QIP subscribers see red on investments
The QIP market is the one that deserves attention. The mood has turned sour on the markets post the budget. That sell off helped most of these QIP investors now see a huge MTM loss. Shankar Sharma of First Global had some interesting takeaways on this entire supply of QIP paper and what it would do to these stocks. CNBC-TV18’s Anichya Shah throws light on how the QIP subscriber stocks are shaping up.
“Investors have been expressing a huge amount of concern. But still some of them are going out and buying QIPs. That's what bothers me the most. It means that you have no conviction and you are just buying to flip. So, a lot of people participated in QIPs last week and they are expected to get the stock on Monday and they can sell after three days. So it's down to almost a stopwatch situation that you have a stopwatch in front of you and you are saying, 'God please let this stock market go up next week so that the junk that I bought last week can get sold at 10% higher prices.' That’s never a very comforting thing to know, but I have seen a lot of people say that,” Sharma said.
“Investors have been expressing a huge amount of concern. But still some of them are going out and buying QIPs. That's what bothers me the most. It means that you have no conviction and you are just buying to flip. So, a lot of people participated in QIPs last week and they are expected to get the stock on Monday and they can sell after three days. So it's down to almost a stopwatch situation that you have a stopwatch in front of you and you are saying, 'God please let this stock market go up next week so that the junk that I bought last week can get sold at 10% higher prices.' That’s never a very comforting thing to know, but I have seen a lot of people say that,” Sharma said.
