Home
Saral Gyan Freebies
Saral Gyan Services
About Us
Contact UsDear Reader,
Our selection process includes lot of research and data analysis. We first identified the sectors that are likely to do well in next 12 months. Having that done, we further refine our search to select companies from that sector. We created a portfolio worth Rs. 1 Lakh comprising 10 stocks so that it can help investors to create a model portfolio with lump sum investment upto 1 Lakh.
We have given the different allocation to each of the scrips keeping in mind the risk versus returns ratio. We will also fine tuned the portfolio with mid-cap and small cap scrips from different sectors so that the investors can invest in a complete mix of stocks to balance their portfolio. Saral Gyan
We continue to follow our simple but effective approach by evaluating each stock on the basis of below mentioned criteria’s.
We have given the different allocation to each of the scrips keeping in mind the risk versus returns ratio. We will also fine tuned the portfolio with mid-cap and small cap scrips from different sectors so that the investors can invest in a complete mix of stocks to balance their portfolio. Saral Gyan
We continue to follow our simple but effective approach by evaluating each stock on the basis of below mentioned criteria’s.
(i) Top Quality management with high integrity:
This is an absolutely non-negotiable condition. If the management is not honest, will they want to share the goodies with you? No, they will look for the first opportunity to siphon off the profits and pull the wool over your eyes.
(ii) The scale of opportunity must be big:
Multi-bagger stocks are created because they are able to scale the opportunity rapidly. Titan Industries is a great example. In 2003-04, Titan‘s market cap was 500 crores. As on date, it is ~2,25,000 crores. The fact that India is a booming marketplace of 140 crores consumers means that most products and services have a head start at trying to scale up their activities.
(iii) Low debt; free cash flows:
We learnt from the great crisis of 2011 and 2019 that companies with high debt on their books simply get slaughtered. While debt per se is not bad (if the company is able to borrow at a lower rate and deploy it in its business at a higher rate, the operating leverage works in its favour), excessive debt with high interest and repayment obligations can crunch the stock in times of downturn. So, as a long-term investment philosophy, it is best to steer clear of high-debt companies.
(iv) High ROE – Efficient users of capital:
Some company’s management is able to squeeze that little extra of every buck. A ROE of at least 15% is necessary to make into the hallowed list of model portfolio. However, if ROE is less than 15 but is growing at a healthy pace every passing year fits in model portfolio being into emerging business.
(v) No High Capex Requirements – No Serial Diluters of Equity:
We know the demerits of investing in stocks like Suzlon & GMR which have an insatiable appetite for more and more capital. To feed their perennial hunger, these companies dilute their equity by making FPOs, GDRs & FCCBs resulting in total destruction of shareholders’ wealth. Companies should be lean and mean requiring minimal capital but generating huge returns there from.
(vi) Reasonable growth expectations:
“If you get a return of 20% for your portfolio, you must be very happy”. So, stop craving for that overnight multi-bagger. You’ll only end up losing your precious capital that way. Instead, look for well established small and mid cap companies that are growing at a reasonable rate of return (15 – 25%). With time and the magic of compounding, you will have your multi-bagger in your portfolio.
(vii) Valuations:
Most investors are obsessed about valuations, refusing to buy any stock that is “expensive”. However, one must remember that “expensive” is a relative term. If a stock is compounding at 25% on an annual basis, paying a price of 30 times earnings may be very reasonable. A stock like Nestle, for instance, has always been “expensive”. However, if an investor had gone ahead and bought the stock, he would have had an incredible multi-bagger on his hands. On the other hand, in trying to buy a “cheap” stock, one may get saddled with unsavory companies. After all, there is a reason why such stocks are “cheap”.
Of course, one should be careful not to buy in euphoric or bubble times when the pricing may be extravagant and not at all reasonable.
(viii) Concentrated Portfolio:
We like Warren Buffett approach, a believer in the concept of a concentrated portfolio. If you believe in the prospects of a stock you should be prepared to put a substantial chunk of money in it – or nothing at all. There is no point in buying a bit of this and a bit of that because that dilutes your returns.
Of course, we are no match for Warren Buffett and we do not have his conviction levels. So, we’ll stick to 10 stocks to begin with, which means that from 7% to 12% of the wealth will be invested in each stock.
(ix) Diversification:
Last but not the least; a proper portfolio must be diversified across sectors. A bit of Finance, a bit of consumption, some autos, some pharmaceuticals, a pinch of chemical etc will make a balanced portfolio.
Saral Gyan Portfolio of 10 Stocks for FY 2023-24 has been emailed to all our Hidden Gems, Value Picks, Nano Champs and Wealth-Builder membe
If you have patience and want to add extra power in your portfolio, start investing some portion of your savings in fundamentally strong micro, small and mid cap companies - Nano Champs, Hidden Gems and Value Picks.
Moreover, if you have invested in stocks and believe that your investments are not performing well, subscribe to our Wealth-Builder service and get your portfolio reviewed by us. We will review fundamentals of the companies you are holding and guide you which stocks to hold and which to exit. We will also review your equity investments across sectors and companies to ensure that your portfolio allocation is right and outperforms major indices giving you better returns in medium to long term.
Start building your equity portfolio by making educated investment decisions, subscribe to our Hidden Gems, Value Picks, Wealth-Builder, Nano Champs annual subscription services.
SARAL GYAN SUBSCRIPTION SERVICE | ANNUAL SUBSCRIPTION PRICE | PAY VIA CREDIT CARD (3% CHARGES EXTRA) |
|---|---|---|
| Hidden Gems | Rs. 14,000 | |
| Value Picks | Rs. 8,000 | |
| 15% @ 90 Days | Rs. 5,000 | |
| Wealth-Builder | Rs. 28,000 | |
| Combo 1: HG + VP + WB + 15% | Rs. | |
| Combo 2: HG + VP + 15% | Rs. | |
| Combo 3: HG + VP | Rs. | |
| Combo 4: HG + 15% | Rs. | |
| Combo 5: VP + 15% | Rs. |
Below are the details of our services:
1. Hidden Gems (Unexplored Multibagger Small Cap Stocks): Based on fundamental analysis, our equity analysts release one Hidden Gem research report every month with buy recommendation and share it with all Hidden Gems members. Stock finalized as Hidden Gem belongs to small / micro caps space with market cap of less than 500 Crores, expected returns from Hidden Gems is nearly 90% to 100% in period of 12 - 24 months. Once target is achieved, we inform our members whether they should continue to hold the stock or need to do partial / full profit booking. If fundamentals are intact and valuations are reasonable, we suggest to continue to hold the stock for long term for multibagger returns. Annual subscription charge of Hidden Gems is INR 14,000 under which you will receive total 10 to 12 Hidden Gems research reports over a period of 12 months. Click here to read more about Hidden Gems.
2. Value Picks (Mid Caps with Plenty of Upside Potential): Our equity analysts team consider Warren Buffet approach to short list stocks from mid cap segment as Value Picks. Market cap of Value Pick will range from 1000 crores to 15,000 crores. Holding period of Value Picks is 12 - 24 months and one can expect returns of 40-60%. Annual subscription charge of Value Picks is INR 8,000 under which you will receive total 10 to 12 Value Picks research reports over a period of 12 months. Click here to read more about Value Picks.
3. 15% @ 90 Days (Buy to Sell Stocks for Short Term Gain): Based on technical analysis, our team recommends one stock every month to our members. It’s a short term call under which you can expect returns of 15% within period of 90 Days. Annual subscription charge of 15% @ 90 Days is INR 5,000 under which you will receive 10 to 12 stock recommendations. We suggest lower allocation in 15% @ 90 Days stocks and higher allocation in Hidden Gems and Value Picks which are our portfolio stocks based on fundamental analysis. 15% @ 90 Days stocks recommendations are based on buy to sell and gain strategy, hence we suggest our members to book complete profits once target is achieved and exit in case target is not achieved or stock has broken its 2nd support level as per report. Click here to read more about 15% @ 90 Days.
4. Wealth-Builder (An Offline Portfolio Management Service): Wealth-Builder is our model portfolio of Rs. 10 lakhs and currently we are holding around 16 stocks in our portfolio. We suggest higher allocation in our Wealth-Builder stocks which includes best of our Hidden Gems and Value Picks released during last couple of years. Our team suggest all our Wealth-Builder members to invest in the stocks which are part of our Wealth-Builder portfolio. Every month our team updates our Wealth-Builder members which stocks they need to buy / sell / hold with % allocation of these stocks in their portfolio, the suggested changes need to be replicated in the same proportion. Annual subscription charge of Wealth-Builder is INR 28,000 under which you will receive total 10 - 15 portfolio updates. We also review existing equity portfolio of our members and advise them which stocks to hold and which to exit based of fundamental analysis under Wealth-Builder service. Our Wealth-Builder service is suitable for those investors who have an existing portfolio of at least 2 to 3 lakhs or planning to invest similar amount or more in equity market. Click here to read more about Wealth-Builder.
5. Nano Champs (Deeply Undervalued & Undiscovered Micro Caps): Under Nano Champs service, we research on micro cap stocks with market capital of less than 100 - 120 crores, the investment horizon is 3 to 6 years with objective to achieve 10x returns in long term (6 years or more). As micro caps involves higher degree of risk compared to small and mid caps, we provide a diversified basket of 10 Nano Champs in our half yearly report. Moreover, as these are very small sized companies, the maximum investment allocation in each Nano Champs suggested is 1 percent of equity portfolio, hence maximum allocation of 10 percent to 10 Nano Champs. Annual subscription charge of Nano Champs is INR 12,000 under which you will receive total 2 reports (every 6 months) and ad-hoc updates (if any) over a period of 12 months. Click here to read more about Nano Champs.
We do update our members in terms of profit booking / exits depending upon various factors like overall Industry / Sector outlook, fundamentals of the company, management action plan and annual performance in terms of top line, bottom line, operating margins and other important parameters.
Do write to us in case of any queries, we will be delighted to assist you.
Wishing you Happy & Safe Investing!
Regards,
Team - Saral Gyan.
