Droplet Wealth

     At the outset, Wish you all a happy and prosperous New Year 2026. Just as our New Year greeting card, May this year be like a Well-Planned SIP - Small Consistent Efforts, Big Future Rewards      Rewards are but the fruits of success and success is what seems elusive to most of us, especially when it comes to our investments or financial life. As we step in to new year, we think its good to talk about things err "the thing" that will guarantee investment success.      Without much ado, let us blurt out the secret - "The Goal Post" and here's a wonderful quote by Ian Cassel in "Psychology of Money" on goalposts       Oh well, we might just have jumped the line here by directly talking about " getting the goalpost to stop moving " while most of us have challenge in setting the "right" goalpost, blame it on social media induced  avalanche of spontaneous acts of spending that hardly leaves anything on the ta...

                           Sankaran Naren is the Executive Director and Chief Investment Officer (CIO) at ICICI Prudential Asset Management Company (AMC), since October 2004, initially as a fund manager and then as CIO (from 2011 onward), overseeing investments and flagship fund strategies.  He handles a mind blogging sum 10,65,83,00,00,000 (around 1 lac 10 thousand Crores) in just the four flagship funds with a return profile as below  -  Healthy Reminder - A humble 30K SIP over 15 Years will grow to 2 crores if the SIP compounds at 15%, Here Naren has done better that 15 in almost all the funds So when a giant like Naren talks, We listen and Here's what we heard him say -  Lets begin with Risk, Everybody today is so hunki-dori, Where does the Risk actually lie - Its with People buying High PE stocks and giving exit to Promotors Alright, then I think Gold is not Risky, Here's his opinion on Gold ...

                 Imagine Its Mar 2020, the Covid is at its peak, the Market has crushed. Anything and everything that you bought at that point would be a multi-bagger, 50X, 20X & 5X and what not!                But Markets are markets and aren't we all supremely lucky! Now Imagine buying a wonderful company that had given stellar returns and had barely fallen in Covid crash. We run our minds and say - Hey this is well known company, its products are great and look it hardly corrected even in such might Market crash-  This should be great company to buy and of course you buy!  Bingo, you hit jackpot.  But no Bingo! 5 Years later, here's how the Stock returns look like -  A grand return of 1.83% from Covid Lows! We can as well curse ourselves for not simply doing a RD which might of fetched us a return much higher. Enlighten me! how can a stock perform this bad since Covi...

     Lets roll back a decade or two - the early stages of  Information Technology or Information technology-enabled boom. I belong to that decade. I graduated, had a fairly good english language proficiency. This enabled me to get a job in one of the earlier GCCs established in our country. Over the past decade and half, this job with the regular promotions and increments, helped me  steadily  migrate economic classes. Today I have a decent standard of living, a standard which a decade and half back, I would assume "luxury" given my economic strata. This must be true for most of us who passed out in 2000s - 2010s.  And all of this happened because of a single reason - "the labour arbitrage" - availability of cheap "skilled' labor in our country viz-a-viz the cost of doing the activity in the parent nation of the employing country (The US, Europe & Australia to some extent).       With this backdrop most of us have lifestyle that...

We happened to come across this wonderful piece about habits in the book - Atomic Habits... by James Clear. It resonated so much with us and it looked so true as well. We just would not take the thought out of our mind once we read it. Please read it for yourself, before I continue my charade -          Remember what our own Charlie Munger Said - "Invert, always Invert" James above talks about continuing a habit but when it comes to personal finance, forming a habit itself is a big challenge and here's our "inverted" version how to simply - Start the habit of savings  Just try to do it twice - start immediately to save for next 2 months.  If you start once, you had get back to it twice naturally. Just make sure the 1st one happens, the 2nd one will happen automatically in a row. Maybe you'll struggle with your finances for the 1st month but you'll follow up with a plan for the 2nd month. You can't be perfect but You can avoid "not starting at ...

 Whats the connection between Sports, History and Expectations and more importantly with what our line of business is - "Wealth Creation". Well, you will figure out soon. 1st lets cover the history part of the story. Below are the 3, 5 & 10 Year Returns of the Nifty50, Nifty Midcap 150 & Nifty Smallcap 250. Quite handsome returns aren't they?  Now lets talk Sports and more specifically 2 sportsperson -  Alastair Cook  - the Test Great Yuvaraj - The White ball Wonder Cook was a test match great & Yuvi was a white ball wonder, made for big tournaments. Both have achieved so much in the respective formats. Imagine, if these two had a conversation what would that go like -  Well it happened in May 2015 when all of Yuvraj's heroics were a little history but he was still hot property in IPL and Cook has just gone past 10,000 Test runs -  So, here's a winner of 2 World Cups, Man of the Series in one of them talking to one who never even got the chance ...