Election Results Week: Tweet Buster: A way to beat poll volatility & is it time to invest in gold?


NEW DELHI: India’s long-drawn poll season finally came to an end on Sunday. Till the final verdict is out on May 23, the stock market will navigate through exit poll results and on Thursday investors would know who will be India’s next Prime Minister.

Shankar Sharma, Samir Arora, Sandip Sabharwal, Porinju Veliyath and Shyam Sekhar were among Dalal Street mavens giving out advice on how to navigate market during election results week.

Domestic market moved sharply on Friday and Shankar Sharma said that this upmove was maybe on account of leaked exit polls that show BJP winning elections hand down.

Sharma called exit or main polls the “red herring” prospectus for the stock market. “Economy has its wheels coming off, has run into the ground, etc etc. Not even a single domestic sector is even crawling. Rarely seen crisis like this. This market is turning into a nice, black toast,” he added.

Samir Arora, fund manager at Helios Capital also called the long drawn out election process to be bad for the economy.

Sandip Sabharwal made a case for the return of Narendra Modi, saying an otherwise situation, given the current slowdown in the economy, would mean a sudden collapse for the market.

Basant Maheshwari had an important tip for investors to save themselves from the election volatility — stick to the best companies.

Porinju Veliyath, Founder & CEO of Equity Intelligence, meanwhile, conducted a poll asking the preference for the next Finance Minister if Narendra Modi government comes back to power and Piyush Goel seems to be the popular choice.

Enough with the election fervour, now let’s take a look at the investment advice that the top Street names have to offer.

A. In this thread, Shyam Sekhar shares how investors are so hooked up on the pace of their returns and benchmark them, but failed to realise that indices work quite differently. He says, “You must work within it to compare with it.” He continued saying that the highest returns came to his portfolio after years of sideward moves.

FINAL TIP: One can’t take objective decisions that will work over years when gripped by fear

B. In this next thread he shared how to manage your fear and greed.

C. Focussing on good companies and business models seem to be the age-old advice that Basant Maheshwari has to offer when wondering how to multiply your wealth.

D. In another one of his tweets, Sekhar shares his reason for his deep mistrust of the IPOs.

In a lighter vein

Samir Arora has a tongue-in-cheek remark for the recent Uber IPO that hit Wall Street last week.

E. Sandip Sabharwal makes a case for investing in gold to benefit from trade woes.

Sanjay Bakshi, professor at MDI, on his twitter feed in answers to queries of people shared some pretty useful insights. Take a look:

Asset vs the company

The Paytm story: A lesson in behavioral economics

Whistleblowers: Effective saints of civilization

Behaviour of credit rating agencies

To end on a philosophical note here’s something from Samir Arora

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