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Opposites can be equally good

 

Mark Minervini

Pulak Prasad

The process is driven by

Price is everything

(Bhav Bhagavan che)

Business is everything (Benjamin Graham)

When to buy

Buy when Institutions are buying

Buy when Nobody is buying

Churning

Buy fast sell fast

Lazy, very Lazy

When to sell

Put stop loss to protect your capital

Sell only if you find something wrong with business

Decision making

Based on charts only

Based on fundamentals of business only

What to buy

Pick any stock based on the chart pattern.

Avoid all the stocks which are not good business.

Achievement

Over a period of 5 years, a fund investment has yielded a compounded annual growth rate (CAGR) of 225%, resulting in a return of 300 times the initial investment of 1 Rs.

Over a span of 14 years, a fund investment has achieved a compounded annual growth rate (CAGR) of 20.6%, resulting in the value of the initial investment of 1 Rs. growing to 14 Rs. by 2022.


In my recent journey of reading "What I Learn About Investing from Darwin" by Pulak Prasad and "How to Think, Trade Like a Champion" by Mark Minervini, while they have contrasting strategies regarding the market I discovered striking similarities between these two legendary investors. Here are some key points:

Believing in Yourself: Both Pulak Prasad and Mark Minervini stress the importance of self-belief in investing. They encourage trusting your instincts, conducting thorough research, and having confidence in your decision-making abilities.

Discipline to Follow Process: Both investors emphasize the need for discipline in adhering to an established investment process. They advocate for creating rules and guidelines and diligently following them to avoid impulsive decisions driven by emotions.

Avoiding Outside News Flow: Pulak Prasad and Mark Minervini advise limiting exposure to external news and noise. They argue that excessive information can cloud judgment and lead to impulsive actions. Instead, they suggest focusing on fundamental factors and performing in-depth analysis.

Taking Small Risks: Both investors highlight the importance of taking calculated risks. They suggest starting with small positions and gradually increasing exposure as confidence and experience grow. This approach helps manage risk effectively while participating in potential lucrative opportunities.

Compound Your Money, Not Mistakes: Pulak Prasad and Mark Minervini emphasize the power of compounding wealth over time. They advocate for patience and long-term investing, allowing gains to accumulate and multiply. Learning from mistakes and avoiding their repetition is crucial for wealth accumulation.

Recognizing Repeating Patterns: Both investors acknowledge the presence of repeating patterns, albeit in different forms. Pulak Prasad focuses on patterns within businesses and industries, while Mark Minervini emphasizes patterns within stock charts. Studying and identifying these recurring patterns can provide an edge in making informed investment decisions.

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