There is growing euphoria over America’s energy future. Energy experts around the globe have been claiming that the US will gain energy independence in the next eight years. Optimists have even gone on to claim that America’s energy independence will lead to global energy independence. The primary basis for the first of these two claims is a series of technological breakthroughs, the most important of which is the application of what is called shale gas technology to extract oil from rock. Experts and journalists are so impressed by this technological breakthrough that they have credited it for lowering US dependence on imported oil by a quarter from 60% of the country’s overall oil consumption a few years ago to 46% in the current year.  Oil forecasts have been notoriously slippery; we hope that the current forecasts on US energy independence are based on firmer grounds. Experts claim that within the next eight years, shale reserves in the US wil...

Now a days, I have lot of rush in my clinic! I see more MR's (Medical representatives) than patients. While the  patient load has not gone down ( Thanks God!); The number of MR's has increased drastically, what with so many new companies in the market, selling the same drugs. Remembering symptoms of rare syndromes is a easier task, then remembering the different brand names of the same drugs. This observation about the fierce competition in the domestic market along with other indicators like: 1. Two major Pharma promoters ( Ranbaxy and Piramal) cashing out. 2. No new drugs to copy by process patent 3. Difficulties faced by Indian firms to launch Generic versions of off patent drugs in the Western market, that too after spending a fortune on legal fees. 4. Prolonged recession in the West coupled with reduced Medicaid spending. It makes me wonder if it is the end of growth of Indian pharma. Do they deserve the rich 20+ P/E valuations.? While I may be skeptic abo...

In my earlier blogs I had made / suggested quite a number of outcomes. What happened to them? 1: Stock story II: Fly along with: 20/9/11 Stock was at 76/-, Gave a Dividend of 2/- Went to 114/-, Now at 105/- A return of 50% in 45 days. 2. Stock story III: Bride and its suitors, 24/9/11 Stock was at 84/- Gave a dividend of .40 Invited ‘Bhabiji’ and ‘Man Friday’ to dining board. Went to 98/- Now at 91/- 3. Euro crisis: Sovereign problem; Corporate solution 26/9/11 It was mentioned that any solution that considers only one country (Greece) will lead to Havoc in other PIIGS. Following ‘Hair Cut’ for Greece its now turn for Italy. 4. Stock story IV: 26/10/11 Stock was at 348/- Now at 374/-

"I got it wrong. The world is so much flatter..... But Technological advances were not accompanied by Changes in the legal and regulatory system, And the political system got corrupted." said Thomas Friedman, author of 'World is flat', there by endorsing the need for structural reforms. Also Refer to Blog  Liberalization 2.0 dated 21 Sept 2011

In an earlier blog, Generation Gap, dated 4 October 2011, I had written about the Retro, Compromise and the Zap generation.  Let’s learn what happens in the house of each of this generation. For simplification assume that Retro is the parent of Compromise and Compromise is the parent of Zap generation. When there are ‘Generations’; ‘Gaps’ can’t be far behind. Generation gaps are nothing but conflicts arising out of difference in attitudes between people of different generations. The key word here is "ATTITUDES". Now attitude is a way of thinking or feeling about someone or something.  A generation gap occurs when older & younger people don't understand each other because of their difference in opinion, experience and nature. Bernard Rosenberg, Dictionary for the Disenchanged , 1972, describes generation gap as a chasm, amorphously situated in time and space that separates those who have grown up absurd from those who will, with luck, grow up absurd.  ...

Price of this share is almost half of the cash balance in its books. It has a twenty years history. It built itself from nowhere to being the fifth largest in the sector by acquiring assets /companies, some at distress. When the sector was enjoying rich valuations it sold off to a MNC and is now sitting on more than 10,000 Crores on its balance sheet. When the world is facing the problem of leverage and excess debt, here is a company with surplus cash, awaiting opportunity to invest in assets in distress. Markets presently dislike the company because it sold off / does not know where to invest /is investing in unrelated areas. But is this not the goal of all investing, sell at peak and buy at distress levels. When market-men are obsessed by minute by minute tickers, When bulls become bears in hours if not in days. Here is a company which buys nourishes and sells businesses and awaits opportunities In the mean while it also makes money for its investors. Would y...

Compared with Western economies we are considered ‘Underdeveloped’ or ‘Developing’ economies. However in India few industries have completely ‘emerged’ and have come to parity with Developed Economies. Salaries/ income in these industries (if you remove the top one percentile) are at par with Western economies.  These industries are: 1.        Entertainment Industry : Film Stars, Actors, Music directors, singers, TV and Media, Satellite rights .........etc. 2.        Financial / Banking : Especially in private investment banks. 3.        Sports: Especially Cricket