 - 30,000. I then got hold of one of the technicians of the computer lab of my b-school who had some expertise in this area, and thus got the work done (to my full specifications) for only Rs 5500. |
Posted By: Alok Bhola
Date Posted: 14/May/2010 at 5:12pm
| http://www.thehindubusinessline.com/2010/05/14/stories/2010051451811100.htm - India Infoline gets Colombo bourse approval |
Posted By: Alok Bhola
Date Posted: 24/May/2010 at 10:06pm
| http://www.mydigitalfc.com/stock-market/retail-brokerages-eye-opportunities-abroad-506 - Retail brokerages eye opportunities abroad |