Linkfest: February 09, 2018

-
What I am reading today

Central banks, systemic risk and financial sector structural reform (Oxford Business Law Blog blog)
China Plays Yuan to Demand a `Powell Put' (Gadfly: Andy Mukherjee)


Industry 4.0: Reinvigorating ASEAN manufacturing for the future (Mckinsey)
Will the market go up? or will it go down? (Subramoney)
Will LTCG+STT hollow out India's equity markets? (Mint)
Why Competitive Advantages Die (Collaborative Fund)
Linkfest: 09 February,2018 (Alpha Ideas)
The Drawbacks of Behavioral Finance During a Market Correction (A Wealth of Common Sense)
28% Rise In Communal Incidents Under NDA, Short Of UPA High (IndiaSpend)
New York's Tech Sector Gobbling Up Real Estate (The Urbanophile)

Comments

Post a Comment

Most Popular Posts

Warren Buffett's 2017 Letter: Takeaways for Indian Investors

-
Warren Buffett's shareholder letter for the year 2017 was released a few days back. I am going to take some of the themes in this year's letter and provide an Indian context and takeaway. (For a collection of past shareholder letters organised and annotated around major themes, please check - ' The Essays of Warren Buffett ' by Lawrence Cunningham ). 1. Valuations are expensive. So Buffett didn't do any big deals last year. Others may ignore the level of prices and pay any price to do deals. But not the Oracle of Omaha. - Indian valuations are stretched too. The Sensex P/E currently stands at 23.xx. High PEs tend to foreshadow lower returns in the next few years, till valuations moderate. A wonderful table compiled by Stableinvestor.com  shows this trade-off very well. With a starting PE of 24+ (which is very close to current levels), the 3 year return has been -5% historically. The takeaway for Indian investors is: valuations are stretched. The thing to do now...
Read more