BC GENERICLEARNINGS
Saved by @SAnngeri

Mr. Vijay Kedia built a net worth of over Rs. 800 crores.

But you probably never read past that headline.

So I binged hours of interviews to learn his investing principles and strategies.

Here are 20 lessons on investing from @VijayKedia1 Sir:

Collaborated with @AdityaTodmal

 Before I start, a quick disclaimer, please don't ape his portfolio.

As the entry price, horizon and risk appetite would be far different than yours.

Rather lets draw inspiration and try to learn his stock picking skills.

Now let's DIVE IN👇
1/ Started off as a trader:

- Soon, beginner’s luck started to fade out and loses started to mount, to an extent where his mother was about to sell her ornaments.

- Although he was able to dodge the situation.

- This incident taught him the biggest lesson to have a stop-loss.
2/ Punjab Tractors:

- In 1990, he made his first investment by putting in his 10-years savings of Rs 35,000 in this stock, based on a news trigger that tractor industry will witness a turnaround.

- It worked and fetched him 4-5 times which he calls it as a fluke.
3/ He believes that an investor must possess three qualities:

i. Knowledge,
ii. Courage, and
iii. Patience.
4/ Patience is a virtue:

- He picked 5% stake in Aegis Logistics at Rs.20.
- The stock didn't move the next year.
- Finding a gem isn’t enough, finding the courage to stick through without fear & disappointment is.
- Eventually, the stock rallied to Rs. 300.
5/ Stock investing should be simple:

- One cannot get a small company that is cheap and has prime return ratios too.

- Focus on the core qualities of the business model.

- Look at the underlying story of the stock and the industry.

- Management should be transparent.
6/ Framework for picking stocks: SMILE principle:

He chooses a small cap & mid cap companies which has the following ingredients:

• S: Small in size
• Mi: Management with medium experience
• L : Large in aspirations
• E: Extra large market potential
7/ S: Small in Size

-Small in size refers to the company’s market share to the total market size of the industry.

-Don't be under the wrong notion that small in size means with reference to market capitalization.
8/ Mi – Management with medium experience

- Management must be aggressive, transparent, and dedicated.
- He looks for management who would have gone through about 2-3 up & down cycles.
- Management should be motivated to grow the company and add value for all stakeholders.
9/ L – Large in aspirations

- For a company to grow from small to medium size, the management should have large aspirations.

- If management aims to become a billionaire only then the shareholder will become a millionaire.
10/ E: Extra large market potential

- For a company to grow from small size to medium or from medium to large, the market and the underlying asset should have that potential.
11/ Stay in a Sunrise industry at any cost, stay out of a Sunset industry at any cost:
12/ Prefer no debt / low debt companies:
13/ When does aspirations of a company take a hit: Part 1

Acronym CHANGE:

• C: Chamchas
• Ha: Health
14/ When does aspirations of a company take a hit: Part 2
Acronym CHANGE:

• NG: Next Generation
• E: Ego
15/ Don't get carried away with the market mood:

Neither be an optimistic during an uptrend nor be a pessimistic in a downtrend.

His investment mantra is to – ‘Buy like a bull, sit like a bear and watch like an eagle.
16/ Sizing makes you earn serious wealth.

- Finding the right companies is not enough if you don't own a substantial piece of it.

- He doesn't fear the quantity because his aspiration in future is to allocate is even bigger than what it is today.
17/ Snippet of his holdings:

For more details: https://t.co/OgbcIijTGq
18/ Market is a sea of opportunities

- Presents various types of risk rewards.

- Know your type and act accordingly.
19/ People who are living far below their means enjoy a freedom that people busy upgrading their lifestyles just can’t fathom. - NAVAL

- Don't fall in the trap of upgrading your lifestyle.

- Cut down your expenses on depreciating assets.
20/ Investing is a blessed business:

-One should be prepared to get immersed into this business of investing to reap the fruits out of it.
Apart from learning investing from @VijayKedia1 Sir, one can also enjoy his melodious songs on markets!

Do check out on youtube!
If you enjoyed this thread, here's another one which might be helpful:
https://t.co/2QuRVLNg2u
Source: Various articles and videos on youtube

Link for the videos which are used here as snippets:
https://t.co/gluNd3pmEa
https://t.co/OPNBoSpons
https://t.co/EMydTPqBZm
https://t.co/pPb8pyYUVr
https://t.co/R0ATlB76uH
Hope you discovered something new (because that's the point!)

If you did, share it with a friend

Hop back up to retweet the first tweet

See past threads here:

@AdityaTodmal
&
@niki_poojary

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Catch me if you can @Mitesh_Engr

Time for a🧵
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In collaboration with @AdityaTodmal


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• You can't sell based on premium
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Short Straddle is the highest payoff strategy.

However it comes with undefined risk.

Most traders don't know when & how to adjust the short straddle when it goes wrong.

Here are 16 adjustments to lower risk & increase profitability:🧵

Collaborated with @AdityaTodmal

1/ Longer-term short straddle:

• Helps in getting a big range: trade in biweekly, monthly, or far months.

• The only drawback with longer term straddles is the slippage.

• Also go for round levels both in NF and BNF as they have better liquidity.

2/ Weekly expiries will have short range:

• Leading to higher risk.

• Would require frequent adjustments.

3/ When to sit tight?

• As long as the underlying is between the breakeven point of the Short straddle, we do nothing.

• Don't adjust till breakeven comes, simply sit tight.

• Adjusting a short straddle typically brings in more credit, which increases the profit potential.

4/ When does a short straddle come into loss:

• The moment the underlying price moves towards one end of the breakeven point, your short straddle will be in loss.

• Adjustments would require additional funds, so don't go all in with your capital for shorting straddles.
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𝐁𝐚𝐬𝐢𝐜𝐬 𝐨𝐟 𝐃𝐞𝐫𝐢𝐯𝐚𝐭𝐢𝐯𝐞𝐬 - 𝐏𝐚𝐫𝐭 𝐈𝐈𝐈

Topics covered:

• Moneyness of an Option

• Intrinsic value & Time value of an option

• Why Intrinsic value & time value matters

• Implied Volatility

Time for a 🧵

Curated in collaboration with
@AdityaTodmal


• Moneyness of Option contract:
• ITM option
• ATM option
• OTM option


• Intrinsic Value of an option:
• Positive payoff for the buyer


• Intrinsic value of ITM CE options = Spot- Strike


• Intrinsic value of an:
i) ITM for a CE option: Positive
ii) ATM for a CE option: Zero
• Intrinsic value is never Negative
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Nikita Poojary
Nikita Poojary
@niki_poojary
An option buyer made Rs. 58 lacs from Rs. 2 lac capital in a span of just one month (March 2020 COVID crash).

He is none other than Mr. Subasish Pani.

THREAD: 11 things you must know to become an option buyer.

Collaborated with @AdityaTodmal

•Don't get carried away with the kind of return that Mr. Pani made in such a short period of time.

•This requires a high level of skill, and discipline in terms of which strike to choose, which time to trade, and which days to trade.

•It also comes with higher drawdown.


1/ Screen Time:

• Indian markets function from 9:15-15:30.

• Dividing this time zone into 3 sub parts:
- 9:15 to 10:30: trending market
- 10:30 to 13:30: for retracement
- 13:30 to 3:30: trending

2/ Focus on momentum:

• Option buyers make money when the momentum is quick.

• However if the market remain sideways for few days then the option starts to lose its value.

• This is because theta decay works against option buyers.

3/ Option buyers need momentum to make money:

• Hence focus on the 1st & 2nd time zone where the markets are trending.

• Avoid taking trades between 10:30am till 13:30.

• Special focus on Wednesday & Thursday as premiums are low and if you can catch momentum then good R/R.
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1000 days ago, I started learning about Support & Resistance.

Here are 10 pointers from Support and Resistance that'll get you started in the next 3 mins: 🧵

Collaborated with @AdityaTodmal

1/ Understanding Support and Resistance:

• Support levels indicate where there will be a surplus of buyers.

• Resistance levels indicate where there will be a surplus of sellers.


• When the price moves up and then pulls back, the highest point reached before it pulled back is now resistance.

• When the price continues up again, the lowest point reached before it started back is now support.


2/ What is a Support:

• Support is the level at which demand is strong enough to absorb the supply.

• The price is likely to bounce back and moves up in the opposite direction.

• Support is a level where the demand from buyers is expected to be much higher than sellers.


3/ What is a Resistance:

• It is the opposite of a support level.

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A short thread 🧵

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India imports nearly 85% of its total Crude oil consumption every year.

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Iran 17%,
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India import share for Oil from Russia is under 2%, an insignificant number.

India imports about 290 Million tones of Oil in a year.

Assuming that Oil prices are at $75 (last year),
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Oil at:
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For every $10 rise in Crude Oil from say $100, India's oil trade deficit will rise by ~$15bn

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Em\U0001f383jipedia \U0001f4d9
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ARE WE FAMILIAR WITH THE MEANING & POWER OF MANTRAS WE CHANT?

Whenever we chant a Mantra in Sanskrit, it starts with 'Om' and mostly ends with 'Swaha' or 'Namaha'. This specific alignment of words has a specific meaning to it which is explained in Dharma Shastra.


Mantra is a Sanskrit word meaning sacred syllable or sacred word. But Mantras r not just words put together,they r also vibrations.The whole Universe is a cosmic energy in different states of vibration &this energy in different states of vibration forms the objects of Universe.

According to Scriptures,Om is considered to be ekaakshar Brahman,which means Om is the ruler of 3 properties of creator,preserver&destroyer which make the https://t.co/lyhkWeCdtv is also seen as a symbol of Lord Ganesha, as when starting the prayer,it's him who is worshipped 1st.


'Om' is the sound of the Universe. It's the first original vibration of the nothingness through which manifested the whole Cosmos. It represents the birth, death and rebirth process. Chanting 'Om' brings us into harmonic resonance with the Universe. It is a scientific fact.

Therefore, Mantras are described as vibrational words that are recited, spoken or sung and are invoked towards attaining some very specific results. They make very specific sounds at a frequency that conveys a directive into our subconcious.
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#talesofkrishna https://t.co/E85MTPkF9W


Now Suniti was the daughter of a tribal chief while Suruchi was the daughter of a rich king. Hence Suruchi was always favored the most by Raja while Suniti was ignored. But while Suniti was gentle & kind hearted by nature Suruchi was venomous inside.
#KrishnaLeela


The story is of a time when ideally the eldest son of the king becomes the heir to the throne. Hence the sinhasan of the Raja belonged to Dhruva.This is why Suruchi who was the 2nd wife nourished poison in her heart for Dhruva as she knew her son will never get the throne.


One day when Dhruva was just 5 years old he went on to sit on his father's lap. Suruchi, the jealous queen, got enraged and shoved him away from Raja as she never wanted Raja to shower Dhruva with his fatherly affection.


Dhruva protested questioning his step mother "why can't i sit on my own father's lap?" A furious Suruchi berated him saying "only God can allow him that privilege. Go ask him"
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