Quarterly Letter: March 2021

 March 2021  A lot of businesses’ valuations multiplied by significant amounts in the past quarter. Few biggest ones that deserve mention are-  IIFL Finance (IIFL finance was trading at 0.5 BV till Oct’ 2020) has quadrupled and is now among the top 10 holdings . IIFL finance is run by first generation entrepreneur with greatContinue reading “Quarterly Letter: March 2021”

Portfolio Review 2020

December 12 , 2020 This letter is intended to reflect the activities over the past 9 months since the pandemic caused havoc in equity markets. In a way, this turned out to be a boon period enabling me to initiate huge positions in deeply undervalued securities These opportunities are very rare ( and sometimes takeContinue reading “Portfolio Review 2020”

Prepare, Not Predict

Positioning portfolios to benefit from uncertainty and volatility As I highlighted in my previous post, the world is more uncertain than ever before. A majority of academicians and so-called experts are busy in predicting the impact on economy, financial markets and otherwise. None of them can have and will have any conviction of what isContinue reading “Prepare, Not Predict”

Why I am investing in Tata Power?

Tata Power Has 3 major business segments – Electricity generation via Coal T&D (Transmission & Distribution) Electricity generation (RE)- Wind and Solar Additionally, it holds coal Mines to source Coal for Electricity Generation Due to the nature of the business, Tata Power has strong and predictable cash flows on account of long-term PPAs with theContinue reading “Why I am investing in Tata Power?”

Why I invested in Delta Corp

Delta Corp has strong Assets position of 600 crore (Cash + Land)   Its liabilities (including contingent liabilities & provisions) is 200 cr So Assets- All liabilities = 400 crore It has three business segments Casinos – FCF annual = 155 crore ; ROE = 25% great business, strong barriers to entry Rapid historical growthContinue reading “Why I invested in Delta Corp”

Why did I invest in Tejas Networks

Summary- Why I am investing in Tejas Networks Tejas Networks has the current cash position ~ Rs. 200 crore + It has ready to ship inventory of Rs 250 cr + BSNL cash receivables of 300 cr Total Liquid Assets = 750 cr Its liabilities (including contingent liabilities & provisions) is 270 cr So LiquidContinue reading “Why did I invest in Tejas Networks”

What price to pay for ITC

Valuation Summary – ITC has produced net CAGR Profit growth of 14% over the past decade, mainly led by Cigarette business . However, As is evident from the below table, In last 10 years- Almost all returns have arrived from the Cigarette biz. which has been the undoubtedly the best. The segment generated significant growthContinue reading “What price to pay for ITC”

3 Pillars of Financial Freedom

There is an old saying ” Spend the interest, Never the principal ” . For a salaried employee, it translates into “Don’t spend the salary, only spend the interest income”. For people employed in private sector jobs in a dynamic and uncertain world, there is never a job surety and security. Additionally, there is noContinue reading “3 Pillars of Financial Freedom”