Tuesday 2 November 2021

Its not only governments' but our responsibility.

 Every person on earth should invest some money in ESG (Environmental, social, governance) fund for four reasons.

Firstly, will give very good return in years and decades to come as world leaders's focus on this not as a choice but compulsion considering climate change, maintaining ecological balance etc. Every economy will not only promote but incentivise such industries/companies falling under ESG.

Secondly each one of us in some way or the other responsible for this problem and each one of us have to contribute for betterment. Lets's not think it is only a problem of policy makers across globe but every human being on this earth. Planting of tree, no/less usage of plastics, less usage of petrol etc can be other option but if not able to do any of these then at least can invest some amount in ESG fund.

Thirdly with more money flowing in ESG fund it will motivate industrialist/promoters/management to become more ESG conscious and irrespective of government policies will work on improving on this side as not only it will help their equities to grow but also make them more responsible towards the world.

Fourth, each one of us rejoice and celebrate when a new member arrive in our family but has anyone of us ever thought what future we are giving to the newly born? Lets be more responsible towards our next generation and reverse the cycle of damage now.

(Nurture India Consultants initiative on investor guidance) #money #economy #future #climatechange #investment #environmental #invest #india

Monday 1 November 2021

Equity a long term investment ?

We often hear from experts, Equity is for long term. It's not clear. Which company's equity? Be specific and not generic. What is this long term? 5 years, 10 years, 15 years.........? Who can say of more than 6000 listed stocks how many will survive this vague long term. When we say long term survival with good growth then how many of us are sure that today's quality will be everlasting. Other than some odd 100 companies in India, today can anyone say for sure how many companies can be really called quality companies to last life long? Everything is just a guess.

My observation is for more than 99% of listed companies in India no surety of long term quality continuation. It is only a game on valuation more on short term sentiments. Yes after 10 years or 15 years or 20 years ..... from now we might say X company turned as quality company. History says maximum companies have either failed or growth stalled after some years and only few companies went a long way or still growing.
Think again when someone just says for anything to justify that "Equity investment is for long term".
( Investor guidance effort from Nurture India Consultants Pvt Ltd)