Transferring Your Holdings to Your New Account

To bring your existing holdings over to your new account, you will need to execute what is called an “Off Market Transfer.” This will be initiated by you, with your old broker.

  1. Obtain a copy of your Client Master Record (CMR) from Composite Investments (signed and sealed.)
  2. Attach the CMR to the demat account “close and transfer” form of your old broker.
  3. Submit these to your old broker along with your self-attested PAN card.

Once you submit the request for transfer to your old broker, it typically takes about two weeks before your positions are reflected in your new account.

Weekly Recap: Buying More Stuff Makes You Miserable

world equity markets 2014-03-07.2014-03-14

The Nifty ended the week -0.34% (-1.21% in USD terms.)

Major
DAX(DEU) -3.15%
CAC(FRA) -3.44%
UKX(GBR) -2.75%
NKY(JPN) -6.20%
SPX(USA) -1.84%
MINTs
JCI(IDN) +4.11%
INMEX(MEX) -2.95%
NGSEINDX(NGA) -2.01%
XU030(TUR) +0.47%
BRICS
IBOV(BRA) -3.52%
SHCOMP(CHN) -2.60%
NIFTY(IND) -0.34%
INDEXCF(RUS) -7.61%
TOP40(ZAF) -3.35%

Nifty Heatmap

NIFTY heatmap 2014-03-07.2014-03-14

Index Performance

index performance 2014-03-07.2014-03-14

Top winners and losers

CUMMINSIND +6.26%
BPCL +6.41%
IDFC +8.66%
INFY -9.25%
SAIL -9.13%
SSLT -7.94%
Infosys got whacked on muted growth outlook and Sesa on falling commodity prices thanks to a slowing China. Cummins: a well managed cap stock with a strong balance sheet that is transitioning from a value stock to a momentum stock.

ETFs

INFRABEES +10.26%
PSUBNKBEES +2.75%
BANKBEES +0.70%
GOLDBEES +0.54%
JUNIORBEES -1.36%
NIFTYBEES -1.50%
Infrastructure, the last two weeks has seen a reversal of fortunes. Will it last?

Advancers and Decliners

ad line 2014-03-07.2014-03-14

Investment Theme Performance

The tech-heavy momentum strategies under performed. Mid-tier IT stocks were the worst.

Sector Performance

sector performance 2014-03-07.2014-03-14

Yield Curve

yield Curve 2014-03-07.2014-03-14

Thought for the weekend

Instead of making us happier, getting more stuff drags us down. In a new paper published in the journal Motivation and Emotion, Knox College psychology professor Tim Kasser shows, through a series of experiments spanning from six months to 12 years, that when people become more materialistic, their emotional well-being takes a dive.

The connection between our stuff and our self-esteem is a two-way street: If we become less materialistic, our well-being will improve. If our well-being improves, we tend to be less materialistic.

Source: Here’s Proof Buying More Stuff Actually Makes You Miserable

Takeaways: Day Trading in Taiwan

day-trader-geek

Found a paper that came out in May 2011 that studied the skill distribution of day traders in Taiwan an interesting read. Here are some excerpts.

Study period: from 1992 to 2006

Interest area: First, the authors are interested in analyzing the cross-section of speculator skill, and day traders, given their short holding period, are almost certainly speculators. Second, the signal-to-noise ratio regarding investor skill arguably is greater for day traders than for investors with longer holding periods. Finally, day traders incur substantial trading costs and receive quick feedback about their trading ability.

Shyam here: I am not sure about the second part. You cannot compare skill levels based on returns across different holding periods – apples to oranges.

In the average year, about 360,000 Taiwanese individuals engage in day trading and about 15% of these day traders earn abnormal returns net of fees. Of course, some outperformance would be expected by sheer luck. However, about 1,000 day traders (less than 1% of the total population of day traders) are able to predictably outperform.

Conclusion: The most profitable day traders are not liquidity providers, as they tend to place aggressive orders in
anticipation of price moves. The most successful are heavy day traders with a history of profits who are willing to short and who concentrate in a few stocks.

Source: The Cross-Section of Speculator Skill Evidence from Day Trading (pdf)