Dear All, I am receiving regular
queries about the next post as it is almost one and half month since my last
post. Actually these days not being able to post as I am busy in some work so i will post as soon as i am free.
Further, I have been receiving requests for a long time to start some
initiative related to learning/education part of stock analysis and research. It
is really heartening to see that these days people want to learn about the
fundamental analysis. They are not that enthusiastic about short term trading
as people these days are aware that real wealth in stock market is created over
long term by investing in top quality stocks. But quite contrary to what
appears on the surface stock market is the toughest place to earn money
especially over a long period of time. Reason-stocks are affected by huge
number of variables which are almost impossible to track to perfection like action
by competition, risk of substitute products, global factors and variability (vs
local demand), risk on future scale of operations/products (like thermal power),
low entry barriers in the industry, scale of operations/market share, margin
variability due to commodity nature of the products, government policies,
Interest rates etc. And I have seen people trying too hard to comprehend and
measure these variables (so many). However, ultimately all such exercises lead
to an attempt to measure WEAK forces/factors of a stock (company) but i think Value investing starts from an attempt to FIND the point/points of strength.
Stock market does a big mistake
when it tries to discount each and every news/issue in terms of earnings and
stock price movement and it appears as stock price volatility is inherent or
natural and it is affected even by the change in the direction of air. But
there is something (in stock performance) which maintains its flow
(upward/positive) even when all and everything about a stock appears negative.
Sometimes I just find this similar to our body which is changing every moment
but there is something in us which remains the same from our birth to death….just
like the Linga-Sharira (Subtle/Astral body) of Indian Vedas. Vedic wisdom sees
physical body as something which is in constant interaction with surroundings
and changes form every moment but still something in us remains the same…throughout
our life and we can feel it even with closed eyes. We can feel that all the changes
in our gross physical bodies do not change the REAL We. Ling-Sharira is the real
FORM- its aspect changes but it remains the SAME. Ling-Sharira is the form or
base upon and around which physical body is created so Ling-Sharira pre-exists
physical existence and will exist even after physical body is dead.
So most of the times stock
analysis tries to measure the “Gross body” but the reality is the Ling-Sharira
which remains the same and value investing is about finding this Ling-Sharira. I
call this the fourth dimensional investing and fourth dimension is TIME. In our
three dimensional world nothing is constant as every moment a thing is no
longer what it was earlier. Me of today is different from me of yesterday or 20
years back but the difference is only in the aspect not the form…me of today
appear different due to Time. But if i visualize my image from birth to now
stretched out in time then I can see that something in me is still the same…this
whole stretched out image is Ling-sharira in a four dimensional world. In a
three dimensional world we only see or comprehend a part of this Ling-Sharira
but that part is not whole. So in my analogy- Value investing is only about
finding this Ling-Sharira/Astral body in every stock which never changes.
So coming back to stock analysis learning
part- after thinking for a long period of time I have decided to venture into
stock analysis education part. I have finalized most of the details of this
venture. But still I
want to know the views of all of my readers and any suggestions they can give
before taking a final call. So if anybody is interested in being a part of this
initiative then please contact me at oscillationss@yahoo.in.
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