Picking a Stock? It is Your Call.

Your smartphone, your job, your house etc. are all significant decisions that you made on your own accord. Sure, you had all the help in the world but the final call was taken by you. Do you agree?

However, when it comes to stock selection we heavily rely on someone (might be the broker, accountant or even that friend who is a DJ and might have minimal idea on picking companies). A very dear friend of mine who is a long-time contributor to famed investment websites in the US keeps telling me this “In the US, people read and then make their choice in most cases. However, in most cases in India, we readily invest in a company (you would want to time the market, wouldn’t you?) and then read, if time permits.

To be honest, I do not have statistics to prove it but even with a minimal sample of people we have seen this at play. However, we love to talk more about the solution than the problem and the simple solution here is “to initiate and cherish the idea of incessant reading so that we can become graduate to becoming better investors and not just stock market participants.

How do we do that?

As Travis Kalanick mentioned today at the Startup India Conference, problem solvers are innovators and innovation alone is the key to tackling a challenge. The Indian Equity markets have undergone a massive change with the oncoming of discount brokers like Zerodha, RKSV and others. Almost exclusively, this disruptive force has altered and continues to change the landscape of stock market broking in India. Owing to a lean model of operations, they have thought people to research on their own and place their bets with complete onus.

In that respect, we have also initiated a small but definitely notable exercise here at Fintuned. Just last week, we commenced the publication of research reports on Indian companies. When we started, the reports contained an explicit recommendation on the strategy to be adopted for that particular stock. However, we have changed that.

Since our last report, we have decided to release a complete SWOT analysis of the company without any word on the strategy. So, our idea is to foster knowledge and opinion about the stock but not the decision. Any reader who goes through the SWOT analysis will only have to study a lot more to take a final call on her position in the stock. Therefore, our reports will only affirm facts but the home run will be hit by you.

It goes without saying that the final decision is always taken by the reader but rather than being a buy, sell, hold voice in her head, we prefer being a mere step in the entire process.

So, head straight to our research section and check out our latest release.

Cheers,

Mihir

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