Month: January 2025

☘️ 10 Years
Invest in a SIP for minimum of 10 years, this more the merrier as the compounding would have the cherry on top after these years.

☘️  10 % XIRR
Expect a return of 10% annually, you may get 15-18% depending on the markets performance but calculate your investments at 10% for future endeavors.

☘️ 10% Step Up
Have a minimum of 10% added to you SIP amount annually, this would make the investments grow broader and the returns handsome.

i.e.: If you have a salary of 50 K. With a SIP of 15K, Make it 16.5K the next year and an extra 10% subsequently.

The current market has seen the small caps plunged to a 20% down from ATH(All time high)

Small Cap – These are the stocks which rank from 250th to the smallest company in ranking of “Market Cap”

Market Cap – It’s the total sum of the count of shares issued by a company multiplied by the value(current) of share or share price.

Story Continues –

So it happened that the small caps ruled the market from the great fall of March 2020 during the pandemic and since then some of them grew to levels of 100 PE (means their value was 100 times their earnings) which means they were overvalued by almost hundred times.

Now the “bears” have officially taken over the small caps and a rule of almost 4 years comes to an end.

Small caps are great value for money once they are at a fair price.

Disclaimer :

“This information is for educational purposes only and does not constitute financial advice. Investing in equities involves significant risk, and past performance is not indicative of future results. Always conduct your own research and consult with a financial advisor before making any investment decisions.”.

-1992: Stock market crashed 53%. – Harshad Mehta Scam

-2000: Stock market crashed 20% Dot-Com Bubble Burst

-2008: Stock market crashed 60%Global Financial Crisis

-2016: Stock market crashed 6%. (Demonetization)

-2020: Stock market crashed 38%. (COVID-19 Pandemic)

But it recovered to a new all-time high each time
Don’t let short-term fear control your long-term decisions

₹1 Cr Today @7% inflation

– In 10 year= 50 Lakhs.
– In 15 years= 36 Lakhs.
– In 20 years = 25 Lakhs.

There are some insurance plans promising some fancy amounts that sound good today, beware of them. They don’t factor inflation and prey on customers’ innocence.

Ambassador was the brand ruling for almost three decades before Maruti 800 dethroned it in late 80’s

Learnings

• Manufacturers should be able to see the “design shift” in customer preferences
• Economic situation shifts and purchasing parity( amount one is willing to shed for an upmarket version) in this case customer shift to SUV should be monitored.

The Indian mid size SUV is a new kind of market, as per our average height of 5.6ft approx. Indians have created a mid/compact SUV industry.