For me, any investment that beats Nifty 50 Index is good. And Mirae Asset Emerging Bluechip Fund has beaten Nifty 50 Index nearly 100% of times during the last four years. And that too with a regular plan.
However since Oct-2021, the profits have remained more or less flat even though my SIPs have continued. And this has impacted my XIRR which is now down from its high of 45+% to 15%. It now very close to getting beaten by the Nifty 50 Index.
I have been incredibly lucky with my investment in Polycab till now. Till now. The keyword here is ’till now’. I don’t know what the future holds but if past is any indication—Divi’s Laboratories and L&T Infotech—I will probably make a big investment at peak, and the stock starts its downward trajectory erasing all my fantabulous gains.
Polycab has been a star performer since last 4 years. Not only my returns have beaten Nifty 50 Index, my profits alone also have beaten Nifty 50 Index. The dividend yield at cost also has been above average, in my opinion. But while the returns are great but invested amount is small so it does not make enough impact in my portfolio.
Having a stock like Polycab is both boon and a bane. Boon because profits. Duh! Bane because I never have the courage to sell and book profits. What if it goes up even more? Every time I repeat to myself—I am a long term investor.
Let’s see what happens after five years. 🤞
The dividend yield at cost mentioned in the chart above, is yield at the date at which I received the dividends. Another way to look at dividend yield is to calculate it for the fiscal year.
| Fiscal year | Dividend yield at cost |
| 2019-20 | 1.86% |
| 2020-21 | 0.00% |
| 2021-22 | 1.45% |
| 2022-23 | 1.27% |
| 2023-24 * | 0.00% |
To calculate the dividend yield at cost in the above table I use the below formula.
(Total amount of dividends received in a fiscal year ÷ Total amount invested at the end of fiscal year) × 100
Six years ago when I started investing in Samvardhana Motherson International Ltd, it was called Motherson Sumi Systems Limited. Over last six years the company split its wiring business into another entity called Motherson Sumi Wiring India Limited and renamed itself to Samvardhana Motherson International Ltd.
When Motherson Sumi Wiring Ltd got demerged, the historical share price of Samvardhana Motherson International Ltd got adjusted to remove Motherson Sumi Wiring Ltd’s valuation (not sure if I am using the right terminology here, I am no financial expert). With this adjustment I cannot reliably calculate how my investment has performed historically. If I try to plot my returns, then for the first five years I am in deep red because I bought at a price which included Motherson Sumi Wiring India Limited; but the historical price does not include it (not sure if I made any sense here, again… I am no financial expert).
So rather than the journey I will focus on the data as of today. But before that, lets have a look at the key events during the last six years.
| Date | Event |
| Jul 2017 from Motherson Sumi Systems Ltd | Bonus 1:2 |
| Oct 2018 from Motherson Sumi Systems Ltd | Bonus 1:2 |
| Feb 2022 | Motherson Sumi Wiring Ltd demerges with 1:1 ratio i.e. one equity share of Motherson Sumi Wiring Ltd for every one equity share of Motherson Sumi Systems Limited |
| Sep 2022 from Motherson Sumi Wiring Ltd | Bonus 2:5 |
| Sep 2022 | Motherson Sumi Systems Limited renames itself to Samvardhana Motherson International Ltd |
| Oct 2022 from Samvardhana Motherson International Ltd | Bonus 1:2 |
Now back to returns as of today. For my calculation I am using my holdings of both Samvardhana Motherson International Ltd and Motherson Sumi Wiring Ltd.
After six years, I am at a loss with my investment. Considering the bonus shares issued I thought my dividend yield at cost would be impressive. Alas, I was wrong. Or my understanding of bonus shares was wrong. I will have to Google ‘splits vs bonus’.
| Fiscal year | Dividend yield at cost |
| 2016-17 | 0.00% |
| 2017-18 | 0.35% |
| 2018-19 | 0.52% |
| 2019-20 | 1.65% |
| 2020-21 | 0.00% |
| 2021-22 | 0.83% |
| 2022-23 | 0.83% |
| 2023-24 * | 0.00% |
My investment’s profit (or should I say loss): -2.5%
Had I invested in Nifty 50 Index fund I would have a profit of 64.5%. 🤦
My investment’s XIRR: -0.62%
Had I invested in Nifty 50 Index fund my XIRR would be 12.32%. 🤦
I had initially invested in Nerolac to diversify my investment in paints—I had earlier invested in Asian Paints. But Nerolac’s continued underperformance has made me put it in my ‘ignore’ watchlist. I have small money invested it but it is in perennial loss so let me ignore it, not look at it and it might simply go away.
The dividend yield at cost mentioned in the graph above, is yield at the date at which I received the dividends. Another way to look at dividend yield is to calculate it for the fiscal year.
| Fiscal year | Dividend yield at cost |
| 2018-19 | 0.52% |
| 2019-20 | 0.52% |
| 2020-21 | 0.49% |
| 2021-22 | 0.53% |
| 2022-23 | 0.17% |
To calculate the dividend yield at cost in the above table I use the below formula.
(Total amount of dividends received in a fiscal year ÷ Total amount invested at the end of fiscal year) × 100
Five years seems like a good amount of investment duration in a stock. But considering more than three-quarters of that investment came in last two fiscal years, my investment in Supreme Industries is still very young. Here are my key takeaways.
The dividend yield at cost mentioned in the graph above, is yield at the date at which I received the dividends. Another way to look at dividend yield is to calculate it for the fiscal year.
| Fiscal year | Dividend yield at cost |
| 2018-19 | 0.75% |
| 2019-20 | 2.14% |
| 2020-21 | 0.42% |
| 2021-22 | 0.65% |
| 2022-23 | 1.13% |
To calculate the dividend yield at cost in the above table I use the below formula.
(Total amount of dividends received in a fiscal year ÷ Total amount invested at the end of fiscal year) × 100
Color surrounds us in nature, and we re-create it with pigments. You can think of pigments as pulverized minerals, heavy metals, or chemicals that we swish into oil and spread over a canvas or car: Cobalt becomes blue; ochre red; cadmium yellow. “But nature has a very different way of creating color than we do,” Chanda says. Some of nature’s most vivid looks—the kind worn by peacocks, beetles, and butterflies—do their thing without pigment.
Those colors come from topography. Submicroscopic landscapes on the outer surfaces of peacock feathers, beetle shells, and butterfly wings diffract light to produce what’s known as structural color. It’s longer-lasting and pigment-free. And to scientists, it’s the key to creating paint that is not only better for the planet but might also help us live in a hotter world.
This Is the Lightest Paint in the World
After realising that I was missing IT sector in my portfolio, I started with LTIMindtree and then added Tata Consultancy Services (TCS) portfolio. There was really no research involved in selecting TCS. Not even eeny, meeny, miny, moe. Below are my key takeaways.
While I have mentioned the dividend yield at cost at each date when I received the dividends, another way to look at it is to calculate dividend yield at cost for the fiscal year against total amount invested till that fiscal year.
| Fiscal year | Dividend yield at cost |
| 2019-20 | 0.61% |
| 2020-21 | 0.93% |
| 2021-22 | 1.07% |
| 2022-23 | 2.91% |
To calculate the dividend yield at cost in the above table I use the below formula.
(Total amount of dividends received in a fiscal year ÷ Total amount invested at the end of fiscal year) × 100
Considering more than 90% of my investment in Hatsun has come in last two fiscal years, I think the title “Five years as shareholder of Hatsun” is a bit misleading. Leaving that aside, it has been a roller coaster ride since last one year. I am underperforming Nifty 50 Index and the recent bank collapses are pushing the overall market in downward trajectory. I see a lot of pain for the next year at least.
SVB: Hey, I just lost a ton of money selling government guaranteed bonds, so please invest in us
Others: Wait, why?
SVB: Haha, these startups, they seem to actually not be able to raise money, so we’re bleeding deposits, but it’s all fine, just give us some more capital and we’re fine
The VCs: Excuse me. You don’t have money to pay depositors?
SVB: No, what we’re saying is, we do. It was locked in with MBS earlier, and we sold it now and have $20 billion, which is like gazomba huge types. So yeah, relax, don’t panic.
Everyone: Don’t panic?
SVB: Yeah.
Instantly, everyone panics.
What we should not learn from the SVB crisis
The wild ride with IDFC First Bank continues. July 2022 I was at -30% XIRR; seven months later it is at 10%, slightly above the Nifty 50 Index. There is nothing really interesting for me to write here so go ahead check the graphs below.
