BETTING WITH PROMOTERS

Launched on: 17th Nov'24

In stock investing, the role of promoters or business owners is paramount. 

They possess the deepest understanding of their company's operations, the industry landscape, and prospects.

Their insight into business cycles and strategic plans for the next 3 to 5 years surpasses that of most analysts.

Thus, it's common for investors to emphasize the importance of "betting on the jockey" — in this case, trusting the promoter who steers the company.

We believe one can take it a step forward by betting with the Jockey (Promoter) because there’s no greater confidence booster than Promoter betting on his own company.

How does one bet with the Promoter?

Is the promoter increasing stake or investing more money in his company?

This attains special significance during a downcycle in the stock or industry. It often signals that the promoter sees value at lower prices or anticipates a turnaround in the company's or industry's fortunes in the coming years.

In fact, one can greatly improve the odds of identifying potential turnaround opportunities early by following Promoter’s actions.

Legendary investor Peter Lynch once said: ‘Insiders might sell their shares for any number of reasons, but they buy them only for one: they think the price will rise.

Thus, stock recommendations in Insider Bets subscription will be based on Promoter taking a bet on his own company and that could be in the form of:

1. Promoters infusing more capital into the company, or
2. Promoters increasing stake through open market purchases

Disclaimer: The securities quoted are for illustration only and are not recommendatory

We strong believe, a diversified portfolio of around 5-20 such opportunities can have high asymmetric payoff due to:

1. Win/loss ratio (no. of stocks with positive returns vs no. of stocks with negative returns)
2. Much larger gains on winners than the losses on the unprofitable stocks

What do you get in this subscription?

1. 5-8 actionable stock recommendations in a year based on the theme of “Betting with the Promoters”
2. Detailed reports explaining the rationale behind picking the stock
3. Access to past and current research reports of this subscription
4. Stock exit and other important updates as and when required
5. Important notifications about new recommendations and updates through email and WhatsApp
6. Access to Important Corporate Announcements
7. Knowledge sharing and Investing lessons updates

Launch Date: First recommendation shared on 17th Nov'24. Book your subscription through below link

The average holding period for stocks will be around 2-4 years.

A lot of stock ideas could be potential turnaround opportunities wherein the current financials may not be great, but the numbers might improve significantly. Thus, the risk in general will also be greater. 

Here are some interesting case studies. Please follow the links for more details:

1. Himadri Specialty Chemical case study - LINK
2. Lloyds Metals case study - LINK
3. Som Distilleries case study - LINK
4. Ashapura Minechem case study -LINK
5. Thomas Scott case study – LINK

Is this subscription suitable for you?

We believe this subscription is suitable for investors with following profile:

1. Have investment horizon of 3-4 years or more
2. Believe in the concept of betting with the promoters
3. Willing to take bets on undiscovered, ignored, potential turnaround stock ideas
4. Can handle market corrections and volatility for longer term wealth creation
5. Understand that liquidity in the stocks might be low due to being ignored by the investors
6. Understand that if one invests in 10 stocks, not all 10 will deliver gains. 2-3 will go wrong; however, the gains from the winners can be far higher than the losses from the bad ones in the long term

LET'S GET STARTED?