This
is the confession of a trader. This is an apology of a margin trader to all retail
investors who lost heavily since May 13 and more so since May 18.Markets
are cruel. They don't forgive one casual decision when one calls his/her broker
and buys, which one may have done many times in the past or through the press
of a single button in computer for those who trade online.
Why
do I need to apologize? I have lost heavily I lost 95% since May 12 on my stockmarket
portfolio, which was more than 50% of my total portfolio. But I apologize more
to many retail investors who may be wondering about the cause of the fall and
cursing their decisions of entering the market heavily just before May 12 and
smalltime investors from the lower strata in the last few days before the fall.
This confession is also to those who had to sell as she/he needed the money badly
to treat his/her ailing relatives or for some other emergency needs.
What's
my background? Am I an `informed investor' as the Finance Minister or SEBI would
state? I believe so educationwise, knowledge wise and market information wise
I made a mistake, at times you get away with it and at times you don't.There
are different participants in a stock market or in any market. There are people
who depend on the market for a living the brokers, the investors, the traders,
position takers, even operators and regulators as well as the infrastructure needed
for payment mechanism.The
brokers' community is interested in more transactions and a healthy market, which
leads to more transactions. And they compete for business by providing margins
to customers.
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