How Small Investors can Earn more ? - YouTube

Warren Buffet

Warren Buffet

said once

that if today he was a Retail investor

if he was not a very big investor.

If he was a little Retail investor

then his returns should be doubled.

He is earning less because

he has become an Institutional Investor.

Why did he say that?

Now if he has told it

then there must be something.

And can you and I

we Retail investors also

Mutual Funds, PMS

Institutional Investor and all of them

can we really

earn more returns?

How?

That is what we will know today.

Hello friends

This is Pranjal Kamra

let's start Finology

Find out how

can you earn more returns than big Mutual funds

In this video.

Does it sound a little weird?

Because we have always in our minds that

if someone is an Institutional investor

take Mutual Fund's example

they have many advantages.

What advantages?

Directly with them

that company in which they will invest

the CEO of that company talks to them.

Calls them to the factory

shows them their plant.

So those Mutual Funds have

more knowledge.

They have access to management

and they can clear their doubts one to one.

It's a very big advantage.

Second, they have a good research team

with lakhs of salary

have people from IIM.

They have a very good research desk and softwares.

So after all of these things

a small

and normal investor

how can they defeat them, my friend?

So now I’m going to tell you how

in comparison to all of these advantages

big investors like these have more disadvantages.

And as a retail investor you

really

Yes Yes!

really can defeat them.

Let's go

the very first pressure

Performance Pressure.

When the entire world is scrutinizing you

so that pressure

to work well under that pressure

is very difficult.

Think that there is your portfolio

no one knows what you are earning in it.

You can peacefully make a loss in it

make profit in it.

100 people to you

teasing you, irritating you, shouting at you

no one is going to come.

It's your own money

who cares if you fully drown or double it.

But a fund manager has always that the sword on their neck

that he must every time

increase people's money.

People however have saved it

and give Rs-500, and Rs-1000 as SIP to them.

So in that

they have to keep on bringing performance.

If they have any mistake

then all the Mutual Fund's portfolio are in public.

If any of their shares drowns

the number of abuses that fund faces

whatever abuses.

I am just saying for example OK

their funds are good.

Motilal Oswal was very bullish at one time

on favorite beverages.

Who makes mango sip

they had a very good weightage.

And Motilal's share was doing very good at that time

reputation was very good.

One favorite beverage Mango Sip bet went wrong

some problems came to the company

and there was a problem with the fund's reputation.

AUM started to decrease on that fund

The fund manager also had to face criticism.

This much pressure on an individual

will never happen

we can sleep peacefully.

Mistakes are made under this pressure.

And there is an extended point to it.

Know what?

Just think about the fund manager.

For one

pressure like a full stadium

are you missing the ball or hitting a six

everyone is watching.

Which stock is going what

everyone is watching that.

So it's pressure.

In that case, they will not take risks.

He will think that

Man

I should take Infosys.

Tomorrow if it falls

Infosys is lying in more than 1000 Mutual Funds schemes.

People will badmouth right

everyone has to hear it, not only I will get stuck in it.

Why would I take a share which no one has

which no other Mutual Funds have.

If it went wrong

then everyone will tell me that

You wanted to be a big hero

why did you take that share? no one has taken it.

So I don't want to take such a risk.

Second thing

Job my friend

Job is dear to everyone.

Everyone has to bring home money

take care of their family

what's wrong with it?

Now if they have taken a risk

and the share flipped

then their job is gone.

So it's better not to be a hero

go safely.

See that what Mutual fund is A taking, what Mutual fund is B taking

what Mutual fund is C taking

I will take what everyone is taking.

I will do an average performance and my job will be safe.

What will I get if others earned more

if my investors earned more.

Opposite if I made a loss then everyone will make me a villain

and badmouth me.

I don’t want to become a hero

I will just keep on giving an average return.

So

most of Mutual funds every time

the aim in safety and average returns.

This structure becomes like this

this much pressure

and the greed to save their job becomes this big

that they can’t anything unique or different.

Where no one is going there they cannot go.

As a Retail investor

you are completely free my friend.

You can go wherever you want

take some risks with a little money.

You can do as you want

depending on your risk profile.

It's not like

you risked all the money, but

if you want

you can go there where Mutual Funds can't go.

Third

I have talked about an important advantage it Mutual funds

That they have Management Access

they can talk with the management.

Is it a matter of benefit or loss?

Not the benefit is that you can ask them

doubts can be cleared.

Sometimes we read about companies

we don't understand should we take that company or not.

However

we have given so much data in the Ticker's company page

that this doubt doesn't remain much.

Document section is there

in their Credit Rating Reports, Investor Presentation

Con Calls, Angle Report

every type of research report is there about every company.

So

not many doubts are left but some are there.

So if management access is there, then you can talk with them.

But now my friend thinks the opposite way.

They are the company's owners.

If you ask the company's owner that, how's this company?

Then he will definitely tell well.

If you

ask any parent, how's your child?

then parents will always see good things in their children.

Just ask their teacher or friends

how they really are?

Then the truth will come out.

So

it's the same thing

that

if I ask questions to a companies owner

they are a very good salesman

that's why made such a big company

which is listed in the share market.

Then they are a very good salesman.

In opposite, they will show me good things

and they will convince me

they why

you must invest your Mutual funds money in my company.

They want to increase their company's share price

they want more and more Mutual funds.

"Invest in my company"

so they are selling me their company.

So I was thinking my doubts will be cleared

and he is sticking his product to me.

Just as salesman do, they are sticking their share at me.

So what's the benefit of this kind of Management Access?

On the contrary, it will only harm.

Do you what will happen?

Think that

HDFC and ICICI Bank for example

HDFC's management didn't give time to meet up with me.

ICICI has given me time.

So

I have already created a biasedness that they are good people.

They meet-up, gives answer to my questions.

HDFC ones

they are rude, I don't want to invest there.

So all of these biases also come.

From it

harm happens the most.

After that next thing

that they have big research desks

many intelligent people with lakhs of IIM package.

What's the benefit?

When you have tied their hands.

Now you told Usain Bolt to win a 100 meters

but I will tie both of your legs with rope and put them in a sack

so you have to do a sack race.

So he will obviously lose, no matter how good he is.

You have tied him up.

It happens a lot in Mutual funds.

Think there is a Large-cap scheme

now SEBI says that it's a Large-cap scheme, my brother.

You have to invest your money from these 100 stocks.

Now no matter how good that Research Analyst is

they cannot get out of those 100 shares.

They have to invest only in those 100 shares.

Then where will they bring returns from?

As an Individual investor

you don't have this limitation.

Let it be a Flexi-cap fund, a Multi-cap fund

there are also many restrictions.

Sometimes restrictions come from AMC level.

That

company's minimum credit rating should be this.

Only then we will think of it as investment worthy.

Or it can happen that

this scheme mandates are valued stocks.

So don't go with growth

if there is growth then don't go with value.

Many restrictions come

even if those people are smart

but because of the structure

this much formality, hierarchy and restrictions come

that no one can openly

show their talents.

Now in cricket if you make someone the 12th man

no matter how good he is

he won't be able to win the match.

How many matches can he win by giving out water

he can't win.

So many things happen that

people are very intelligent

but they

become the 12th man.

And the funds are governed by the rules and policies

Now

I am not saying that it's wrong

Mutual funds are safety oriented.

People invest their savings money.

So having this structure

even if the returns are a little less

buy people's money

the first priority is to keep them safe.

So this is not wrong

it must be like this.

I am not criticizing Mutual funds.

But I am saying that

because of these reasons

an individual gets the chance to learn

if they learn

in-depth investing.

How will they learn?

Like now we have

at Finology quest

its link is in the above card and video's description.

There are more than 35+ courses

on different industries

on different mental models

on different valuation models

on learning financial statements.

All of these courses

with just one subscription

Finology One which is Rs-500 per month.

You can get all of these courses by taking it.

In fact

if you want

with a few additional fees

you can also take the Bombay Stock Exchange Institutes certificate.

Which can help you

if you want to make your career in this field.

So if you want to prepare yourself

to make more returns in Direct investment in comparison to Mutual funds.

Then to start with Quest

is going to be a good idea.

And now last

this is our most unfair advantage.

It is always said that

only big people get big advantages.

The world is not fair

in the stock market

small investors, Retail investors

has the advantage.

And big people

are at a disadvantage.

They have a loss, we have profit.

This is a very good rule

do you know what?

If a Mutual fund invests in any stock

then it's important to be disclosed in the public.

In any company, if someone is of more than 1% of its shareholder

above 1%.

Then they get disclosed in that company's financial statements.

Meaning any big investor

is buying a lot of shares of a company

and they have more than 1% of their holding.

Then they will come in that company's results.

In fact, we have

do you know what we have done?

You go to Ticker

there is a Super Investor's section

there you will see all of India's top investors

are investing in which shares

and what shares are they getting out of

you get the whole list, investor by investor.

So you can also spy on them.

You can follow them.

You don't need to blindly clone them

but you can guess

that where are they going, in what industry are they investing money.

Now

we can spy on them

but they can't spy on us.

because what company do we have 1% of ownership?

If we have a few shares

then disclosing is not necessary.

That means

we can see what they are doing.

They cannot see what we are doing.

Think

if it was a war

and in war, we have a third eye

and we are seeing all of the enemy activities.

Where they are hiding, running, what they are planning.

And the enemy is not knowing anything about us.

Then who will win?

Maximum chances are that we will win.

It's just like that.

In the stock market

we

our enemies, who are the big investors

we are able to spy on them like Big Boss.

And they

can't do it.

And we are helping you with this spying

with Finology Ticker's Super Investor section.

So spying on super investors

keep doing it.

But

You know who you can't spy on

you can't spy on us.

Because in our model portfolio

which stocks are there?

Which 15-20 stocks do we like?

This in public

is not available.

But it is available

with that Finology One membership

link is in the above card and video's description.

Hope that you liked this video.

I will be bringing more such videos

and like every time

my aim is

as an individual investor

that you can feel more confident.

Because if I think I'm a teacher

then a teacher's job is not to teach everything.

A teacher's job is

those who are following the, are watching them

just instill this faith in them

that they can do it.

And awaken interest in the subject.

If that happens

then everyone will automatically become a successful investor.

So I'm hoping that from this video

the fear that we have

we cannot defeat big investors

what are we in front of them?

They are operators

many times we think that operators take our money.

Many people enjoy saying that

operator! operators did that!

They dropped the market! Operators!

So we always think that

"We are just lambs to slaughter."

And someone always beats us.

So this feeling

with today's video, I wanted to get rid of that.

That they must have some advantages

but we

have more advantages than them.

And there is no need to fear.

This is Pranjal Kamra

signing off

Bye Bye