BOLD PREDICTION for India Stock Market 2026 | SIP, War & Retirement | Karan Dutta | FWS 118

Hinzugefügt: 2026-05-30

[00:00:00]If we invest the money and let it be, it can go up 300 times. Welcome to the One Person Club Show live.

[00:00:10]>> Leman Brothers filed for bankruptcy.

[00:00:12]Rupee is crashing, sentiment is crashing, growth rates are coming down.

[00:00:16]>> You are somebody who went through the 2008 financial crisis as well where the markets crashed by 70%.

[00:00:21]>> Plus, I lost my job. How did you go through that situation?

[00:00:24]>> I have a solution for that. It's called the >> So when that fall happened, you did invest. I had some three four lakhs lying with me. I said 70% immediate that three became some 40 lakhs today. What is your asset allocation?

[00:00:38]>> I'm 70% equity about 30% fixed income and no gold.

[00:00:54]We have lost at least onethird of an economy to terrorism and we faced 6,000 attacks.

[00:01:01]>> Terrorists targeted tourists in Kashmir Gam. Blasts ripped apart the city and the heart of Mumbai. Every large terror attack in India has taken away half a% GDP and 2% investment growth in the year of the attack.

[00:01:17]>> This year is probably like one of the worst years. Like there is going to be a huge stock market crash. Do you think it's going to get better from here? From today on this, I'm taking a big risk here. This is definitely my boldest prediction ever. I think we're entering the So guys, welcome to the One Person Club Show live.

[00:01:46]Mr. Karan Data, thank you so much for coming once again to my channel. This is the second time you're coming after almost three and a half years. Uh the first time we did this was in my older office in South Bombay.

[00:01:58]>> Uh and back then you were already financially free, >> right? You I believe you had retired with the 20 cr kind of a portfolio back then.

[00:02:08]>> Um but before we you know begin the conversation would love to ask you at what point did you feel like you were financially free? Like I'm sure you did some numbers mathematics in your head.

[00:02:20]So at what was that decision point for you >> because that was at the peak of your career if I'm not wrong?

[00:02:25]>> Absolutely. Absolutely.

[00:02:26]>> Uh no thanks Shahun for calling me again and namaste to everyone on the audiences and to all of you. Uh your office is lovely.

[00:02:35]>> Thank you.

[00:02:36]>> It's very nice. Uh >> the financial freedom number that I'd always had in my mind was 10C cr.

[00:02:45]>> Okay. So I had worked that number like there was some there was something I'd worked like backwards but somehow I stuck my head around a number of 10 CR and I said the day I hit 10 I'll walk away.

[00:03:00]>> And how old were you when you thought about this?

[00:03:02]>> 40.

[00:03:02]>> At the age of 40 and today you are >> 55.

[00:03:06]>> 55.

[00:03:06]>> I'm 55 now.

[00:03:08]>> But at 40 I decided that if ever I touch 10 I'm off. I I don't want to do this anymore. Okay. And there was a reason for it. Shahan because I realized that the corporate world is brilliant. It's really nice. It's given me everything.

[00:03:20]But there has to be a time when I invest in myself.

[00:03:23]>> Okay.

[00:03:24]>> Like in my interests, in things I love to do. The corporate doesn't allow you to do it beyond a point. So, uh >> like take five vacations a year.

[00:03:35]>> Yes.

[00:03:36]>> Go to golf classes.

[00:03:37]>> Yes. Every day.

[00:03:38]>> Everyday golf.

[00:03:40]>> Yes. I'm notorious for that. But uh that's life, isn't it? Yeah.

[00:03:45]>> And that led me to believe that individuals thinking I'm the only one from my set of friends and generation who still alone. Everyone is still working.

[00:04:01]>> Very few people walk away.

[00:04:03]>> So most of your friends who are 50 50s in their >> working still working.

[00:04:06]>> They're all working and I credit them a lot for having the energy and the stamina to do it. uh but I'm spending my energy and stamina on other things.

[00:04:16]>> So and I also remember the the year you left your job like forever you were already making a cr a year if I'm not wrong at that point of time >> my salary was I think 1 and a half cr >> you left at 1 and a2 cr salary you left and how old were you that time when you left? Uh 48.

[00:04:32]>> 48. Is that the age at which you achieved 10 year?

[00:04:36]>> 10.

[00:04:38]You could not stop.

[00:04:39]>> I know. Well uh I was very lucky.

[00:04:43]>> The firm had given me stock options that materialized.

[00:04:46]>> It the the unintentionally I made some money. So now let's talk about how exactly you achieve this number >> because for for most of them you know having that 10 crores seeing in their bank account >> not talking about house talking about 10 crores in mutual funds and stocks >> liquid >> that itself seems like you know probably might never happen >> right >> so >> can you break down your entire financial journey like how did that change for you what were the key moments in your life >> where these transformations happened for It's a great question and I'm glad you asked that question because there I'm going to share with everyone one incident in my life that took place which allowed me to come to the mutual fund industry and Sharon that allowed me to understand decades investment pat so I'm going to share with all of you a very personal incident that happened a friend of mine and me were in the lift going for an interview at Rajendra Place which we just heard right now. We were going for an interview >> to join a finance company. This is back in the 1990s.

[00:05:59]>> Okay.

[00:06:00]>> And the two of us were not sure finance.

[00:06:03]We had no clue.

[00:06:08]And uh both went for the interview and the people who were interviewing they just randomly chose me.

[00:06:18]>> Okay. They said okay you join. And I was very scared idea what I'm getting into.

[00:06:23]This is the era when mutual fund had not even started. This was an era of lending and borrowing. So I joined that company came into the world of finance. But in 1998 the second biggest decision I took after the lift while decision was to join the mutual fund industry. I left this lending business and came into something that no one had ever heard of. Let's do mutual funds. Both the decisions gave me what I think is God's gift to me. It allowed me to be in an industry which thinks so long, which creates wealth and which has allowed me also to make some money. So these two decisions were very very key to my planning. After that when I started investing I realized boss wealth creation journey it's it's a great journey Shan in our industry now we have a 30-year track record of mutual funds 30 years funds are up 300 times 300 times the worst one is up 150 times is there anybody here who has been investing for uh 25 years in mutual funds so sir's example is have you seen your money multiply by 300 times you've withdrawn also. So >> which is fine. Which is fine. What I'm trying to say is that >> if we let if we if we invest the money and let it be >> it can go up 300 times >> is is is my training.

[00:07:56]>> No, I actually recently read um read a post by a mutual fund company where they were talking about the performance of that fund for the last 25 years and they said that the fund got 22% CAGGR. Wow.

[00:08:10]>> But when they went into the details and saw how much percentage of people actually got 22% CR >> no one >> that number was less than 2% of people.

[00:08:19]>> They're lucky they got 2%.

[00:08:21]>> Right.

[00:08:21]>> And this is the biggest thing I want to leave the audience and everyone listening to us today that the funds always deliver. We get impatient.

[00:08:31]So talking about impatience, let's talk about the current situation >> war right and um maybe as of today maybe things are settling down but you never know every day is different and every day have been surprising us in 2026. Now you are somebody who comes from the your your dad was in the army if I'm not >> airce force >> fighter pilot >> fighter pilot and you've been very passionate about this topic every you told me earlier today that every day you study this topic for at least 4 hours >> 4 hours a day >> right so what can you tell the audience here today about what is happening in the world today and what it means for their money is this something new cuz people like at least like me >> who have been investing for the last 8 This is new.

[00:09:18]>> This is new for me.

[00:09:19]>> This is new. This is new. Uh >> okay. So the world order itself is changing.

[00:09:27]>> Let's start with that. And many countries now want to become they want to portray leadership. It has been the dominance of the Americans for 50, 60, 70 years, perhaps even 100 years. But now even the Chinese want to play.

[00:09:44]So do the Russians which is a which is an old power the Soviet Union it is now it's still a very powerful nation but they are also playing they want to throw their hat in the ring that Hian >> so the Americans are there the Russians are there the Chinese are there and so are the Indians >> we also want to try >> we also want to play you're seeing that around you that even what is Amritkar 2047 the definition of Amritkal is you want to become a developed nation But they want to share problem and the world order is changing and there is that change is causing a lot of restlessness within the existing powers.

[00:10:34]That's the that's where I'm coming from.

[00:10:37]>> Yeah. So because like I said the pie is the same but each country wants a bigger share. That is an economic format of war. And what is an economic format that the Americans are best at producing very advanced semiconductor chips.

[00:10:57]So to curtail Chinese growth they told the Chinese we won't give you the semiconductors because better so what did the Chinese do and the Chinese need semiconductors right their entire manufacturing is based on semiconductor so the Americans said we won't give it to you right so what did the Chinese do the Chinese control rare earth processing now there's nothing rare about rare earths but 90% of processing is controlled by China it's a very dirty manual very unenvironmental friendly job which they've been doing for 40 years. Rare earth mining processing everything you see in your office is a product of a rare earth's processing that is 90% controlled by China usage is in defense equipment also making an F-35 sensors the radar systems in missile systems so the Chinese said we won't give you the rare earth are you not now at loggerheads so what I'm saying is that the world order is shifting slightly on top of it.

[00:12:00]What has also happened is countries like India and Israel have taken a very hard stand on terrorism.

[00:12:11]It's very important for the audience to know this because we are a we've been a large victim of terrorism and so has Israel. Now this response of the state is that this is not an act of terror, this is an act of war. So any act of terrorism will be responded with an act of war. So, Israel has done what what you're seeing is because they were attacked in 2023 by Hamas. 2,500 Hamas body soldiers went in and they killed 1500 Israelis. When what happened in Pahel, 26 civilians died by three >> terrorists. So, the state has also said now we are not going to take it lying down.

[00:12:52]>> This has a profound impact on your money.

[00:12:56]>> That can you explain that? Yes, I'm going to explain that.

[00:12:58]>> Many times I've asked people are you a victim of terrorism and they say no we're not obviously now if you're sitting in front then you cannot be a victim but we are all economic victims of terrorism all of us. Uh there's a lot of study that has been done. Moody's has done a study and you all can Google this later. Every large terror attack in India has taken away half a percent GDP and 2% investment growth in the year of the attack and we face 6,000 attacks in 20 years.

[00:13:29]>> India has faced 6,000 attacks >> from 1993 to 2013. 6,24 which basically means every year one large terror attack at least.

[00:13:38]We have lost at least onethird of an economy to terrorism.

[00:13:43]So I'll go to the airport now. I have a flight. I'll have to go two and a half hours ahead of time because there's n number of security checks. Then the look at the number of police people that are now you have to hire so many CRPF then uh reserve police force then tourism comes down in the year of the attack. No one comes to invest.

[00:14:05]>> Yeah. Why would a foreigner come to invest in your nation if you have got 6,000 terror attacks? But the minute it reverses, you've got alltime markets, FI is coming in, FDI coming in, SIP is going up, capital markets doing well, manufacturing in India, made in India, Y in India in India because in the last 10 years that trend has reversed, terror attacks.

[00:14:31]So if you are a safe and secure nation, you will become a progressive capital markets. What I was telling you Sharon at the back was you cannot be a great capital market but a unsafe nation and that is what we are seeing in the world.

[00:14:47]>> So are you seeing that the trend is changing for India? Are we becoming a safer and safer country?

[00:14:52]>> True. I think so and I'm trying my best not to give political answers in this because geopolitics word geo or a politics.

[00:15:01]Yeah, >> I'm being as factual as possible. In the last 12 years, the number of attacks has come down dramatically.

[00:15:09]Delhi, Red Fort which where again the entire you know the the the thousands of kilos of bombs the material was found but one car still escaped that blew up. So the number of cases has come down. We become a safer nation. Nationalism is over.

[00:15:29]I've not even spoken about nationalism that's finished. So what will happen is industry will now say that I'm willing to invest in Chhattisgarh. Suddenly Chhattisgarh will become important. What happened with other city uh states Chhattisgarh will also improve that will pick up the GDP of India that will get added to GDP. So when you you get the linkage as things improve then the people who are doing work out there suddenly they'll get some money. What will they buy first? They'll buy some consumer durable product >> and that's how the stock market start.

[00:16:16]So it's directly linked. So a safe and secure nation will lead to a safe and secure capital markets.

[00:16:23]>> So um right now for this year 2026 so in my company there are a few people who are like die hard believers of astrology >> and in astrology apparently this year is probably like one of the worst years of our lifetime like there is going to be a huge stock market crash as per numerology right uh that's what I keep hearing. So I wanted to ask you uh this year considering how things are going do you think it's going to get better from here from today?

[00:16:55]>> Yeah.

[00:16:56]>> Or is it still unknown? What is your expert opinion?

[00:17:00]>> So Sharon on this I'm taking a big risk here >> in in saying this >> in saying what I'm going to say.

[00:17:05]>> Okay.

[00:17:06]>> This is definitely my boldest prediction ever. I predicted the Middle East war in 2023. I have an official note which says this will become where I've written that all of Middle East will get into war. I predicted Operation Hindu 3 weeks before it happened.

[00:17:20]>> Wow.

[00:17:20]>> I predicted this ceasefire 15 days before. So there is some credibility now. What I say 4 hours per day is is a lot is a lot. I think we're entering the most peaceful era man has ever seen, man or woman has ever seen. And I say this with great responsibility.

[00:17:38]>> Wow.

[00:17:39]through this war, through this pain on the other side is a lot of gain because you are you are finishing state sponsored terrorism once and for all.

[00:17:50]You're giving deep messages. When that happens, people will take it very seriously. Like operation Synindhur was a very serious message. Operation Roaring Line is a very serious message.

[00:18:01]People will think 100 times to do this again through this war. What this pain is think of this as the peak of no one believed and yeah will finish but as you reach the peak the fall was also very sharp and after that you all remember what happened to the capital markets a benefit I have a feeling I have a feeling Shahon that the peak of the war is done every political objective has been met Iran is has taken a lot of punishment and the Israelis and the Americans have achieved what they had to. There's very little left to do now.

[00:18:46]>> Incentives are less >> incentives. There is not much you can do beyond this. There will be a lot of posturing. There will be a lot of don't think that the pain is over.

[00:18:59]What I'm saying is because economic pain because by the time oil starts again, gas starts again, three months gone.

[00:19:06]>> Yeah, >> economic pain is there but the pain of the war is going to decelerate.

[00:19:11]>> So you mentioned that we are entering one of the best times in terms of world peace >> and the capital markets are obviously going to do well >> but beyond the Indian market.

[00:19:20]>> Yeah.

[00:19:21]>> Any other market that you would want the audience here to explore?

[00:19:24]>> Yeah.

[00:19:25]>> Which can also benefit from this new world order?

[00:19:28]>> Yeah. Uh so and here I have to be very honest and transparent. My own money today is not is not in um is only in domestic assets. I have not yet invested though my adviser is now asking that we shift some money to America for the and that two end sectors invest pharma for example >> in America.

[00:19:53]>> Yeah because no one has touched farmer.

[00:19:55]Okay. Even in India there is nothing happening on the farmer sector.

[00:19:59]>> See when do you make money? Like how do you make money? You make money when something is under researched, undervalued and underowned.

[00:20:09]>> How can you make money if something is overressearched, overvalued and overowned?

[00:20:17]>> Yeah. So pharma is one such sector under ownership valuation here and globally. There are other sectors like for example consumerf facing. So for example I'll give you I don't want to get stock specific but uh um like some of the some of our daily product companies have gone nowhere uh for like five and six years.

[00:20:45]toothpaste companies >> consumer consumer staples >> consumer staples have gone nowhere for seven years and they're they're starting to look little better parts of it starting to look better.

[00:20:57]>> Our main IT companies down 50%.

[00:21:00]>> Yeah.

[00:21:04]>> So there are pockets available. I would kind of stay away from the AI space in the states right now. That's overdone.

[00:21:12]for for for the viewers I must share something. Uh you all have heard of Taiwan Semiconductor Manufacturing Company. It is one of the largest in the world and it's listed in Taiwan. Now the market cap is bigger than Taiwan's GDP.

[00:21:27]>> Okay.

[00:21:27]>> So where can you it's difficult to imagine one stock bigger than uh >> global frenzy or the AI team >> on AI.

[00:21:37]>> So let us say you are wrong.

[00:21:39]>> Yeah. And we are actually going to see another market crash.

[00:21:43]>> Yeah. Uh so sorry let me qualify that.

[00:21:46]I'm not predicting a market boom. What I'm saying is from here onwards if you carefully build your portfolio with a 5 to six year horizon. Look I'm trained to think in years and decades. You cannot go wrong.

[00:21:59]>> Okay.

[00:22:00]>> Something can go wrong in 26. That's a possibility.

[00:22:03]>> Okay.

[00:22:03]>> Can something fall from here? because that's too short and something I would say there is a smaller chance of things going bad but there is a chance >> but why is that chance >> because fragile >> anything could go wrong some weird guy shooting off a missile somewhere hits an American ship all all bets are off so I'm saying 26 can still be a little sensitive I'm hoping and by the way in the last 10 15 days we've already seen a bit of a revival starting to take place.

[00:22:36]I'm hoping it'll be fine.

[00:22:38]>> But as you go to 27, 28, 29, my >> my confidence >> is going up.

[00:22:44]>> Yeah.

[00:22:44]>> But let us say things go wrong this year >> in 26. Huh.

[00:22:47]>> And you are you are somebody who went through the 2008 financial crisis as well, >> right? Where the markets crashed by 70%.

[00:22:54]>> Plus I lost my job.

[00:22:55]>> And you lost your job, right? So how did you go through that situation? So because if such kind of a thing happens even half as worse as that happens in this year I'm sure a lot of people here are not financially prepared for that.

[00:23:11]So what are the things that you know you would advise for the people over here? I have something for I have a solution for that. It's called the seat belt theory.

[00:23:20]If you if you're driving and your driver is driving very fast or if you're in aircraft, the aeros will come and tell you where disturbance trouble please wear your seat belt. In that case, remember these words. Wear your seat belt and don't do anything. Just don't move.

[00:23:39]Don't touch your money is the sest piece of advice I can give because I'll say that again with great responsibility Sharon that when we invest we believe that it is our birthright to make money >> the markets will just throw us out >> because simply because we've invested doesn't mean that we should make money. You only make money when you let it stay.

[00:24:02]>> Yeah.

[00:24:02]>> If you've done the right thing and if you invested it well even if there is turbulence doesn't matter. And Shahan has given the example of 70%, that time I think my portfolio was some 1 cr it came down to 30 lakhs and I lost my job.

[00:24:20]But that is when I said that thank god I was from the mutual fund industry. I was trained to think in decades. No, but at that point of time did your hope not just disappear like if something like that happened today? Let's say 1 cr becomes 30 lakhs. I think I would start questioning everything about the world.

[00:24:40]What is happening?

[00:24:41]>> You and me and this the the new generation has gone through co when life itself became unpredictable. Forget markets >> when we didn't know whether we live the next day.

[00:24:52]So we've seen a lot actually if you think about it co was only a 30% drop but people didn't know whether on TV channels it used to be whether we live tomorrow or not.

[00:25:04]>> Yeah.

[00:25:06]That's true. Right. So I'm saying this human race has seen a lot portfolios if invested well do come back. If you don't make big mistakes and remember if the fall is 70%.

[00:25:20]The maximum money is going to be made by the person who invests on that day.

[00:25:28]>> So when that fall happened uh >> I did invest.

[00:25:31]>> You did invest like but you lost your job. Yeah, I had some money. Can you believe it? I some three four lakhs lying with me >> where >> it was lying in my bank for some for some reason. I had three four lakh. I said 70% just first thing that came to my I don't even remember what I think it was some tax immediately >> that three became some 30 40 lakhs.

[00:25:54]Yeah.

[00:25:55]>> And then how long did it take for it to go back to one CR?

[00:25:58]>> Uh oh yeah very quick. Very quick.

[00:26:00]>> How long?

[00:26:01]>> Uh 2009. Okay. See, it's like uh a lot of you may have heard my very good friend Ashish Somaya.

[00:26:09]>> Yeah. White capital.

[00:26:11]>> He gives the example of a spring. You compress the spring and Ashish, I'm borrowing your example. So, quoting you.

[00:26:18]>> You compress the spring, the energy stored in the spring. The minute you release it, it comes back to its full capacity.

[00:26:25]>> The markets are exactly like that. If you compress the market beyond a point when you release it, boss, it'll come back to its true value.

[00:26:35]In the last 3 four years, valuations were stretched. Boss Pesa was chasing very few stocks. I was not very bullish at all. In fact, a lot of my videos have gone on record saying that be careful.

[00:26:48]But now I'm saying it's time to d build your >> So today, what is your asset allocation?

[00:26:54]>> I'm 70% equity. uh about 30% fixed income and uh we ended up buying a home for my parents which is also in my name >> and no gold.

[00:27:07]>> I've always believed gold is an ornament.

[00:27:11]A home is to stay in uh insurance is for is for risk and mutual fund is for wealth creation.

[00:27:19]>> But then you miss the entire gold rally.

[00:27:21]You you're not you're not like disappointed about it.

[00:27:24]>> Not at all. No, >> not at all. So there's a reason for that because 30-year track record I spoke about mutual funds.

[00:27:32]>> Oh, wait. How many of you all have silver in your portfolio right now?

[00:27:36]>> Good. Smart guys.

[00:27:38]>> No, but did you have this two years back? How many of youall had silver two years back?

[00:27:42]>> Yeah.

[00:27:44]>> Wow. Not bad. Not bad.

[00:27:46]>> Yeah. So those are the smartest guys who had who had silver two years ago.

[00:27:49]>> Robert Kiyosaki on my podcast said buy silver 3 years back. So now those are like what is he saying? Yeah silver like you sell everything buy silver. Yeah those are forwardlooking guys who so the reason he would have said it is because he must have anticipated this rare earth processing >> challenges that the world is going to >> same thing he said America China everything yeah war and all he said I'm like what is he saying what is this not possible >> so in fact now I'm saying the war capital markets there's a chance that it see gold go up because central banks were busy buying gold because they wanted to hedge against the dollar. They didn't want dollar to be like the dominating currency. So they started buying do the gold >> and that's run up but the 30 25 30 year long-term track record of gold >> is it beats inflation at best it beats inflation but that's not my objective in life. I have to beat inflation plus 4%.

[00:28:54]>> Yeah.

[00:28:56]>> Inflation plus 4%. And what you assume inflation as for you?

[00:28:59]>> I'm saying long-term inflation is 7%.

[00:29:01]>> For you, I don't think it's 7%.

[00:29:02]>> Yeah. For me, it's slightly higher. My foreign trips cost a lot. That's true.

[00:29:07]>> I think we will end the conversation there where you tell me for the audience here, what does the life of a financially free man look like? What is a day in your life today?

[00:29:16]>> Spending time with Sharon.

[00:29:21]uh very peaceful. People ask me uh >> tell me from the the day you the the hour you wake up.

[00:29:28]>> Tell me that lies.

[00:29:29]>> I wake up very early. I wake up at 7:00.

[00:29:32]Okay. Then I spend my first two hours are spending time on channels that I really like uh like yours or people who I follow a lot. Till 9 9:30 I spend my me time.

[00:29:44]>> You're watching content.

[00:29:46]>> I'm watching a lot of content. reading reading a lot of content.

[00:29:49]>> Okay.

[00:29:49]>> Uh by 10:00 it's breakfast time. Um and by 12:00 I'm out of the house.

[00:29:55]>> Well, >> to play golf.

[00:29:57]>> Play golf.

[00:29:58]>> That's 4 hours.

[00:29:58]>> Okay. 4 hours. 12 to 4.

[00:30:00]>> 12 to 4.

[00:30:01]>> Okay. And then >> 4 4:30 I come back. Then by that time I'm >> But isn't it hot? 12:00.

[00:30:05]>> So now it's got very hot now. It's getting hot. Delhi is still better.

[00:30:08]>> Okay.

[00:30:08]>> Peak winters. Can you imagine peak winters in Delhi? Going in the sun at 12:00 and playing till 4:00. It's like the best thing that can happen on this planet.

[00:30:17]>> I can't imagine.

[00:30:18]>> Yeah, >> because I'm not there yet.

[00:30:20]>> But look who's talking.

[00:30:24]>> But uh 4 4:30 come back, have my tea. Uh and then I spend time with my wife. We go to the gym. Uh >> then you go to the gym after 4 hours of golf.

[00:30:34]>> Yeah. 1 one and a half hours.

[00:30:35]>> Gym one and a half hour >> for 1 hour. 1 one and a half hours. It's very close by. So we do that.

[00:30:41]>> It's 7:38. time for a little dinner and all that and then it's Netflix time.

[00:30:47]Kapil Sharma is my favorite. I watch it day in and day out and for 2 hours either we're watching the office, >> okay, >> or I'm watching Kapil Sharma show. So four hours of studying and four hours of playing.

[00:31:00]>> I love it. So guys, that's the life of a financially free man and one of the biggest uh you know stalwarts of the wealth management industry in India. Can you please give him a big round of applause guys? I would love for you guys to answer. I would um you know we have we have time for five people to ask questions. So if you are interested please feel free to ask questions. Yes please.

[00:31:29]>> India is dealing in some 33 sectors in mutual.

[00:31:31]>> Right. Right.

[00:31:32]>> So which sector will boom? That's one the one the first question of uh this thing and the second is what is your advice to Shan where should he focus on >> and why are you interested in that?

[00:31:49]Uh >> Shahun is one of the first first question >> I think like I mentioned pharma looks very interesting agriculture looks very interesting uh FMCG looks very interesting all the sector that have got hammered uh parts of parts of auto look which is converting to EV that looks very interesting I'm not very bullish on financials I'm not very bullish uh there's a reason for it and I think that's kind of come true last 5 years financials haven't made money four years they haven't what made much money but life men are simple you have to how do you like I said how do you make money you have to go to sectors where no one is looking and there are these four five four sectors there are parts of defense which will do well though it's very overvalued because everyone will start investing in the defense of a nation so there are parts but some of them are overvalued Some mutual fund has to do some detail research in finding stocks out there.

[00:32:54]But pharma, auto, agriculture, FMCG, parts of defense, resilient growth will do well.

[00:33:03]>> That's the first question. The second question, >> second question to Sharon is simple. He should call me for this every month.

[00:33:12]>> No, on a very serious note, I think what 1% club has done is I mean you you have revolutionized making finance simple it's very tough to do Shahan I must compliment you for that because it's a very complicated subject yeah it is like uh uh ma'am from Chennai who's a doctor I be for me to understand her language will be very tough but you've been able to simplify that for a for the country and I must compliment you for that do more of what you're doing >> thank you I will >> there's one question at the back I'm from Hyderabad And I have a couple of questions. One is uh sgestion that you have given is to sit tight right. So you have done that during 2008 crisis as well.

[00:33:54]>> But in your personal experience, right?

[00:33:57]How did you book profits and do you decide it on fundamentals, percentage or or based on goals? That is first question.

[00:34:03]>> Second question is your you have spoken about different sectors, right? So you as us to focus on pharma and other sectors as well, right? How do you actually pick those sectors? What are the parameters that you actually look into?

[00:34:15]>> Okay. Okay. both are really relevant questions and especially the first question is super relative uh relevant because how do you use the money that you made in my case I can share my personal experience because I have a track record of making no money I'm jobless so I have to use my investments so I have something known as systematic withdrawal plan and I'm so you all are doing SIPs I'm doing SWPs from my corpus which is growing which continues to grow at a certain rate. I take a a monthly I take some money into my uh into my account from whatever is growing. So if my corpus is growing by 11%, I take away four to 5% and let six or seven compound. So this is my way of booking my profits also. And then Shahan did mention I do take these foreign trips once in a while.

[00:35:12]So and that's very important because finally what is the money for? I don't want to leave it for the for some generations that are coming. I want to use it for myself because I want to live life. So I do my profit booking when I want the money like sir mentioned if it's a trip if it's I'm buying something or if I'm if there's an asset that we're purchasing we purchase a home like I said for my parents >> we use the money from the mutual funds to buy. Uh on your second question, what do we look for?

[00:35:46]I look for three things in a company.

[00:35:49]It should have no loans, as low loans as possible on its balance sheet.

[00:35:56]Promoter should be buying back the stock, not selling the stock.

[00:36:01]And it should have free cash flow generations.

[00:36:06]I'll repeat it. I want that loan.

[00:36:10]free cash free cash flow generation and promoters should be buying the stock not not necessarily selling the stock promoters have been selling the stock six pages of ETS only IPOs >> right people have been leveraging their balance sheets and taking loans and cash flow generation has come now that's why I found it very difficult to find companies which can create wealth but that's Why I'm getting and also prices have fallen up like 35% all good stocks are down 35%. You take any name best names are down 30 35%.

[00:36:50]So now to seal it lock it >> and wear the seat belt.

[00:36:56]>> Thank you so much sir. the low interest rate regimes across the world like in Japan or US. Uh I think due to again the inflation at their end they are trying to raise the interest rates >> right >> uh which means the money the cheap money which was available uh to invest globally especially in India the FIFOs are expected to show the reverse direction. Yeah. So how is that going to impact and how as investors we can know that particular time so that we actually get into a market when the FIS are pulling out and the markets are down and we as you mentioned 30 35% now and we can actually get invested and reap the benefits in the medium long term.

[00:37:39]>> Yeah. Uh that's a that's a super question because this affects us all. Um so I have a slightly so the question that he's asking is what happens firs are walking out and I'm saying that stocks are available 35%. Does it make sense because firangis are walking out and we are domestic investors are actually we provided fi and promoters great exit because SIP has become so big 30,000 uh kores per month that's three lakh 60,000 crores for the year that's exactly the fii outflow and on the other side we promote we've given promoters also exit through the IPOs so this is a very sensitive time for retail investors because and we are holding the stocks and so it becomes even more important that when things get volatile or if they do get volatile we become strong.

[00:38:40]Remember the rule of the markets is it only respects strong hands. It will spit out weak hands. So if that situation comes where we have to start deciding on being strong hands then we have to be we have to as domestic institutional we are diis yeah >> I'm look domestic invest domestic investor has to start behaving like a foreign investor strong long-term >> but sir if promoters are actually selling out are they not having trust on their business that okay this is >> no no I no I don't think I think they have found great valuation for their businesses and they have found a way to exit private Equity guys have taken stake in the promoter. So people have invested for seven years. Their businesses have done well. I'm not commenting on the quality of the business. What I'm saying is the exit has got provided and so it's and in this many companies have exited but only a few will do well.

[00:39:35]Thank you. So seek advice. Uh so good financial ma'am is a financial adviser.

[00:39:42]I'm sure like there are many financial advisors. always see good after spending 25 years in the industry. I do have a financial advice.

[00:39:50]>> Awesome. Thank you so much Kar for your wonderful session. You saw the audience has learned a lot and thank you so much guys for patiently sitting and you know I'm sure you learned a lot of things as I have and you know have fun for the rest of the evening. Thank you so much.

[00:40:09]>> Thank you. Thank you so much. Before you go guys, if this video gave you even one insight and made you feel differently about money, don't just keep it to yourself. Share it with your friends or family member who could use it too. And if it has sparked a new thought or even made you disagree with me, drop a comment below and tell me why. Your critique helps me make this conversation sharper and more useful for you. As long as you have me subscribed, I'll make sure that you walk away with one new thing every Wednesday and Saturday.