If you believe that future is better, then you have a lot to do for your portfolio. This is the time for finance and investment portfolio planning, to learn investment portfolio basics, and do some finance portfolio planning, A compilation of data from fifty Nifty stocks show that as many as thirty-five of them have lost over half of their values from their all-time highs. And as many as nine of them have lost over 75 per cent. And still worse, two of them have fallen over 90 per cent.
Now, let us do some name dropping for our finance and investment portfolio planning. Unitech and Suzlon lead the pack with over 90 per cent loss. Both the stocks have cracked under weight of the selling pressure. Unitech can partly blame its misfortune to the selling in realty stocks. Suzlon has been hammered on reports of some technical issues in its blades installed in the US. It too can blame its misfortune to the dip in oil prices and a sudden drop in zest for alternative energy amid the global crisis. Some more points why to do finance and investment portfolio planning now. Within the 70 per cent to 90 per cent loss band falls Reliance Infrastructure, DLF, Tata Motors, Tata Steel, Siemens India, Sterlite Indus India, Reliance Communication, Ranbaxy Laboratories, ICICI Bank, Grasim Industries Ltd, Hindalco Industries Ltd, National Aluminium Co Ltd, Idea Cellular Ltd, Steel Authority of India, and Reliance Petroleum Ltd. It looks as if the world will have no dependence to metals, medicines and...
A thumb rule of investment portfolio basics: Smart investors buy an asset if it has fallen over 75%. And you have plenty to choose from. And when the market is down so far, it suggests that much of the bad news is already priced in. Some more investment portfolio basics: Instead of picking and dropping stocks when you have too many, a good option would be to buy Nifty ETFs.
On the other hand, if you don’t want to do bottom fishing and go for some hardy stocks that have withstood the crisis well as compared to others, you also have plenty to choose for. Of course, the defensive counters stood out amidst the storm. But what was surprising is that Hero Honda protected its turf most well than others. It lost only 16 per cent of its year-high value. HUL shed close to 17 per cent of its value. Cipla, Sun Pharma and ITC lost close to 30 per cent. If you believe that the human race will overcome the present crisis, make use of your optimism to secure a bright future for yourself. And beat the doomsayers where it hurts them the most: wealth.