The IPO Flood & My Investments

I decided not to invest in RPP Infra IPO. I am not impressed for various reasons, as I stated in my earlier post. I earlier thought of taking a punt may be for 1 full application but now that we are close to MOIL & SCI issues, with Claris Life Science in between, I am running out of funds. I will review Claris Life Science RHP and take a call.

It will be a good strategy to apply using Rs. 2 Lakhs limit. If we want to apply full limit, for both MOIL & SCI, for all in Family, we need a huge amount. I hear that Hindustan Copper plans the FPO around Dec 6. Then there is Lavasa & then there is IOC planning issue by end of Jan 11.

What this clearly means is that we need to be ready to utilize the opportunities that are coming in. So I need to review our portfolio and liquidate less profitable investments. I think its also time to sell 199 Shares of Coal India that we are still holding on. I can hold for some more upside but I think its sensible to keep funds available for IPOs, in this scenario. I know all this means a lot more churn in the portfolio and more brokerage payments, but I am OK with that ! Would have also liked to leverage my LIC Jeevan Shree policy and take a bit of loan but my wife won't allow :(

A quick review of MF Portfolio reveals that Magnum Contra & Magnum Tax Gain are not doing very well. I know both are good schemes and have done well in past but this is sort of forced ranking since the objective is to try & get best returns. Table above is a comparative rating of key MF Schemes part of our Portfolio. On the Stocks, the only possible stock I can liquidate for now is NTPC. Though its not unlocking any great liquidity, I am still going ahead !

I also decided to subscribe for Equity Masters Hidden Treasure Service. Seems like some discounted rate of Rs.2,950 for a year's service. Not sure if they would offer to all. Would get one Small cap stock recommended every month. Seems like pretty much researched. Though again, I don't know where will I get funds for investing :)

One of their report talks about MIC Electronics. I originally invested in their IPO and sold off quickly as usual. There was a stock split so its difficult to compare the price but I don't think there is a huge difference in the price. Its about Rs.35 right now & I plan to invest. So why now? I agree with the investment rationale that there is a tremendous opportunity in the LED Market. MIC has a monopoly.

LIC Housing Finance & Shriram Transport are 7 to 9 % down compared to Nov 5, Murhat Trade. So I will bye some more.

Regards, Rohit