Monday, November 21, 2016

Market Turmoil and We Investors

Rajesh Sharma

Market fall down sharply. Today, it closed in nominal green zone.
I was surprised seeing market down for several days. I tried to understand the reasons. People discovered many reasons but for me, there are no convincing reasons. Yes, there are many peripheral reasons, and some speculative reasons.
Hence, I have come to the conclusion that the market movement was due to demand and supply factors contributed by several peripheral reasons including India's demonetization of 1000 and 500 Rupees notes, which triggered on speculation about probable investigation on black money injected into Nepali share market. The fear among a few big investors expanded and spread like wild fire that engulfed even small investors. Moreover, this was not a single reason and other many small-impact news, greed, hurry, crowd mentality, intrigues, rumors all played small or big role. Hence, we all were in confused state of mind. In this cloudy state, some of us sold, some bought and many hold.
Now, the dust seems starting to gradually settling down. What we did during the days of turbulence was right given the situation. Profit and loss are part and parcels of any business. So, happened that way. We might have accumulated profit or we might have incurred loss; that all is past now. We can not change the past, nor we could guarantee the future course. Hence, the most important responsibility for us for now is making peace with ourselves.
Still, the turmoil in the market has not been over, nor that would be over infinitely. Hence, we should sell or buy or hold according to our situation and choice. However, in any case we should not forget our roots and we should not loose hope. Beyond investment also there is a beautiful life.
Disclosure: I hold all my shares during the days of recent market turbulence. I had loss in paper of about 9% in the last two months.

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