Sunday, December 25, 2011

Investment Strategy

My Investment Strategy needs updating after reading the book " What I Learnt  Losing A Million Dollars".

1. Position Limits
No More Than 25k in a single stock.
 This is a very strict rule which need to be followed; No amount of promise of stock can break this rule.
2. All these Orders Are Placed On entry-- 10k is your current market.
- 15k  buy order @ 25% less than the 1st buy.


3. Holding Period
Minimum of 1 year.
- This is a strict rule, no amount of valuation will let you change your rule.

Stock Selection Checklist-

1. Working Capital Trend or NPA\NPL trend positive.
 2. Discount to Tangible Book Value
 3. Percent away from 52 week lows 
 4. Business should be #1, #2 or #3 in market share.

5. Power of customer should not be huge.


Brian said...


Would you like to post a review of our Bhagavad Gita on Amazon?

If so, send me your mailing address and I'll mail you a free copy.

If you're not interested in reviewing the Gita, perhaps you would like to review one of our other books:

Let me know if you have any questions.



Anonymous said...

Read all the related Posts:

How to do Website Compatibility Testing (Made Simple)

7 steps to select Automated Software Testing Tools

64 Software Manual Testing Interview Questions

Why need Software Testing Tools?

Overview of Manual Software Testing

Embedded Software Testing - Overview

Automation vs Manual Software Testing

Standard definition of software testing

What parameters to consider for Performance Testing?