The continuing mayhem in equity and currency markets in Asia, has led to widespread confusion amongst Indian investors, and even an undercurrent of fear. Old hands too, are shaking their heads, wondering how things have managed to get so unpredictable, and out of control. The financial papers are filled with articles about how Indian scrips now crash to the tune of stock markets around the world. The allure of the stock market is so great, that all classes of people are drawn as if to a magnet. Once bitten by the bug, few can escape.
Investors have reason to be gloomy.
The listless secondary market raises its head once in a while, only to disappoint, while the dead primary market keeps small investors away. Despite the expectations built up by the last Budget, the economy appears to be stuck in the doldrums. A few years ago, when SBI was first listed, few expected it to displace heavyweights like Tisco and Reliance as the bellwether stock of the Sensex. Textbooks and experts have long reiterated the importance of understanding one's own investment needs. The wise men say that this is the key to successful investing.