7Mountain Financial Services

Thursday 9 July 2015

Monday 29 June 2015

Collection of evergreen Quotes of eminent people

1. ‘There is nothing new on Wall Street or in stock speculation. What has happened in the past will happen again and again and again. This is because human nature does not change, and it is human emotion that always gets in the way of human intelligence.’ – Jesse Livermore

2.‘The reason that capital markets are, have always been, and will always be inefficient is not because of a shortage of timely information, the lack of analytical tools, or inadequate capital. The Internet will not make the market efficient, even though it makes far more information available, faster than ever before, right at everyone’s fingertips. Markets are inefficient because of human nature – innate, deep-rooted, permanent. People don’t consciously choose to invest with emotion – they simply can’t help it.’ – Seth Klarman

3.’What a company’s stock sells for today,tomorrow, next week, or next year doesn’t matter. What counts is how the company does over a five – or ten-year period.’ – Warren Buffett

4.’Although markets are generally good at estimating the magnitude of a contingent liability, they are often poor at evaluating outcomes probabilistically.’ – Jamie Mai

5.’Stocks heavily owned and constantly monitored by institutions have often been amongst the most inappropriately valued.’ – Warren Buffett

6.’If you read a financial disclosure three times and cannot understand it, it is intentional.’ – Jim Chanos

7.’If the future could be told from a balance sheet, then mathematicians and accountants would be the richest people in the world by now.’ – Peter Lynch

8.’Reward excellent failures. Punish mediocre success.’ – Tom Peters

9.’Integrity is just a ticket to the game. If you don’t have it in your bones, you shouldn’t be allowed on the field.’ – Jack Welch

10.’There should be present the greatest number of people with the ingenuity and determination not to leave things just at their present, possibly quite satisfactory, state but to build significant further improvements upon them. Management must recognize and be attuned to the fact that the world in which they are operating is changing at an ever increasing rate.’ – Philip Fisher

11.’When given a choice of working hard to fix a base business or, instead, completing a glamorous acquisition and crowing about its promise on the financial TV stations, too many executives opt for the latter. A good portion of IBM’s success was due to all of the deals it didn’t do.’ – Lou Gerstner

12.’There are no predictable industries in which you can count on analysts’ forecasts. Relying on these estimates will lead to trouble.’ – David Dreman

13.’Vanity plays a great part in the willingness with which traders fall victim to supposed ‘straight tips’. If, however, he will have the humility to believe that he may be the thousandth rather than the first or second to hear the bullish story, this lack of self-pride will probably be well rewarded. No one ever attained a fortune by seeking the advice of others.’ – David Carret

14.’Most bad companies stay bad, and most cheap stocks get cheaper. Once you realize that, then you’re ready for investing in turnarounds situations.’ – Charles Kirk, The Kirk Report

15.’Buying a cyclical after several years of record earnings and when the P/E ratio has hit a low point is a proven method for losing half your money in a short period of time.’ – Peter Lynch

16.’If you limit your investments to those situations where you are knowledgable and confident, and only those situations, your success rate will be very high.’ – Joel Greenblatt

17.’It is the emotional nonprofessional investor who sends the price of a stock up or down in sharp, sporadic and more or less short-lived spurts. The professional investor has no choice but to sit by quietly while the mob has its day, until the enthusiasm or the panic of the speculators and nonprofessionals have been spent.’ – J. Paul Getty

18.’When I see hysteria, I usually like to take a look to see if I shouldn’t be going the other way. Just about every time you go against panic, you will be right if you can stick it out.’ – Jim Rogers

19.’Only 1 in 100 survived the 1929-32 debacle if one was not bearish in 1925.’ – Benjamin Graham

20.’It is obvious that the inner glow that results from having held a winner last year is of no importance in making a decision as to whether it belongs in an optimum portfolio this year.’ – Warren Buffett

21.’While one can know all there is to know about a few issues, one cannot possibly know all one needs to know about a great many issues.’ – Bernard Baruch

22.‘Never invest all of your funds. By maintaining a large cash reserve, I have been in a position to take advantage of unforeseen opportunities as they developed.’ – Bernard Baruch

23.’There is a persistent overall tendency for equity to flow from the many to the few. In the long run, the majority loses. The implication for the trader is that to win you have to act like the minority. If you bring normal human habits and tendencies to trading, you’ll gravitate toward the majority and inevitably lose.’ – William Eckhardt

24.’The unpredictability of Mr. Market’s moods and the pressure of competing with other money managers can make it really hard to stick with a strategy that hasn’t worked for years.’ – Joel Greenblatt

25.’In no field is the old maxim more valid – that a little knowledge is a dangerous thing – than in investing.’ – Bernard Baruch

26.’A skilled operator in any field acquires an almost instinctive ‘feel’ which enables him to sense many things even without being able to explain them.’ – Bernard Baruch

27.’My sense of insecurity keeps me alert, always ready to correct my errors. To others, being wrong is a sense of shame; to me, recognising my mistakes is a source of pride.’ – George Soros

28.’Curiosity is the engine of civilisation. If I were to elaborate it would be to say read, read, read, and don’t forget to talk to people, really talk, listening with attention and having conversations, on whatever topic, that are an exchange of thoughts.’ – Peter Cundill

29.’One of the best rules anybody can learn about investing is to do nothing, absolutely nothing, unless there is something to do.’ – Jim Rogers

30. ‘The most important attribute for success in value investing is patience, patience, and more patience. The majority of investors do not possess this characteristic.’ – Peter Cundill

Tuesday 23 June 2015

Nocil - close above Rs 50/- will open price of Rs 70/-

Disclaimer � The Above view is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers.

Coal India ready for new fresh move

Monday 22 June 2015

#Nifty Closed above descending band

#Nifty Closed above descending band

Disclaimer � The Above view is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers.

Graham’s 10 Point Checklist

An earnings-to-price yield at least twice the AAA bond rate.
P/E ratio less than 40% of the highest P/E ratio the stock had over the past 5 years.
Dividend yield of at least 2/3 the AAA bond yield.
Stock price below 2/3 of tangible book value per share.
Stock price below 2/3 of Net Current Asset Value (NCAV).
Total debt less than book value.
Current ratio great than 2.
Total debt less than 2 times Net Current Asset Value (NCAV).
Earnings growth of prior 10 years at least at a 7% annual compound rate.
Stability of growth of earnings in that no more than 2 declines of 5% or more in year end earnings in the prior 10 years are permissible.

Wednesday 17 June 2015

Short Term and Long Term

Short term= Emotions
Long term= Earnings

Short term= Price
Long term= Value

Short term= Speculative returns
Long term= Investment returns

Short term= News
Long term= Wisdom

Short term= Trading
Long term= Investing

Short term= Gain or loss
Long term= Gain

Short term= Quarterly earnings
Long term=10 year Averages

Short term=Daily NAV
Long term = Retirement NAV

Short term= Volatility
Long term= Secular growth

Short term= Newspapers
Long Term = Books

Short term = Luck
Long term = Discipline

Short term = Skill
Long term = Behaviour

Short term= Predictions
Long term = Financial History

Short term= TIP
Long term= SIP

Short term = Timing
Long term = Time

Short term= Bank as an advisor
Long term = Wise Wealth Advisors

Short term : < 10 years

Long term : = > 10 years

Short term = Anxiety

Long term = Peace of mind

Short term = Activity

Long term = Inactivity

Short term = Tension

Long term = Conviction

Short term = Quick money

Long term = Sustainable wealth

Short term = Unsteady
Long term = Sit tight

Short term = Book profits
Long term = Build fortune

Short term = More chances of failure
Long term = Sure success

Short term = Constant looking of ticker tape
Long term = Annual review

Short term = Expensive
Long term = Less expensive

Short term = Impulsive
Long term = Planning

Short term = More taxes
Long term = Tax free

Short term = Economic Times
Long term = Buffett’s annual letters

Short term = Sudarshan Sukhani
Long term = Prashanth Jain