Follow trends. Bhav Bhagwan Che

Today’s Daily Byte

The market is down 1.32%, and in just the last five sessions, we've given up most of the gains from the January mid-bottom. The market is still searching for its bottom. We had one major dip going into mid-November, followed by a bounce. Then, we dipped again in mid-January, had a small bounce, and now we are dipping further.

Should you stop your mid and small-cap SIPs? That is the discussion that has been going on since yesterday. Yesterday’s Daily Bite was also a big discussion on this subject, and today I’m going to show you some data. You can decide after watching that data if stopping SIPs makes sense or not.

Reading Time : 4 Minutes

Follow trends. Bhav Bhagwan Che

Alibaba (BABA) has been a frustrating stock for investors over the past decade. Recently, the stock moved from $80 to $100 on the discovery that it has a strong AI engine and has invested in Deep Sea, making it a serious AI contender. The company has an impressive market share in its space, and its financials are nothing short of extraordinary. In the last ten years, revenue has grown 15 times, free cash flow has increased six and a half times, and earnings per share have more than doubled. Yet, despite these incredible numbers, the stock has been stuck in a frustrating cycle... . . . .

Reading Time : 4 Minutes

Reward doesn’t come without the Risk !

A very interesting table from Charlie Bilello’s X account gives insights into how different asset classes have performed in the US market over the past 96 years. If an investor had stayed fully invested in stocks through the S&P 500 Index, they would have earned a compounded annual growth rate (CAGR) of 10% in US dollar terms. After adjusting for inflation, the real return would have been 6.9% per year. In approximately 73% of the years, stocks gave positive returns. However, the volatility was quite high at 19.5%, and there were periods when the market faced major drawdowns, with the worst being a 65% drop before recovering.. . . . .

Reading Time : 3 Minutes