“Buy when everyone sells and sell when everyone buys” is probably the only way to make money in the market.  Following the heard mentality is sure to give a lot of heart pain in the long run.

The exhilarating bounce from the lows that the Indian equity market touched on 9 March 2009 is now a year old—and what a year it has been. These 12 months have been a wildly profitable time for those brave souls who held their nerve and bought stocks, while it has been a missed opportunity for those who thought it was a short-lived bear market rally and thus preferred to sit on cash.

The benchmark Bombay Stock Exchange Sensitive Index, or Sensex, closed on Tuesday at 17,052.54, up 109% over a year ago, though just about nobody believes the next 12 months will be as good.

Read the full article here

Above picture courtesy: Livemint

+++

Have taken tons of pictures too. No time to even sort, upload and share them.  Sometimes i feel that 24 hrs is not enough in a day.  Wish there was some way to increase the number of hours in a day.  It would be good as long as the extended hours doesnt mean that i need to spend them at work

As expected, my investments havent slacked, infact they are on the upswing.  Bought a few shares in SREI Infrastructure, Alok Industries.  But my biggest mistake has been to ignore Tata Motors.  Its the kind of multi bagger that can make you rich for life.  A year ago i bought very few of them around 140 rupees and then left it at it.  Today, Tata Motors is trading above 750 rupees.  At one point of time, it had even crossed 800.

That’s the kind of shares i should have been chasing instead of stagnant ones  like BILT and NHPC.  Another multi-bagger is L&T.  I had bought a few at around 650 rupees and today it is consistently trading above 1600 rupees.

Most people get interested in stocks when everyone else is. The time to get interested is when no one else is. You can’t buy what is popular and do well  -  Warren Buffett

I should try to follow the above mentioned statement more faithfully and only then will i be able to cash in on the opportunities that lie ahead.

Picture source: MIT Admissions

+++

Years ago Donald Rumsfeld and Dick Cheney laid the foundations of outsourcing the critical logistics of the American military machienary.  Dick Cheney as the head of Halliburton and Donald Rumsfeld as the person who created the policies necessary for the same.

Today Halliburton-KBR (Kellogg, Brown & Root) which was later on split into two different companies, Halliburton and KBR are the main ones who run the logistics of the American military.  In the process they have totally corrupted the procedures and have billed the American public billions of dollars of fake expenses.

Pratap Chatterjee goes into great detail as to how the Halliburon-KBR combine came about, how it managed to entrench itself into all the contracts of the military logistics, its transgressions, fake billing, over billing, wastage of food, resources, blatant human rights abuses, rapes of its female employees, usage of foreign nationals in war zones with no safety equipment, their exploitation etc.  Its a disturbing read of how in this age of free and available information, all these details have been hid from the public in general.

The book is in the markets for a few years and the fact that it hasnt been challenged or sued is a sure indication that the author has got his facts right and that he has evidence to prove all accusations he presents in the book.  Even though Halliburton-KBR might reject the author’s claims, it does recognise the rot that infests the organisation.

Chatterjee (Iraq Inc.) delves into the nebulous world of the Houston-based Halliburton corporation, tracing the company to its roots, when a fortuitous meeting with a young Lyndon Baines Johnson propelled the Brown and Root Company (which later merged with Halliburton) into Washington power politics. The author details the military contracting that largely funded the company through WWII and into the present-day war in Iraq, intertwining the company’s history with the biographies of Dick Cheney, Donald Rumsfeld and other officials in the Bush administration. Chatterjee provides a laundry list of abuses for which the company has been investigated, including inflated billing of the Pentagon, providing unsafe living conditions for U.S. soldiers, labor exploitation and coverups to avoid congressional inquiry. He concludes with a look at the whistleblowers that brought these scandals into the public eye and the repercussions of the eventual congressional investigation. Chatterjee keeps the pace of the narrative at a quick clip and nimbly marshals his extensive evidence to reveal—without sanctimony or stridency—Halliburton’s record of corruption, political manipulation and human rights abuses.

“Halliburton’s Army” begins citing how $5,000/day oil-well fire-fighters were brought in, despite the Kuwaiti’s offering to do the job for free out of gratitude for Gulf War I and concern for their own environment. The situation rapidly deteriorated – potential whistle-blowers demoted or other wise threatened, overheads running 43-55%, overcharges for fuel – $2.64/gallon, vs. a local Iraqi source at .96/gallon (or even an internal Defense Dept. source at $1.32/gallon), splitting contracts to avoid bidding requirements associated with large dollar amounts, billing for hours not worked, ordering multiple items when just one was needed (cost-plus!), serving overpriced and sometimes outdated food to non-existent troops, failure to treat water with chlorine, using very-high-priced suppliers, electrocuting troops via improper electrical work, failing to pay required disability benefits to those injured on the job, etc.

Source: Halliburton’s Army Amazon page

Halliburton’s Army: How a Well-Connected Texas Oil Company Revolutionized the Way America Makes War
Author – Pratap Chatterjee
Pages – 304
Publisher – Nation Books

While dealing with terrorist supporting countries like Pakistan, an aggressive covert assassination program can go a long way in controlling the terrorism perpetrated by Pakistani supported terrorists on India.  Taking out select leaders of the rogue intelligence agency, ISI sponsoring the terrorism and leaders of JuD, LeT etc should be actively considered by India.

After the disastrous policy by the ex-Prime Minister IK Gujral who shut down the Counter Intelligence Teams of R&AW, its time India flexed its muscles.  A few targeted killings will send a strong message across to our neighbours that their transgressions will not be tolerated anymore.  The only way to stop terrorism is to increase the cost on the sponsors.  They slap you and you gouge out both their eyes and bash their face up badly.  That’s how you respond to terrorism and not by getting apologetic about it.

But it needs leaders with guts and conviction to take up such measures.  Do we have any of them?  Our leaders are either busy dividing us on caste, religion, region etc or sucking up to minorities.  Anyone out there who can implement these measures?

According to a report in the Telegraph, the group, which included a woman, entered the hotel dressed as businessmen and tennis players, and managed to strangle Mabhouh inside his room. The assassins arrived in Dubai carrying French, German, Italian and Swiss passports, and checked into different hotels, says the report. They used fake names like Gail Folliard, Kevin Daveron and Peter Elvinger.

They met later at a shopping mall, and communicated with each other before that via a ‘command centre’ in Austria, says the report. Traveling under the alias of Mahmoud Abdul Ra’ouf Mohammed, Mabhouh was spotted at the Dubai airport by a member of another surveillance team, who had waited hours for him.

Meir Dagan – The current head of Mossad

After he checked into the al-Bustan hotel, one of the hit squad dressed as a tennis player accompanied him in the lift, and followed him to his room, the daily said. The information was then passed on to Elvinger, the group’s leader, who promptly checked into the room across the corridor from Mabhouh, says the Telegraph.

Soon, another surveillance team arrived to keep a check on the target, who left the hotel half an hour later. The group tried to take advantage of his absence and attempted to break into his room, while the woman and Daveron kept a look out for other guests. The police have not released footage of what happened next, but the assassins somehow managed to force or fool Mabhouh into opening his door, and suffocated him, said the paper. They then locked the door from inside and left.

The team left Dubai on different flights over the span of the next 12 hours, and fled to various destinations including Frankfurt, Hong Kong and South Africa [ Images ], said the Telegraph. Mabhouh’s dead body was discovered over twelve hours later, and his killers, ‘a professional team that is highly skilled in these kinds of operations’, were thousands of miles away by that time, said the daily.

Read the full article here

And now, Dubai has threatened to issue an arrest warrant against the Prime Minister of Israel, Benjamin Netanyahu if Mossad’s complicity in the assassination is proved.   It would be good for Dubai to first explain as to what the leader of a global terrorist organisation was doing in its country?  It would be better for even Britain who is now blowing hot and cold against Israel to see why most of the terror plots in the world today are being hatched on their own soil and why most of the terrorists seem to have some connection with Britain?

Countries like Britain and Dubai seem to be in the crosshairs of global terrorism and it would be good for these respective governments to get their houses in order before pointing their fingers at others.  As for Mossad, its job is to keep its people and country safe.  And to chase down anyone who hurts their people/country and kill them like dogs.  Three cheers to Mossad for a job well done.

Some good reading on Mossad in the Telegraph paper here – “Mossad’s license to kill“.  How i really wish our so-called external intelligence agency, Research and Analysis Wing (R&AW) would grow some balls and do their job properly than being caught with their pants down.

Above pictures source:  FPP & Wikipedia

+++

Approach road to the airport

Another example why the Government of India has no business running any critical infrastructure in the country.  Look at the shabby airports run by the Airports Authority of India (AAI) and then pass through the Hyderabad airport.

The airport air traffic control tower

You will never realise that its situated somewhere in India.  Top class infrastructure with top class service has resulted in RGIA gatecrashing into the hallowed group of airports worldwide. To be even talked in the same breath as Changi, Incheon, Hong Kong etc is an honour and GMR must be roundly applauded for bringing up RGIA to international standards.

This is how the Airports Council International (ACI), an autonomous body representing world airports, adjudged the airports

1.  Incheon, South Korea

2. Changi, Singapore

3. Hong Kong International Airport

4. Beijing International Airport, China

5. Rajiv Gandhi International Airport, Hyderabad, India

News source: Economic Times

Pictures source: Blacknwhite, Marie, Vincent Tulio, Bert Roos

+++

Bharti Airtel is in $10.7 billion talks with Zain to buy most of the Kuwaiti telecom’s cellular assets in Africa — the Indian firm’s third attempt to gain a foothold in the region.

The deal, if clinched, would be India’s biggest overseas acquisition since Tata Steel’s $12 billion purchase of European steel maker Corus in 2007.

Mobile subscriber additions are running at a monthly average of about 15 million in India, making it the world’s fastest-growing wireless market. The rapid pace has attracted new foreign operators such as Telenor and Sistema, making competition more intense.

Call charges have fallen sharply, to as low as a fraction of a US cent per minute, squeezing margins and clouding earnings growth potential.

Bharti reported its slowest profit growth in more than three years for the December quarter, and average revenue per user (ARPU) — a key operational gauge — fell 29 per cent to 230 rupees ($5). The market is also showing early signs of saturation, with penetration reaching about 45 per cent.

To beat the slowdown, Bharti has been scouting overseas, with a focus on high growth-potential emerging markets. After failing to get a deal with South Africa’s MTN Group, the company has set up a new unit to drive overseas expansion. It also agreed last month to acquire control of Bangladesh’s Warid Telecom.

Africa is attractive for Bharti as the mobile user base is low there, with just over a third of the population having a mobile.

Zain’s 15 African operations included in the deal have a combined user base of about 42 million, and the operator is No.1 in 10 markets, ranking second in another four, according to brokerage reports. ARPU in these operations ranges from $3 to $25, with 10 of the 15 having higher ARPU than Bharti.

Rest of the article here

+++

1. Games Indians Play – Why We are The Way We Are

If you are someone who easily gets offended by criticism, this book is surely not for you.  If you are someone who believes in chest thumping patriotism, the kinds we find in Sunny Deol – Anil Sharma movies or the kind of person who likes to forward chain mails which proclaim that 35% of employees working in NASA, Microsoft etc are Indians, then this book is not for you either.

Games Indians Play is a hard hitting look at the way we Indians manipulate our way around the system, looks at reasons why our cities are dirty, creaking, why our roads are full of potholes, why our system, law and order machinery is corrupt, why we keep raking up examples of our thousand year old culture and morals, but are the worst behaved, immoral and culture-less people around.

The author, V Raghunathan uses game theory to explain the ills of India, as to why we are free loaders, corrupt and do not stand up to our rights etc.

Though the author goes great lengths to analyse the problems facing India, he doesnt suggest ideas or solutions to mitigate the problem.  That i believe is the only negative point about the book.

A few comments on the book that i found at Amazon website reinforce the author’s point of view

“It’s a very interesting book and does a great job of explaining some of the bizzare things that go on in India and why people say “it’s like that only”. As an Indian living in US for two decades, I can relate to author’s observations about Indian and western societies. I have been puzzled by some of those things over the years but couldn’t figure out why it was so.

And to Mr. Raghunathan: Lots of Indians/asians in US don’t behave much differently. Just go to any temple and you can see a pile of shoes/chappals on the floor right next to empty shoe shelves & just below the sign “please don’t leave your shoes on the floor”. Or visit any south asian grocery store and you can tell instantly if they sell “paans” by looking at stains all over the parking lot.”

“As an expat currently living in India, this book affirmed what I’ve found difficult and perplexing about living in New Delhi. The constant helplessness, petty jealousies and a sense that some of the observed poverty is just another one of India’s treasured rackets (an alternative route for their bizarre and seemingly increasing corruption) is overwhelming and frustrating to watch on a day-to-day basis. I enjoyed this book immensely as it helped me to understand the behavior I see around me, why it continues without change (or question) and in the end, why and how others perceive their continued benefit from this seemingly irrational paradigm (from a Western view point).

Listening to Indians and the media in India, there is a view that Westerners are selfish, lack connected communities and have no “family values” or “morals” (whatever this means by whomever defines it). It’s almost as if Indians have it reversed from Westerners. In particular, Americans who value personal independence coupled with a sense of civic duty and responsibility to others whereas Indians emphasize family and communal relationships to guide their behavior and actions but do not necessarily extend their concerns outside their immediate circle.”

“The author postulates that it is ‘Supreme Selfishness’ which drives every Indian. The author then creates models of everyday situations using principles of Game Theory to explore how Indians react to such situations given that they are driven by ‘Supreme Selfishness’. For example, the author uses Prisoner’s Dilemma to model the common situation every Indian faces while emptying his trash can every morning – should I empty the bin on the road or should I have to walk two hundred feet to the nearest municipal waste bin?”

Games Indians Play
Author – V Raghunathan
Pages – 170
Publisher – Penguin Books

2. Germany – Cultures of the World

I have a good collection of the Lonely Planet series.  But they are books for the hardcore traveler.  Though i love to travel; finances, time and other considerations deny me that pleasure.  I love reading up on the countries, their cultures, people, society, food etc, but i find the Lonely Planet series of books too bulky to read and i find its a book good for people who like to micro-manage their travels.  As for me, i like to take the leisure way out and i just like to do a broad research of the place before i travel.

Europe is a dream destination for me.  Germany is one of my most admired countries and i happened to chance at this book in the library.  Its small, concise and covers all aspects of the country just the way i love it.  The book covers the geography, government, culture, food, people, cities, environment, politics, history etc in a precise manner.

3. Hiroshima – Story of the First Atom Bomb

Its a pretty small book, mostly for kids which traces the dropping of the first atom bomb on Hiroshima.  Capturing mostly pictures of both before and after of the destruction and a few explanations about the bomb, the politics behind it.  The book is mostly about Manhattan project, nuclear theory, progress of World War II, Truman’s decision to use the bomb, the mission of Enola Gay, results of the Hiroshima explosion and the subsequent use of the bomb on Nagasaki.

Above picture source: Amazon & Nowpublic

+++

Three Shiv Sena legislators complained Monday that their police security cover had been withdrawn, and accused the Congress-NCP of getting back at them for their recent opposition to the government.

Two of the three lawmakers, Jogeshwari MLA Ravindra Waikar and Andheri MLC Anil Parab, were among the 342 Shiv Sena activists who were detained last week for waving black flags at Rahul Gandhi during his visit to Mumbai. Before that, Parab had led a march to Shah Rukh Khan’s home to protest the star’s statement that Pakistani players should have been part of the IPL.

The third lawmaker, Bandra MLA Prakash (Bala) Sawant, said he had not taken part in any protests but had visited police stations to talk to Sainiks who had been detained.

MLAs and MLCs in Maharashtra are provided security by the Protection and Security Department of the Mumbai Police, and are assigned policemen not above the rank of constable who carry a small weapon and work in 12-hour shifts.

Sawant complained he had been targeted despite his not having taken part in the protests. “I had only gone to meet activists detained at various police stations,” Sawant said. He added he would write to the police to ask them to restore his security. “My constituency is very sensitive and if anything happens to me the state government will be responsible.”

Read the full news here

I have always believed that all these morons dont deserve even a single police constable’s protection around them.  Since they have no qualms whipping up communal and regional feelings and exhorting their supporters to beat up innocent people, the police should also let them be at the mercy of people who want to take revenge from them.

Let them also be beaten into pulp while the rest of the world watches the fun.

Picture source: Moneytrader

+++

The Agni 3 test, which took place from the Wheeler Island off the Orissa coast, has made the missile ready for induction, the Defence Ministry announced on Sunday. “The launch is part of the pre-induction trial. The Indian Army (the user) has carried out the total launch operations guided by the Defence Reseach and Development Organisation (DRDO) scientists. Now the Missile system will be fully inducted into the Armed Forces,” a statement by the Defence Ministry said.

While the formal induction will take at least two more years and a few more tests, the missile is strategically vital in India’s nuclear deterrence plans that rely on the second strike theory. India’s stated policy has been of no first use, which makes it vital to have long range missiles to strike back in the event of a nuclear attack.

Full article here

Pictures courtesy: Rediff & Mensa-Barbie

+++

The triumph gave the Indian his 11th overall and fifth mixed doubles title. With this, Paes has equalled one-time doubles’ partner Mahesh Bhupathi’s tally. The last couple of times they reached a Grand Slam final, Paes and Black ended up on the losing side and eager to make amends for that, they were dominant from the word go.

They broke their rivals as early as in the third game and save for a couple of breaks lost on Black’s serve, the Indo-Zimbabwean pair seemed hardly troubled by Makarova and Levinsky, who committed far too many unforced errors. Black, whose net game and serve were the weak links for the top seeds, raised her game when it mattered after getting some pep talk from Paes.

Full article here

Above picture source: Topnews

+++