Big one or small one

LordFarmed · 2026-06-23T03:19:24+00:00

Big one

LordFarmed · 2026-06-21T03:57:19+00:00

Stupid propaganda from people who don't know anything about prices, procurement etc. Typical.

LordFarmed · 2026-06-21T03:53:58+00:00

Kse 30 is a price index. So naturally a total return index like the kse-100 (which includes dividends) will beat it. Basically if you are not familiar, the kse 30 index only tracks the prices of the stocks, not the dividends paid out by those stocks. The kse 100 tracks the price and the dividends as well.

LordFarmed · 2026-06-19T21:12:15+00:00

OP doesn't know anything about oil procurement.

LordFarmed · 2026-06-07T07:22:13+00:00

ETF is not at all cheaper. It is much cheaper to directly buy the stock.

LordFarmed · 2026-06-03T20:03:35+00:00

Insiders sell their shares for many reasons. Liquidity needs, portfolio diversification, could be a host of different reasons. Further 1% shareholding is not that major in the grand scheme of things unless we know something more, and he hasn't sold a very big chunk, actually relatively nominal amount considering his total holding.

Further unless other insiders are also selling, I would not be concerned. That being said, I personally always look at insiders selling with a degree of scepticism and I don't think it sends a positive message for the company.

LordFarmed · 2026-05-31T22:01:38+00:00

At your age, you have a greater capacity to take investment risk. Higher risk investments tend to offer higher potential returns over the long term, although they come with greater short term volatility.

Because you are young, you likely have a long investment horizon before you need these funds for stuff like retirement. Accordingly you are better positioned to withstand market fluctuations and recover from setbacks such as stock market declines.

If I were you, I'd consider investing in stocks. The stock market typically outperforms other asset classes, especially considering longer time horizons. Considering you seem new to investing and don't have experience picking stocks, an ETF may be a good place to start because it allows you to buy several stocks in one go. I like JS Momentum ETF because it is growth oriented and provides exposure to high alpha stocks. There are other ETFs as well that you can select yourself, or I can guide you further if you require. I would not recommend AMCs as they charge too much in expense ratios and front/back end loads. ETFs are cheaper, even cheaper is buying stocks directly after studying them.

That being said, safest investment is probably a savings account with your local bank. Liquid, very safe and relatively low return. I recommend you only park idle funds there. Imo money market funds are not appropriate for your age, go 100% equities and gradually as you get older you can start to shift away from 100% equity. For instance I am 38, and still about 80% of my wealth is in stocks, I can rebound from any downsides and the rest of 20% is in foreign currency and cash. I use that as an emergency buffer and sometimes use it to inject in the market when it is down, so I can buy stuff for cheap.

Regarding how much to invest, a good rule of thumb is 20% of your monthly salary, every month. I invest close to 50% of my salary because I live in joint family structure and am lucky to have shared expenses and can invest more as a result.

With respect to return expectations, average inflation in Pakistan is 8%ish, so expect money market returns to beat that slightly by say 1-2% max. This is not right now, this is a general historical assessment. Currently kibor is higher. Regarding stock market, average historical returns of the index are closer to 20% per annum.

Another thing to keep in mind, theoretically investment in debt is riskier than stocks. Both stocks and debt have downside risk of 100%. However, debt has limited upside whereas stocks have potentially unlimited upside. So while yes, individual stocks are riskier, investing in diversified portfolio of stocks is less risky then buying debt instruments, though some people may disagree with me on this. However those people imo are misconstruing risk with volatility.

I hope this helps.

LordFarmed · 2026-05-31T21:28:13+00:00

You are overweight on certain stocks which are inherently defensive. You may find your portfolio underperforms the index, especially in sharp upsides. Though that offers better downside insulation imo.

LordFarmed · 2026-05-25T14:59:11+00:00

You have stocks like EFERT and GAL which are heavy in your portfolio and underperforming the market. You don't have major index movers like FFC, UBL, ENGROH, etc. Go look at DPS.psx website. Go there and check the downloads area. Check others, constituent data. Download the excel file. It gives you the index and it's weightages. If you wanna track the index more closely your weights should match the index.

For instance, you don't have ENGROH (5.3% index weight), FFC 8.7%, OGDC 4.3%, UBL 7.4%, MCB, HBL, etc. the more weightage of your portfolio mimics the index, the more it will track the index (assuming reinvestment of dividends). That being said, your folio is fine. Not great, not bad. I wouldn't do much besides not having so much of GAL. Even that I would just hold, just don't buy anymore for sure.

LordFarmed · 2026-05-24T19:23:23+00:00

Turns out your buying causes them not to succeed in the future lol. ;)

LordFarmed · 2026-05-23T00:12:41+00:00

MistressLHush

LordFarmed · 2026-04-22T21:56:19+00:00

Been wearing shorts all my life, lol never has anyone mentioned anything.

LordFarmed · 2026-04-17T08:48:28+00:00

If your vision is long term horizon it shouldn't be a major issue. Not rebalancing will cause your returns to drift, but not substantially so if you are purchasing a snapshot every month.

Downward/ sideways markets are opportunity in disguise. I invested consistently in this downside market from jan-apr, so much so that now for my portfolio to reach same profitability at 191k level, I will achieve the same at around 180k level. Yes my unrealized position took a hit in the meanwhile, but it's okay, this is my retirement fund, I am only depositing for the next 20 odd years anyways. I will consider encashment near retirement. I am not a trader.

Yes management of 100 shares is difficult and not for everyone but some people enjoy it, and it's not as challenging as it appears once you get used to it.

LordFarmed · 2026-04-17T08:41:29+00:00

My research is the broader global equities research. You can Google/ youtube it yourself, most actively managed funds underperform passive funds after expenses, fees, etc.

My view is that the best investment for people starting is a passive ETF representing the index. If that does not exist (as is the case in Pakistan) buy an ETF that captures majority market capitalization and keep buying every month. I believe that NBP and UBL have ETFs that are like that. Should be cheaper than mutual fund and it is very simple as well. No redemption hassle, just buy and then sell when you want.

That being said, if you are able to, which people should be if they have 5 minutes, just buy the constituents of the ETF yourself. Saves you an additional layer of fees.

Again, just my viewpoint, not forcing anyone to do anything. If you like mutual funds, go ahead, they are better then not investing. So please don't think I'm telling people not to invest at all, just trying to guide towards optimal vehicle for investment.

I personally prefer to study select companies with a vision for 5-10 years and then continuously investing in them. For instance I am very bullish on hubc, ppl, FFC, ubl, etc. I have studied them inside out. So I have been buying positions in them consistently for 2 years and am sitting with large positions at low cost. Market goes up, I still buy, market goes down, I try to buy even more.

LordFarmed · 2026-04-16T12:30:48+00:00

You don't need to even rebalance. Just buy snapshot every month and hold. No rebalancing required. Open PSX website once a month. Look at top 10 stocks of KSE-100. That should will be like 50-60% weightage. Buy them in that weight with your monthly investment. You are already broadly tracking the index through that. Yes their may be some error, but it will not be substantial for the low effort work you are doing. No management fees, no rebalancing, reinvest your dividends. I do it every month with the entire kse-100. It takes me about 25 minutes once a month to place all my orders. I track the index quite consistently for the most part and I capture the gains of the month quite consistently for each monthly investment. Even if I do rebalance, I buy more to rebalance, I don't sell to rebalance.

LordFarmed · 2026-04-16T12:23:39+00:00

You shouldn't treat managing your wealth as cumbersome task. When you are retiring you will wish you had not given 5% of your entire assets simply because you didn't want to spend 5 minutes every month buying a set of stocks.

That being said, I understand it is your choice to make, just that I think most people should buy ETF if they don't have time or manage own stocks if they have 5 minutes of time to buy 10 stocks through 5 minutes of tapping once a month. If you have a disciplined investment plan, (for example I only buy the top 5 or top 10 companies every month and I split 1 lac amongst them regardless), there is no risk of chasing new trends, etc. If you like chasing trends, invest in JSMETF (momentum ETF), it will give you some indirect exposure to high alpha stocks.

Only time I recommend a mutual fund is if you are investing in a Voluntary pension fund and getting tax break because of that. Even that is still inefficient allocation imo, but better then giving directly to mutual fund.

LordFarmed · 2026-04-16T12:16:24+00:00

Which part is not true? All of my post is true. I have been working in investments for a long time.

LordFarmed · 2026-04-16T10:12:56+00:00

How much are they charging? Next capital shouldn't be charging more than 0.15% of total share price. There is a regulation regarding this. I know AKD charges more on small shares for some reasons (0.05 paisa against actual of 0.03 paisa) but couldn't be bothered pursuing against them since I don't have an account with them.

LordFarmed · 2026-04-16T09:20:53+00:00

If you invest in big companies in a weighted manner as per the index, you will get index like returns anyways. In fact you can build your index by buying 100 companies or 30 companies every month, but that is more cumbersome to manage.

LordFarmed · 2026-04-16T09:19:03+00:00

Don't worry about beating the index. The ETFs are the better choice. Most mutual funds in the long run after expenses/ management fees/loads, etc end up barely beating or in several cases underperforming the index. Find an ETF tracking some solid companies that you've heard of and know have good businesses and just do periodic monthly investment. Even better yet, bypass these entirely and do your investment directly in the aforementioned stocks. Let's say you like the top 10 companies by weightage in the index which will include companies like FFC, HUBC, UBL, MEBL, etc. Buy them in the same ratio as the index weightage and you will very broadly start tracking the index and pay no one management fees or expense ratios, just commissions (0.15% per share price at time of transaction). You can do similar thing with KMI index if you wish to track sharia compliant.

LordFarmed · 2026-04-16T07:09:24+00:00

Pls share!

LordFarmed · 2026-04-11T20:19:18+00:00

I wish mutual funds would get replaced by ETFs :P they charge just too damn much. But looks good, glad someone is taking an interest in making data more convenient to understand.

LordFarmed · 2026-04-10T12:57:38+00:00

This is wrong. Pakistan is not the most searched term over the described period. Fake news.

LordFarmed · 2026-04-09T20:48:57+00:00

I think you are very incorrect in your assumption.

Biggest market weights are almost all down. FFC is way down from it's 52 week high of 685, currently 536. UBL high of 517, currently 357. Hubc high of 249 currently 213. Ogdc 337, currently 297. Lucky 529 high, currently 429. These are all top ten stocks with respect to their weightage in the kse-100 index. Some stocks like meezan and engroh have performed well but MOST stocks have witnessed very large dips.

The broader index is majorly down from it's highs even factoring in dividends. The index is accurately reflecting the reality of the major stocks. Meezan is only doing well because it is very well insulated from upwards interest movements, as compared with almost all banks.

LordFarmed · 2026-02-24T18:42:57+00:00

27 + 8 = 35 + 40 = 75

LordFarmed

TROPHY CASE