Finance School

  Foreign Stocks / Overseas Brokerages If you are buying foreign stocks , or stocks held in foreign accounts (e.g., US stocks or RSUs via foreign brokers), disclosure rules change: Schedule FA is used to declare foreign assets. Schedule FA follows the calendar year (Jan–Dec) , not the Indian financial year. As of the web sources, your AY 2026-27 (corresponding FY 2025-26) would only include assets held between Jan 1 – Dec 31, 2025 . Any foreign stock purchased in July 2026 will fall in FY 2026-27 → AY 2027-28. Practical implication: No foreign stock purchased in FY 2026-27 needs to be reported in AY 2026-27 . It will be reported in AY 2027-28 . Eg. If you have done a stock purchase of 50,000 INR on July 1, 2026, you do not have to report it in your ITR for FY 2026-27 (AY 2026-27). # For foreign stocks, you are required to report asset holdings in Schedule FA for the relevant calendar year. Eg. if purchase is in 1 July 2026, report it in Schedule FA[foreign assets] & CG[capit...

Warren Buffett and Charlie Munger's long-term investing philosophy is based on buying outstanding businesses with durable competitive advantages, paying a reasonable price, and holding them for many years. Rather than trying to predict short-term market movements, they focus on the intrinsic value of a business and allow the power of compounding to create wealth over decades. Buffett's foundation in value investing, combined with Munger's emphasis on qualitative analysis and multidisciplinary thinking, shaped one of the most successful investment philosophies in history. Core Principles of Long-Term Investing Think Like a Business Owner Buy stocks as if you are buying a part ownership in a real business. Before investing, ask: "Would I be happy to own this business even if the stock market closed for the next ten years?" Invest in Businesses with Economic Moats Prefer companies that possess sustainable competitive advantages that protect profits and market share ...

 Via https://x.com/i/status/2079312630058287192 I ASKED A BILLIONAIRE HOW HE NEVER PANICS DURING CRASHES. HE SENT ME THIS No explanation, no context, just the framework. Price falls 5% → Hold Price falls 15% → Buy 10% Price falls 25% → Buy 20% Price falls 40% → Buy 30% Price falls 60% → Buy 40% Price rises 5% → Hold Price rises 20% → Hold Price rises 25% → Sell 10% Price rises 40% → Sell 20% Price rises 50% → Sell 35% Price rises 70% → Sell 40% Price rises 100% → Sell 90% Always keep 10% as a moonbag Never go all in, never go all out  Took me one read to understand it. Took me one crash to believe it. Follow me - the people who do tend not to regret it _______ Analysis:  This framework is a structured, rules-based dip-buying + profit-taking system with built-in risk management. It combines elements of dollar-cost averaging on the way down, scaling out on the way up, and a permanent "moonbag" (core long-term position). It's emotionally helpful because it removes discretio...

Q1 FY27 Earnings: Investor Summary Key Takeaways Revenue growth of about 11–11.5% was the strongest in nearly two years. Most of the revenue growth came from price increases , not higher sales volumes. Companies passed only part of the increase in input costs to customers, leading to pressure on profit margins . Aggregate operating margins declined by 75–100 basis points . Airlines faced the sharpest impact, with margins falling by around 1,000 basis points due to higher aviation fuel costs and weaker passenger traffic. Strong performers included automobiles, aluminium, and telecom , supported by pricing power and premiumisation. Weaker sectors included IT, textiles, pharmaceuticals, and construction , affected by global trade disruptions, higher freight costs, and operational challenges. Investment Outlook Next 12 Months: Stay Selective Expect continued margin pressure until commodity costs moderate. Prefer companies with: Strong pricing power. Efficient cost managem...

  Factors influencing Gold price in brief. Money Supply (M2 / Broad Money) Strength of Influence: Moderate Notes / Mechanism: Expansionary monetary policy increases liquidity, supporting gold as a hedge. Lagged effect typically 3–6 months. Consumer Price Index (CPI) – Headline Strength of Influence: Strong Notes / Mechanism: Significant correlation during 2021–2025 inflation surge; gold reacts quickly to CPI surprises. Positive surprises (+0.2% or more) move gold ~0.5–1.2% in the short term. CPI – Core (Ex Food & Energy) Strength of Influence: Moderate–Strong Notes / Mechanism: Preferred Fed measure; indicates underlying sustained inflation trend affecting real rates. Producer Price Index (PPI) – Final Demand Strength of Influence: Moderate Notes / Mechanism: Leading indicator; rising PPI pressures gold via higher production costs and inflation expectations. Interest Rates – 10Y Nominal Treasury Strength of Influence: Moderate Notes / Mechanism: Higher nominal rates i...

  * **Information Technology (XLK):** Tracks the Technology Select Sector Index. Focuses on software, semiconductors, hardware, and cloud computing infrastructure.  * **Financials (XLF):** Tracks the Financial Select Sector Index. Captures major commercial banks, investment institutions, insurance providers, and asset management firms.  * **Health Care (XLV):** Tracks the Health Care Select Sector Index. Covers pharmaceuticals, biotechnology companies, medical device manufacturers, and hospital systems.  * **Communication Services (XLC):** Tracks the Communication Services Select Sector Index. Focuses on internet search platforms, social media networks, entertainment streaming providers, and telecom services.  * **Consumer Discretionary (XLY):** Tracks the Consumer Discretionary Select Sector Index. Includes e-commerce platforms, automotive manufacturing, retail chains, luxury goods, and hospitality industries.  * **Industrials (XLI):** Tracks the Industria...

  * **Weighting Schemes:** The S&P 500 is **market-cap weighted**, meaning massive trillion-dollar companies dictate its movement. The Dow Jones (DJIA) is **price-weighted**, where a stock's absolute share price—not its overall value—determines its impact.  * **Technology Dominance:** The S&P 500 is heavily concentrated in high-growth **Information Technology** and communication giants. The Dow features fewer tech names, and their influence is constrained by their stock prices rather than their market size.  * **Cyclical vs. Growth Tilt:** The S&P 500 leans firmly toward **Growth** sectors. The Dow is structurally tilted toward **Value and Cyclical** sectors, maintaining much heavier relative exposure to stable, blue-chip giants in **Financials**, **Industrials**, and **Health Care**.  * **Sector Exclusions:** The S&P 500 contains all 11 major sectors. The Dow **explicitly excludes Utilities and Transportation** from its core index, as those are track...