Its easy to tell the months I had the most work from the frequency of blog posts, in inverse proportion. More the work --> fewer the blog posts. A cursory glance at the archives now tells me that last time this year, work began dwindling slowly, but surely, reaching an all time low nearing the first quarter of the year (J-F-M) and slowly building up again. August has been the busiest month so far, apparently. Well, I can credit that to the exam that I took which completely devoured my waking hours.

Right now is a strange state of existence. Euphoric markets, Burgeoning Gold prices and the overall positivity in a revival has overtaken the conservative and cynical mindset that had crept in. Good news is everywhere, the unemployment level in the US, where it all started is looking up, growth ratios are rising and inflation is finally over the negative level. Now is the turn of the people who missed the bus to lament. I'm already hearing the 'Damn, I shouldve invested in the stock market in March (it was at 8,000 - the lowest since the last few years)' or 'I should've looked at buying a house the rates are bound to increase at some point' (they already have). Shoulda coulda woulda.

It started with the optimists who had invested at 21k levels going near bankrupt, then came the smart Alec's who stocked up even at 8k levels and didn't let market sentiment cloud their judgement, and now finally the last kind, the "I shoulda's". I'm of the opinion that weigh the pros and cons one must, but at the end of the day also have a heart for a little win-lose situation, else it is better to stick to safer (low return) investments for the faint hearted.

Citing my own example, I took a huge risk by investing a significant amount of money right before counting day [declaration of elections]- a decision that was critiqued by many. However given that I had a balanced portfolio with a backup safety net well in place, I went ahead and took the risk. Turned out well in my favor (sensex has grown 5000 points since) but I can see the difference in the way I'm handling my account. The initial boldness, the quick decisions and snap actions have given way to reserved deliberation, more informed decisions and a more thought out strategy.

I wonder whats in store, some people assure me a correction is on its way. Book profits now and buy again on dips, I'm told. But then again, this coming from the same people who told me to wait till after the election results since the sensex tanking was but a certainty then. Others say the only way now is UP. Buy and Hold is their mantra. I, on the other hand am caught on a fence between both. I'm not a fan of getting caught up in short lived market sentiment and riding the wave of exhilaration unless its backed by strong fundamentals fueling the growth, and neither a fan of being far too conservative and losing the opportunity in the process.

I'm a DIY (Do -it-yourself) girl. I've navigated investments and the unknown territories of life with enthusiastic fervour and optimistic anticipation. I've taken responsibilities for my mistakes and (more than enough) credit for my good decisions (which is to say I've relentless made sure they remain top-of-mind among my people). I've pored over my ITR's and understood long and short forms in my account documents. I enjoy the complete command over my finances and personal life, both. Which is why you can imagine how unsettled I feel when I'm unsure what to do.

Money, I blew up the kids

After kicking myself for not having entered the jig when the market was at the 8k mark, I finally (phew) made my entry into the big bad world of the stock market. 9th May 2009, you'll be a day Ill fondly remember.


As is with most events in my life, this foray was accompanied by much trademark-serendipity excitement. I had shortlisted two longterm shares and two highly volatile traders shares. Very excitedly dialed the ICICI Direct phone banking number, selected the required option in the IVR and called slightly nervously to place my first ever 'buy order'.

Of course, nothing in my life gets accomplished without initial glitches and a lot of back and forth. Two phone calls, two log ins later, equipped with my account number and access code which I had to source and generate from my online account, information which was given to me sequentially as opposed to simultaneously (which would have obviously saved me time AND effort, but no. Im not that lucky), I heard the magic words 'Order executed'

And so the deal was done. Beginners luck meant that on friday, the day I actually purchased the share, the sensex dipped below 12k levels, which meant that I got really good deals already. Since then Ive followed up with many a transaction until I finally realised Ive put in a good chunk of money and now need to hang on and play around with what I have.

Since then Im given to refreshing the rediff page at a frequency proportional to the amount of times I tie and untie my hair (which if u know me, is a LOT). Its FUN to watch the net gain (and loss) each day, to understand market sentiments, interesting to learn how to evaluate whether a stock is good and other gyaan which Im fast catching onto. People sitting around me at work are renaming me the new go-to guru of the stocks given that my screen which earlier had multiple blog pages open now has only stock related articles and pages open. My name is now being replaced by other monikers of the stock market.

My first phone call after the first order was to Dad. Who congratulated me and promptly asked me which sectors, companies and who my broker was. I felt fantastic giving him accurate information regarding the investments, and finally about the fact that Im doing my own research and transactions, the middle man of course being the guy at ICICI Direct who executes the transaction. Whoever said women are bad at finance please step forward, so I may have a word with you.

Mistakes are of course, a part of this game. You win some, you lose some. Unfortunately having invested lump sums in MF's when the sensex was at 21k levels means Ive begun on a losing note anyway both MF's showing annual returns of - 32% :\ BAH and double BAH.

If anyones reading this, and a novice like me, here are a few tips.

• This is THE best time to invest. A lot of Stocks are just at or slightly above their rock bottom and therefore affordable.
• The Sensex crossed over to 12k in the last two months. People smart enough to have invested a few months ago have made a fortune already. (given the right choices etc)
• The most money is made and returns achieved in a bearish market as opposed to bullish contrary to popular opinion.
• You need a DEMAT account. Just call a broking house (ICICI Direct/Reliance Money/HDFC) or your broker and complete the formalities
• Broking charges are nothing daunting, approx 70paise per 100 rs of transaction. This could vary, but nominal charges is what I'm trying to get at.
• Diversify your portfolio. Don't buy stocks of more then 2 companies in the same sector.
• Keep an eye on Government controlled sectors, since a change in Govt and policies could affect the entire sector.
• Don't borrow ANY money to invest in stocks. Invest only what you can afford to. My thumb rule is that even if I Lose all of it, I should not be bankrupt. In other words, make sure you have some good ole safe options giving 8.5% returns. PPF, VPF Zindabaad.
• Stay away from Derivatives unless you have sound knowledge and resources to do so. Higher the returns, higher the risk.
• If you don't have a good risk appetite, but looking for higher returns anyway, then invest in Mutual funds, but ensure that it is an SIP (systematic investment plan) which will average out cost of units when the market shows a steep incline/decline which would be a good buffer. I learnt this the hard way :( Equity Linked Saving schemes are also tax saving so you could claim this during tax calculations.

Now Get out there!