Coalitions

coalitions

At the time of independence congress was the major single party and swept 400+ seats which were expected. They enjoyed this position for more than 20 years with some minor hiccups. the baton transferred from Jawahar Lal Nehru to Lal Bahadur Sashtri to Indra Gandhi but no one imagined a non-congress government in the centre. 

But meanwhile state assemblies started to see some changes with congress started to lose some ground and regional party making head way. The main reason for this change is the congress failed to understand the needs and wishes of people of each and every states which are quite different from one another and people give equal importance to local as well as national issues. Feeling neglected and oppressed the people started giving importance to regional parties as their agendas are more state focused and cater to local needs hence slowly and slowly they rose to prominence.

Still there individual strength were negligible and most of the time congress swapped them away in Lok Shabha election. But all that changed in 1977 when first non-congress government came into power with the help of many small regional parties. Although the govt. didn't last long but it gave a new dimension to the Indian politics and a new term was evolved i.e. coalition government. And regional parties stated nurturing national dreams.

In 1990's all that changed with meteoric rise of BJP and and a sudden downfall of Congress. With both of them struggling to making government in centre a new era of alliances stated giving leverage to regional parties. Knowing fully well that neither congress nor BJP can cross the magical figure of 272 regional parties started arm twisting them to acquire major portfolios and releasing special funds for their states. This unique situation give them a perfect opportunity to realize there national dream.

But the main question is: IS IT GOOD FOR THE COUNTRY?    you decide!!!!!!!

US FDA hammering Indian pharma companies

US FDA hammering Indian pharma companies

Right to live is the basic right in our constitution but what will happen when this right would be forcibly snatched from us. Life saving medicines are very important but due to the greed of few rich corporates they have been treated as a luxury. What will happen to the guy who is suffering from cancer and his only lifeline is a drug which comes @ 2.5 lc/ month supply. And it is all due to a corporate which wants to make a fortune out of it while other company says it can sell the same in roughly 9k/ month. 

Indian companies have been fighting tooth and nails against multinational corporates for last 2 decades over the patent rights and there infringements. but lets not get into the technicalities, the important thing is that our government should understand the needs of common people. In India less than 2% people have the medical cover against 90+ % in develop countries. In develop countries providing quality life is considered as a duty because they can afford it. But most of the developing countries could not afford the basic amenities. This does not mean that the people receding there have lesser right to live and every one should do there bid to make it possible. 

As it turn out they don't US government is using FDA as tool to close manufacturing units in India which not only caters domestic needs but also the needs of countries such as Brazil, Thailand, Malaysia, South Africa, Kenya and other developing and undeveloped countries. But multinational corporates now want to arm twist these countries to buy there ridiculously expensive drugs rather than the far much cheaper substitute provided by our companies.

It is brutal, it is like if you can't pay you deserve to die and we will enjoy watching you die. No one is denying the fact that they have made a discovery and they should be the beneficiaries but to a limit. One should not fall to the level where money becomes more important than saving lacs of lives.

please go through these links:

1) http://www.frontline.in/static/html/fl2908/stories/20120504290801000.htm

2) http://www.frontline.in/the-nation/patent-challenge/article5284982.ece

Stress and Life

Sometime we feel

Why all bad happen to me only??

Why am I always on the receiving side??

I have worked so hard for it but credit goes to someone who doesn’t even know what it is??

I have done everything right but there is no result??

Actually all these things are mental blocks which have to be removed as soon as possible. All these thoughts do build up frustration and will slowly and gently make you a complicated person. It is logical that if someone puts hard work he/she expects some results and when results comes out to be less than his/her expectation one feel cheated, frustrated and irritated but results are not always that matter, results generally is the combination of various factors which are not in his/her hand (most of the times). So why one should worry about something which is not in his hand, all one should have to worry is about the efforts he/she has put into it. All the external factors do get squared up over the period of time, although one does feel it but they do get squared up.

So having a positive approach towards life is very important. If something bad has happened to someone it should be treated as an opportunity to test his/her mental strength and ability to cope with it.

These experience starts from very tender age. Now a day’s schooling has become so competitive that it put lot of strain on children. All parents want their kids to top the class but unfortunately there can be only one topper. Having competition is not a bad thing; actually it is quite good till it is healthy. The day it transforms into stress it becomes harmful. And in country like India which is having a 1.25B population it becomes fearsome.. If one looks at the merit list of premier institutes one would find that it is stretched to the breaking point (sometime more than 500 applicants per seat).

So the solution to the problem is that from the tender age kids should also be prepared to handle mental pressure, failures and adverse situations. So that when they face real challenges they would be mentally tough, emotionally strong and psychologically balanced. Then they can lead a successful life.

Beginners guide for share market (do’s n dnt’s)

Beginners guide for share market (do’s n dnt’s)

First thing that comes in the mind regarding share market is ‘its risky and no one can make money by it’ but let me tell you, this perception is wrong. Let’s be frank why one should invest in a share market!!
It is because everyone (I mean most) want to be rich as soon as possible.

lets see what happens to a young investor like me (based on facts and study I have done):-

We have a job from which we try to save 20-25% every month (don’t forget restrain and determination we have to exercise not to spend it) after couple of years when we have a corpus of few lacs we might decide now I could take some risk, lets venture into share-market (after all it gives 16% CAGR much higher than what one should get in FD and policies). Mostly we might ask somebody what to do, or we ask our PR manager of demat account, some brave souls even read the crappy reports which most banks/brokers send us regularly. Personally being an Engineer I have never understood whats in it!!! All that matters is 10k laga do 15k ho jayenge ek saal me (invest 10k n you will get 15k in one year) ok done. 10k in this, 12k in this, 8k in this, 15k in this, and so on...  My target of investing one lac is done.

Initially we would monitor them regularly but as time progress our interest and monitoring decrease drastically even reduced to once a month (some people even forget what they have bought and in what quantity)

But one could earn a decent amount including tax free dividend if one would have bought so called value for money stocks (pun intended). Do it over and over again and I assure you will end up with a stocks worth few crores(adjusting inflation) in 30 years. Simple math:- A= I*((1+r/100)/r) (I might be wrong) and it work outs to be 5.4cr with a modest CAGR of 16%, not to mention 50% which we were dreaming!!!!! (Do math yourself)

Now we enter into the ugly world of derivatives and their all hell break lose. I have been the part of derivatives for last couple of years and believe me there is no mercy......

Futures and options sound very fancy and they are lucrative where on earth you can buy 250 reliance shares in just 25k!!!! Sounds amazing.... Even better buy some option of reliance and make your money 2-3 times in couple of days. I still remember my first trade, it was TATA STEEL I bought 1 lot i.e. 500 shares (somehow managed it by arranging 40k) at 374.75 sold it at 393.65 made a profit of 9450-540(brokerage)= 8900 and I was very happy. But ran out of my beginners luck very quickly and made some very bad calls and eroded almost 40% of the total capital but over the period of time I studied hard and analysed what went wrong and subsequently improved. But I am not here to tell you what I have done or what I have achieved but to discuss what one should avoid.

The first thing to remember is that the derivatives and the cash segment are altogether different things. The strategy of buying and holding till eternity doesn’t work in derivatives because at the end of every series (last Thursday of every month) one has to shell out roughly 1% of overall order value to carry forward the trade. So if someone wants to venture into the world of derivatives one has to be very vigilant keep a strict stop-loss and should be clear of its objective and options are mostly hedge tools and should be used very carefully. I don’t want to discourage anyone but my suggestion is that one should be fully prepared for it, believe me once you get hold of it you will become addicted to it (as I am!!!!)

So concluding this topic I would like to say that the share-market provides a unique opportunity for investment and one should start investing in it as early as possible (total exposure to risky asset = 100 – your age) and try to be patient and vigilant to again maximum out of it and if someone wishes to take exposure in derivative market one should be very careful and it is better to start early as you would have lot of time to build-up on the invaluable experience you would gain in it. 

Modi answer to our problem!!!!! 

There is no denying that the BJP is in fact well prepared and hungry for success in this election than the last 2 lokshaba elections. Let me first give you the preview of what happened in the last election:

BJP was convinced that they will have landslide victory owing to the fact that they were thrown out of govt. unceremoniously in last election even after having a reasonably good governance and a strong face of ABVP.

and congress which was having lots of hiccups in decision making, pocilies, UPA partners (left and NCP) and global slowdown will definitely loss. On paper mathematics did look right, even some opinion polls were giving 180+ seats to BJP in the beginning but what BJP didn't anticipate was the A of spades which Congress has- RAHUL GANDHI. The PR managers of Congress party have done a wonderful job of projecting him, even I was convinced that he has a different vision and a new prospective. BJP beaming with overconfidence and sheer arrogance discounted him. What happened next was a disaster for BJP, as congress swept away the whole country with an amazing 200+ seats and even more amazing was the 23 seats congress got from UP. Everyone knew they were a extinct species in UP with very less cadre base and even lesser vote bank but it was the charm of Rahul Gandhi by which they managed that victory (at that time they had more MPs than MLAs in UP)

BJP dumb-folded and thunderstruck ran for cover. Its management was faulty, their stand was dubious, their allays were unhappy.

"SAD aur BJP sirf naam ke partners hai ye polling booth per saath saath nhi lad rhe hai. zamini sachai yahi hai"- famous quote of Rahul Gandhi     

and it is true that BJP did suffered a humiliating defeat in their strong hold and Congress had its new star-Rahul Gandhi

But what happened next was unexpected and unprecedented Congress led UPA-2 which were more powerful and independent got themselves in lots of trouble. The term which many political and economic analyst were saying would be a dream run turned out to be a nightmare. Barely 18 months in the power they were rocked by series of mega scams.

Starting with 2-G scam, It came into light with unprecedented auction of 3G spectrum which fetched govt. thousands of crores and telecom companies paying their arms and legs to grab it. The auction process, which ran for more than 60 days(longest in the history) saw fearsome bidding war among telecos. So question arises why 2G spectrum(more valuable) was given in throw away prices? The answer I believe no one have.

Then came CWG scam, the game which was projected to cost 750 cr happened in 70,000 cr. It worldwide tarnished the image of India, with the amount of infighting and the mind boggling deals. Next came the coal scam which also runs in lacs of crores (according to some estimates) and if we want to highlight every scam the series would be endless.

So the main question is- DO MODI HAVE SOLUTION TO OUR PROBLEM??
Can he provide fair, dedicated and growth oriented government..