Ganesh Chaturthi 2022: On this auspicious occasion of Ganesh Chaturthi, Zee Business Managing Editor Anil Singhvi tells investors and traders some valuable tips on stock markets taking inspiration from the ‘Vighna Visnashak’. Lord Ganesh is referred to as ‘Maha Kaya’ which means very big and the Managing Editor’s top market tip to investors is to invest in large cap themes.

COMMERCIAL BREAK
SCROLL TO CONTINUE READING

Investors can invest in 30 large cap stocks in the BSE Sensex or 50 large caps in the Nifty50, he said. These are the safest bets for an investor. Drawing parallel with worshipping Ganesha, the Market Guru said that just like all our prayers are answered and difficulties removed by just remembering him, if one invests in a large cap stock, it is a sure-shot way to get good returns.

He said that large cap stocks are market leaders who have seen a long journey of starting small and achieving big. They have been through the ups and downs to consolidate their position as large caps. Lord Ganesh ji is the leader of all the Gods and his name is remembered before any other God, the Managing Editor said.

He said that investors must invest in those large cap stocks which have held their ground over the last 3-4 rise and falls.

He said that there is a rebalancing in Nifty50 and Sensex where strong performing stocks replace the once not doing too well. This in itself is a good way of refine.

There are stocks like Reliance, TCS which have been there in the indices for a very long time. This makes it easy for investors to know which stock they can put their money on. Stocks like these have never exited the index which makes them a safe bet.

The investors who do not want to put their money directly on stocks could look to invest in index funds. He said that Exchange Traded Funds (ETFs) or Mutual Funds invest in index funds. The returns from them are similar to the returns given by indices like Sensex or Nifty50.

Even if everything else collapses, index will still be there, Singhvi said.

The Sensex which started at 100 touched 60000, he reasoned.

The first lesson for investors is to start with big or large cap stocks.