Narrative vs. Data

Wednesday, January 30th, 2019

I came across this interesting post by Barry Ritholtz which talks about portfolio construction and how it has evolved in the US markets over the years. To paraphrase; earlier portfolios were built based on narratives. Fund managers regularly used stories to identify good companies. For example: “The firm is gaining market share at the expense […]

Quarterly Equity Valuations: January 2019

Monday, January 28th, 2019

We take a look at equity valuations and find that they have moved into even more expensive territory. We use data from the NSE website starting from when it is available in January 1999 to look at the P/E Ratio, P/B ratio and the dividend yield of the index and compare it to past history.   Price to Earnings (P/E) […]

Linkfest – 98

Friday, January 11th, 2019

Some articles from across the web in the last few weeks: E-commerce: The battle for India’s giant retail market – Economic Times New investments in India plunge – Livemint Cronyism in financial policy – Debashis Basu E-Commerce FDI Policy: Bored Game – Bloomberg Quint 10 Things Investors Can Expect in 2019 – A Wealth of Common Sense A bond market update – Aswath Damodaran Seven Big Ideas from Fooled […]

Aswath Damodaran – Laws of Valuation

Wednesday, January 9th, 2019

Great talk by Aswath Damodaran on the corporate life cycle and how companies evolve over time. Here is the video and some key takeaways: Key Takeaways: Companies don’t like to get old: fighting it can be one of the most dangerous things a business can do Most value is destroyed by companies not acting their […]

a16z Annual Summit

Tuesday, January 8th, 2019

Andreessen Horowitz recently put up a number of talks from their a16z annual summit which cover many areas related to the ongoing disruption across various industries due to technology. Here are few of the videos that I found particularly interesting: Moving Beyond Advertising only business models The Evolution of Brands How the US government used […]

Monthly Market Summary: December 2018

Monday, January 7th, 2019

We look at returns of various asset classes such as equity, debt, gold, crude oil and the Indian rupee in our latest monthly market summary. We use data for these charts from Global Equities The Sensex was flat for the month and has outperformed its peers in both emerging and developed markets. Broader markets fell sharply […]