Investment is not a selection but it is a rejection game. You should always be a critic or have a doubtful look at any company. Just try to find the reason why one should not invest in such businesses. If you are good at rejecting, you will become a good stock picker, if you find a business which is so attractive and truly valued which neither your mind/heart is ready to give a pass. Then go ahead and invest....
One must know how to separate water from milk. Approx 6000+ companies out there in BSE / NSE, out of which 60-70 companies are only worth investing which can be classified into 10in3 (10 times in 3 years) stocks, just think probability of finding one such company is 1/100th or 0.01, it is more tougher than getting admission in IIT or IIMs .
And you need to figure out at most 10 companies which can give best returns, if you can do that and hold it for longer period, you can be a sure shot billionaire in dollar terms.
HBJ Capital Mantra to find 10in3 stocks can be sum into just 3 points....
Promoters (Modest background, Vision & Passion) +
Business (Large Scale of Opportunity) +
Mcap (Small Cap preferred below Rs 500Cr Mcap)
Saturday, July 12, 2008
It is easier to get an admission in IIT or IIMs than to pick a 10in3 stocks.
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