BEHAVIORAL ECONOMICS

Free course from Sebi, NISM for stock market investors. How to enrol?

Indian capital markets regulator the Securities and Exchange Board of India (Sebi) launched a free, voluntary online investor certification examination on Tuesday, with an aim to help individuals, especially beginners, gain comprehensive knowledge about stock market investing.

Past reforms will continue to drive economy over next 2 years: Neelkanth Mishra

In fact, with the RBI dividend being significantly better than what was budgeted, I would not be surprised if in the July budget, the government chooses to bring down its FY25 fiscal deficit target from 5.1% to 4.9% because that money is there.

Fed's Williams says he doesn't feel urgency to cut rates right now

Williams stated that the economy's behavior over the past year provides ample evidence that monetary policy is restrictive in a way that helps achieve their goals. He made these remarks in the text of a speech prepared for delivery before a gathering of the Economic Club of New York.

These midcap stocks with ‘strong buy’ & ‘buy’ recos can rally over 25%, according to analysts

After a strong phase upward movement, mid cap stocks are witnessing a sort of selective profit booking move. Profit booking which is mostly happening in line with Q4 numbers. A strong directional move is only likely to appear post election results. During this phase, analysts are bullish on select stocks from different sectors, a number of the stocks on which analysts are bullish are essentially leaders of their sector.ET screener powered by Refinitiv’s Stock Report Plus lists down quality stocks with high upside potential over the next 12 months, having an average recommendation rating of “buy” or "strong buy". This predefined screener is only available to ET Prime users.

These largecaps have ‘strong buy’ & ‘buy’ recos and upside potential of more than 20%

The way markets have panned out in the last few sessions, it appears that bulls are waiting for a confirmation on 4th of June and then they will take over control of the street. But because valuations are high, one has to be cautious, while being bullish. Also as a thumb rule, one should remember that corrections and consolidation are part of every bull market. We will continue to see them at regular levels. ET screener powered by Refinitiv’s Stock Report Plus lists down quality stocks with high upside potential over the next 12 months, having an average recommendation rating of “buy” or "strong buy". The screener applies different algorithms for all BSE and NSE stocks.

Household income, employment outlook returns to pre-pandemic levels

The study also reveals that overall spending is primarily driven by essential expenditures, which are mostly price inelastic, while non-essential spending shows less alignment with price levels. The higher income groups displayed more optimism post-pandemic.

Will Nifty hit fresh record high before elections? That depends on these 5 factors

The week may remain lacklustre on the data front as no major economic data releases are scheduled in both the US as well as the Indian market. Indian investors are likely to focus more on the ongoing earnings season as well as stock specific developments. Nifty and Sensex have reached all-time highs driven by US Fed data and expert insights. Key factors that will shape market outlook.

No reason to panic regarding election outcome: Aashish Somaiyaa

Aashish Somaiyaa, CEO of White Oak Capital AMC, discusses market behavior amidst economic momentum and upcoming elections. He reflects on historical market reactions to changes in leadership, emphasizing the market's preference for continuity during strong economic momentum. Somaaiyaa also says he has never seen a bubble where Nifty CAGR across time horizons is 14-15% compounded.

Where are interest rates headed?

However, the near consensus in the market is that India’s superior growth and earnings potential for many years to come justifies higher valuations.

Navigating economic horizons: RBI's role in FY 2024-2025

RBI's nuanced approach in FY 2024-2025 balances growth, inflation, and stability. Expect cautious yet proactive policy rates. Strategic reserves, global index inclusion, and fiscal discipline shape India's economic landscape.

How GST ensured fast credit growth to MSMEs

In January 2024, credit to the industry expanded by 7.8% y-o-y, down from the 8.7% growth recorded in January 2023.

High-yield debt investing: Limiting high-yield debt to 10-25% of your fixed income portfolio

High-yield debt investing presents opportunities for higher returns but involves risks like default and liquidity. It's crucial to limit exposure to 10-25% of the fixed income portfolio, considering factors like diversification and credit risk.

Ashmore counters consensus with big bet on China over India

With $6.5 bn invested in emerging equities, the fund has allocated 26% of its EM equity fund to China, while reducing India to less than half that, according to Edward Evans, a London-based EM equities portfolio manager. He cites a divergence in valuations as the main reason for the decision.

Ashmore counters consensus with big bet on China over India

With $6.5 billion invested in emerging equities, the fund has allocated 26% of its EM equity fund to China, while reducing India to less than half that, according to Edward Evans, a London-based EM equities portfolio manager. He cites a divergence in valuations as the main reason for the decision.

Wall St Week Ahead-Surging US energy shares reflect robust growth, inflation worries

Some investors also believe rising energy shares could hedge against U.S. inflation. Consumer price rises have proven more stubborn than expected this year, threatening to restrain the broader stock rally by undermining expectations for how much the Federal Reserve will cut rates in 2024.

Daniel Kahneman, Nobel-winning psychologist who upended economics, dies at 90

Working with psychologist Amos Tversky, Kahneman isolated biases that distort decision-making. These include aversion to loss and how the way a question is framed can affect the answer. For example, if a health program will save 200 lives and result in 400 deaths, whether it's accepted may depend on whether its proponents highlight the lives saved or the lives lost.

Indian PhD student Cheistha Kochhar, who got married last year to an IT professional, dies in London cycling tragedy

Indian scholar Cheistha Kochhar tragically died in a London cycling accident. Formerly associated with NITI Aayog, she was 33 and pursuing a Ph.D. at the London School of Economics. Amitabh Kant, ex-CEO of NITI Aayog, mourned her on social media, lauding her intellect and courage. Cheistha was fatally struck by a garbage truck while cycling, her husband Prashant nearby.

Why the Budget needs to do something ‘special’ in healthcare

​​​The number of individuals with disability is expected to rise and as per WHO, 21% of the population across various continents have some disability or the other.

Stubbornly high inflation is holding back consumer discretionary spending and corporate investments: RBI

There have been clamours for interest rate cuts after RBI paused for five times in a row and following softer inflation prints for September and October. "Such views imperil the conduct of monetary policy in the pursuit of its goal of durably aligning inflation with the target. These views also undermine the foundations of growth," the report said.

Law of Inertia in the context of investing

The outside forces will disrupt the steady state every once in a while, but an investor or advisor who can maintain inertia in a positive sense, will have a better chance, in my opinion, to create wealth over the long-term. But don’t take my word for it. Let’s look at some studies worldwide which highlight investor’s activity, or the lack of it.

Is economic progress enough?

Amidst India's advancements in economics and technology, the country is still plagued by its lack of civility and responsibility. Incidents of public urination, littering, and indiscipline reflect a deep-rooted degeneration of Indian civic society. To remedy this, there needs to be value education in schools with teachers trained as positive role models, a civic police force that can book offenders, an index tracking public behaviour, and programmes on civic and social behaviour aired on popular media channels. India must improve its civic culture, and it must start with education and social reform.

The psychology behind financial decisions: How our minds play tricks on our investments

In this blog, we'll unravel the hidden psychology behind investing, exposing the quirks and biases that can turn even the most logical investors into emotional rollercoasters. So fasten your seatbelts and get ready for a thrilling ride through the world of behavioural biases!

ETGBS 2023| Future of organisations: Anita Williams Woolley, Professor of Organisational Behavior and Theory, Tepper School of Business