Important Note

From 1st January 2020, we are not taking any new subscription payment for stock recommendation (Buy/Sell calls) service, rather offering the view of personal portfolio transactions of Prasenjit Paul. Click here for details. Members those already paid for stock recommendation service on or before 31st December 2019 will continue to receive the stock recommendation service with all the associated updates and website access. Login at www.paulasset.com to check the remaining stock recommendation balance. Here are the reasons for shifting away from stock recommendation (Buy/Sell calls) service -
 
Removing restriction in personal investment -
Offering stock recommendations (Buy/Sell calls) with the research report means due to regulatory norms I can't invest in the same stock within 30 days prior and 5 days after releasing the recommendation. Further, I can't sell in the due course and can sell only after 5 days from releasing the "Sell Call." Due to multiple such restrictions, I can't able to invest freely in all of our own recommended stocks as within 5 days or 30 days stock price often cross desired level. In fact, I wasn't able to invest in my most of the 2019 recommendations like Polycab, Dixon, PI Industries, Galaxy Surfactants, Amber, TCI Express, GMM Pfaudler, Alkyl Amines etc- almost all of them generated 30-40% return within few months. The new approach is to bring complete freedom in my personal investment activities.
 
Bringing more focus on my core activity of equity research, writing books, etc -
Over the last few years, I have noticed that in stock recommendation service it requires a large amount of time for writing research reports and answering investor's query. Mostly investors query emerges in the downfall of stock price and I noticed in majority of the cases answering query won't add any significant value. Further, offering research reports with future predictions always create unnecessary pressure of being proven correct every time. Instead, better results can be achieved if I solely focus on my core activities and transform the service into offering a glimpse of what I am buying and selling in my portfolio with allocation in personal capacity without offering any future prediction or Buy/Sell calls.
 
Keeping 100% skin in the game -
Stock recommendation without personal investment means no skin in the game. Ideally, I should have my personal monetary commitment in each recommended stock at the same level that I am suggesting to clients. However, I can't take the position on the same day of releasing Buy Call or research report because of regulatory restrictions. To maintain 100% skin in the game or personal monetary commitment, I opt to share information of my personal Buy/Sell transactions without publication of any kind of research report/target price or future prediction.
 
No impact/changes for existing members or members made payment before 31st December 2019
 
  • Existing members having any number of stock balance will continue to receive the said number of stocks with research note as it was earlier. (Login to check stock balance)
  • If the number of stock balance is expired but there are many positions on "Hold", members will also continue receiving updates with website access on those "Open Positions" until we share "Exit" alert on them.
  • If any member wants to shift into "Follow My Portfolio", we will adjust all unutilized balance. In that case too, members will also keep receiving updates on stocks those are on "Hold" under stock recommendation service until we share "Exit" alert on them.
Very Important Consideration
 
We have noted that investors extrapolate future expected return based on the past performance which is a dangerous practice. For example, we had generated a huge return from the period of 2013 to early 2017 and thus many investors increased investment amount and started investing aggressively in the second half of 2017 and early 2018. We underperformed in the entire 2018 along with the huge underperformance of smallcap and midcap index. Similarly, as we underperformed in the entire 2018 so few investors are extrapolating expected return in 2019-2020 based on 2018 underperformance and decreasing investment amount and even some stopped investing which is again a practice that can only affect the return. Interestingly, most of our stock recommendations in 2019 outperforming the market! (Even it is true in mutual funds selection. Mostly the best performing equity mutual fund of any particular year won't remain the best performer in the next year).

 

 Year wise average return from our all stock recommendations.

The following table displays "Past Performance" based on the month of stock recommendation. Depending on the membership joining and membership expiry date of the subscriber's return would vary.

Package Name 2013 2014 2015 2016 2017   2018  2019
Pro Package  225.55% 227.32% 19.26%  69.84%  11.84%  -18.48% 23.18%
Long Term Package  N/A  N/A  N/A  N/A  40.01%   -14.43% 25.79%
 
 
Cumulative average return displayed in the above table is based on the consideration of investing an equal amount in our every recommendation. The original return earned by the members might be varied based on their joining date and investment amount in each stock.
 
 
Stock market investments are subject to market risk. Past Performance is not an indication of the future return. Don't extrapolate future expected return based on the past return.