http://www.sebi.gov.in/press/2010/201036.html The following caution is issued by SEBI in the interest of investors. Be extra cautious while using information available from media sources such as Websites/ Blogs/ Newspaper Advertisements/ SMS’s Emails/rumours/ advice through television or print media for information and tips for intra-day, short term or long term investing.
Very important caution and this has been done on regular basis and investors have never cared to read this, I find many queries. Can I find a website which gives free intraday Tips? Is what many /majority of traders want. Many investor want stocks below Rs.50 as they feel it can double faster and they fail to understand many stocks below Rs.50 have Re.1 paid up also. Many investor want multi bagger if I can find easily then I should in Forbes list but it is never so easy, as investor have bad memory they forget the failures, in 2000 Dotcom bust there has been Companies which quoted Rs.1000 and above have disappeared in next few year. But we talk of INFOSYS, WIPRO which have created wealth but out of 500companies only handful has created wealth and how many had invested in right stock.
Important is that this is basically greed of people to make fast money, it is not stock market where it happens there are other aspects of life where people want to become rich. So only many MLM schemes flourished and latter failed to make a head way. We have seen many investors investing in unregistered finance company which have promised abnormal interest. There was a season of plantation companies which promised investor mind blogging returns.
This is global risk otherwise Madoff’s Ponzi scheme wouldn’t have big names losing their saving http://www.business-standard.com/india/news/when-intelligent-people-make-poor-decisions/382348/ When intelligent people make poor decisions
Today we have more channels, Websites & Newspaper trying to catch attention of viewers and readers so they take all possible views from everyone. Interesting many channels have pre-market open session where many analyst speak I have never seen 2analsyt speaking in same line and it is never possible. Investment is a journey and each one travels in different mode, speed and class and destination is also different and the traveler should decide which destination he wants to go, what mode of travel, which class and his affordability. Never blame others for your mistake and past record is never a grantee for future.
To conclude even government have lured investor globally as Stock market are lifeline of economy, I can recollect in 2007 end when there were statement that India is decoupled from global financial crisis from a Cabinet minister, but we had a big crash. This only teaches that no one is prefect in stock market and any judgment can go wrong. stock market is a very efficient hypothesis and it can’t be controlled for long it reacts and counter reacts faster than we can estimate and investor has to protect his own interest on his hard earned money and no effective policing can be made.
2 comments:
Yes, you are right. Greedyness is the reason for all our mitakes. It stops our reasoning and finaly the failurs.
Greed is the only reason of failure in Stock Market. One should not follow other and tips provided by them.
Thanks for posting this advice given by SEBI. :)
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