Dream 2020 by Tamil Trader: Every Indian Home needs one professional trader

[Niranjanam]

This is possible but the government should make some effective steps. Something like
1.Declare a support price for every stock from time to time and ask DIIs to buyback stocks at this rate from losing investors.Better guarantee a buy back @90% of purchase price.
2.Compensate the loss of derivative traders from PMs relief fund.
3.Scrap all the taxation on exchange transactions and make trading income tax free.

Please do come up with other innovative ideas

 

[Steve]

There is a common perception that trading is a no win situation, if 100 trade, its only 5 that make profit
the remaining 95 losers add to this perception of trading being a no no indulgence. Being a zero sum game - if
one wins somebody has to lose, besides the person who wins doesn't get the entire amount, from the
person who has lost, there's a middleman -the BROKER WHO ALWAYS WINS, who gnaws a percentage of
the gains of the winner as well as adds to the losses of the loser.
Educating the 95 who lose will tilt this balance to a very small extent as this is a zero sum game. This is also
the reason why casinos never lose.
In a true sense Trading is a brokers paradise.

 

[Niranjanam]

In a true sense Trading is a brokers paradise.

I doubt. Brokers are struggling to stay afloat. HSBC is exiting its retail broking operations ( Read). Many well known broking firms are on the verge of closing down.

 

[gkpc]

Why B always wins?

Why A,C,D,E loses money?

I assume that ACDE are living in our indian home. If they lose, they are not encouraging other traders. So Traders are very low comparing to indian population

So, We should take effort for A,C,D,E.

Thanks for your reply

I think here "B" represents one of the 10% who make money and others are in the group of 90% who loose money !

 

[gkpc]

There is a common perception that trading is a no win situation, if 100 trade, its only 5 that make profit
the remaining 95 losers add to this perception of trading being a no no indulgence. Being a zero sum game - if
one wins somebody has to lose, besides the person who wins doesn't get the entire amount, from the
person who has lost, there's a middleman -the BROKER WHO ALWAYS WINS, who gnaws a percentage of
the gains of the winner as well as adds to the losses of the loser.
Educating the 95 who lose will tilt this balance to a very small extent as this is a zero sum game. This is also
the reason why casinos never lose.
In a true sense Trading is a brokers paradise.

With cut throat competition,not any more I presume !

 

[Tamil trader]

Current Scenario is ,

FII takes our indian money and take this money to their country. So our traders' money are with FII.

FII never loses in our market.

I always dont blame brokers. Because Broking business is very competive now as there are many cheapest online brokers. But they intentionally give the calls to their client and place the orders and earn brokerage income. Brokers use the weakness of the new trader.

But they cannot control the experienced traders. Experienced traders always have the separate style for their trades.

According to me, Lack of knowledge is the only reason for the failure of Indian Traders.

 

[Steve]

I doubt. Brokers are struggling to stay afloat. HSBC is exiting its retail broking operations ( Read). Many well known broking firms are on the verge of closing down.

Among the three, a winner, a loser and the broker, its the broker who always wins hands down!

Changing according to times and adapting to current business situations is what any profitable
business demands, if a business does not adapt to current situations it is liable to close shop. Discount
brokers with low overheads and attractive schemes, have realized if they have to stay in business they
have to cater to the productivity of the trader by lowering brokerage rates and giving good service, among other things.

Steve

 

[rvm123]

The concept of "If one wins, another one looses" is not correct. In share market, there is no one to one concept. So, if one wins, ONE WINS; if one looses, ONE LOOSE. That is all.

Secondly, i dont think even in developed countries, every household will have a professional trader.

To have one trader per family, awareness about stock market has to be spread; unemployment has to be ruled out.

THESE ARE MY PERSONAL VIEWS

 

[ashu1234]

Lets define the term "Professional trader" first.
If we go by the international standards, trading is considered as a professional activity, they have specific courses and have full time jobs of traders in their firm. Means one who is pursuing his ambition as a trader is sure that he will land up in some professional firm offering worth pursuing career option in the selected field.
Now apply the same standards in Indian scenario- you won't find the same kind of atmosphere here. Trading is discouraged here by the government and also by the people here who have lost heavily in the past. You won't get good job opportunities and work atmosphere here as it is seen here with other professions. Major hindrance is from the Govt side, we don't have fully functional capital market supportive policies, market is jittery because there is no clear cut policies for anything plus trading is heavily taxed to fill the govt exchequer.
I think the environment in which we are living is not the best suited for advocating trading as a career option as you don't have backing from your family, by your govt or by the companies who might gonna employ you.
If you really need to make it happen then think of corporates like Goldman sachs, J.P morgan etc to work freely in India and employing Indian traders on fat pay checks (although it will come at its own risks) Then only perception may change, until then 2020??? Forget 2050....

 

[TraderPRO]

If trading is easier and everyone in win-win , there wouldnt be anyone in the world who will do any services or manufacturing or farming..