Five investment rules by Mr. Ramesh Damani
He has hosted a number of shows on CNBC-TV18, amongst them are Wizards of Dalal Street, Oriental & Occidental and RD 360. He is a frequent commentator of financial issues on various business channels. There are many rules Mr. Ramesh Damani followed himself for his consistency and financial investments and plannings, some of his major rules can be seen below:
· Don’t buy the stock based on its cap whether it might be small, mid or large: Mr. Ramesh Damani says Look at the business first, if you’re getting good business at cheap valuation, purchase it whether it might be small cap, mid cap or large cap.
· Have a circle of competence: Invest in such businesses which you understand, have knowledge and a good analysis about it. For Example: If you’re from the IT industry focus on such companies as you will already have knowledge and understanding about the company.
· Dream Big: While we are doing something, if we keep our target small. Then we will never achieve more than that target and most of us can never keep our target correctly. Dream big.
· Keep your eye on emerging industries: Always keep an eye on industry as what is going on in the market, which new sectors are rising. This will help you find great investment opportunities. Due to the increase in use of internet, so many more industries have emerged and are emerging so, have an eye on them as well.· Start young and Think Long Term: The earlier you start investing, the better it is and invest most of the money for the long term. Mr. Ramesh Damani also says If you want to start trading, open a separate trading account and invest from a different account. Just trade in a trading account and just invest in an investing account. Invest in appreciating assets not depreciating assets.
