CAGRfunds – Blog

CAGR Insights is a weekly newsletter full of insights from around the world of the web.

Chart Ki Baat

Gyaan Ki Baat 

The Hidden Cost of Quick Wins: Why Skill Alone Isn’t Enough

India is hooked.

From living rooms to local trains, over 130 million people are glued to fantasy sports apps like Dream11 every day. These platforms raked in ₹6,400 crore in FY23—and that’s not even the full picture.

So, what’s driving this craze?

At the heart of it is something deeply human: our love for risk and the rush of a quick win. It’s the same thrill that’s pulling an ever-growing crowd into the high-stakes world of Futures & Options (F&O) trading. Because, hey—if you can turn a few hundred into a few thousand before lunch, why not?

Here’s why not.

Just like the flashy lights of a casino, both fantasy sports and F&O trading are brilliantly designed so the house always wins. Fantasy platforms skim a cut off every contest. In F&O, it’s even grimmer: SEBI reports 9 out of 10 retail traders lose money—usually to the brokers and institutional bigwigs who never play fair.

Both are paraded as “games of skill,” convincing users that with enough stats, strategy, or stock tips, they’ll beat the system. But for most, this belief is just a well-packaged illusion.

Think about it. You could spend hours analyzing cricket form or reading market trends… only to walk away poorer and more stressed. Meanwhile, those hours could’ve gone into leveling up your career, launching a side hustle, or building a rock-solid investment portfolio.

But here’s the kicker: the urge to gamble isn’t the enemy.
It’s natural—a leftover from our evolutionary wiring that once helped us survive. The real game? Learning to manage it.

Smart investors don’t pretend they’re above the thrill. They set aside a “fun money” fund—just enough to scratch the itch without bleeding their savings. The rest? They park it in boring, long-term, evidence-backed investments that quietly snowball over time.

And let’s not forget: fantasy gaming might burn a few hundred, but F&O trading? Thanks to leverage, it can wipe out multiples of your initial investment—sometimes overnight.

Thankfully, some fintech startups are catching on. They’re offering fantasy stock trading apps where you can test your chops without risking real cash. It’s like learning to drive in a simulator before hitting the highway. A small but solid step in the right direction.

As the legendary Charlie Munger said:

“The first rule of compounding is never to interrupt it unnecessarily.”

Bottom line?
Whether it’s cricket or capital markets, when you play their game, the house always wins.
The real winners? They know when to step off the table—and let their wealth do its thing, growing quietly in the background.

Personal Finance

• Soon, you can withdraw up to Rs 5 lakh from EPFO account without manual verification: With an increase in the auto-settlement limit, the members would be able to automatically withdraw up to Rs 5 lakh instantly. At present, members had to wait for manual verification for advance withdrawal of amounts above Rs 1 lakh. Read here
  
  
• How to spot a genuine Sebi-registered financial advisor and avoid scams: India has seen a rise in investment scams, especially targeting the elderly. To stay safe, always verify a Sebi-registered adviser, insist on a signed Letter of Engagement, avoid “guaranteed returns,” and never transfer money—RIAs offer advice, not transactions. Read here
  
  

Warren Buffett has a record amount of cash on the sidelines. Here’s how experts recommend balancing saving and investing: Warren Buffett’s $334B cash stash has everyone talking—but should you follow his lead? Experts say hoarding cash may hurt your returns. Discover why a smart 60/40 portfolio wins long-term and the right way to balance cash and investments! Read here

Investing

• Sebi’s rule regarding NAV of overnight funds to come into effect on June 1: Markets regulator Sebi has carried out a change in cut-off timings to determine applicable net assets value (NAV) with respect to repurchase or redemption of units in overnight mutual funds.Read here
  
  

Give Now, Not Later: Most people would rather receive $250k at 30 than $1M at 50—because timing matters more than totals. This thought-provoking piece challenges traditional inheritance norms and explores smarter ways to give. Curious why? Click to rethink when—and how—you pass on wealth. Read here

Economy & Sector

• Indian economy less vulnerable to global headwinds, says cenbank: India’s economy remains resilient amid global uncertainty, thanks to strong domestic demand, low inflation, and robust fundamentals. With opportunities from global supply chain shifts and FDI inflows, India could turn turbulence into triumph. Click to see why RBI is optimistic! Read here
  
  
• IMF cuts India view cautions against global de-integration: India’s economy remains resilient amid global uncertainty, thanks to strong domestic demand, low inflation, and robust fundamentals. With opportunities from global supply chain shifts and FDI inflows, India could turn turbulence into triumph. Click to see why RBI is optimistic! Read here
  
  
• ​ India lifts 17 crores out of poverty, employment growth outpaces population: World Bank: In its report titled India Poverty and Equity Brief, the multilateral agency said that extreme poverty—defined as living on less than $2.15 per day—fell to 2.3 per cent of the population in 2022–23, down from 16.2 per cent in 2011–12. Read here
  

Check out CAGRwealth smallcase portfolios

Our smallcase portfolios are ranking well in the smallcase universe in terms of 1-year returns.

• CFF (launched in June 2022) – Ranked 1^st amongst smallcase with medium volatility.

• CVM (launched in May 2022) – Ranked among Top 20 across the Momentum smallcase universe.

Do check it out here

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That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.

The content of this newsletter is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information outlined in this newsletter unless mentioned explicitly. The writer may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated in this newsletter.

CAGR Insights is a weekly newsletter full of insights from around the world of the web.

Chart Ki Baat

Gyaan Ki Baat

Why Moving from Wealth Accumulation to Wealth Preservation Matters

In the early stages of our financial journey, the focus is clear—grow, invest, and multiply wealth. This is the phase of wealth accumulation, where risk-taking and aggressive strategies are rewarded by time and compounding. But as we move closer to our financial goals—retirement, children’s education, or legacy planning—the game changes. The priority shifts from “How much more can I make?” to “How can I protect what I’ve built?” This is the essence of wealth preservation.

Why does this shift matter? Simply put, time is no longer on your side. Market downturns that were once mere blips can now threaten your lifestyle and long-term security. Preserving wealth is about safeguarding your hard-earned assets from risks like market volatility, inflation, unexpected expenses, and even taxation. It’s a proactive approach—diversifying investments, rebalancing portfolios, planning for taxes, and ensuring adequate insurance coverage.

Wealth preservation isn’t about abandoning growth; it’s about finding the right balance. Your portfolio should still have some growth potential, but the emphasis is on stability, steady income, and risk management. Think of it as shifting from sprinting to marathon running—pace, endurance, and protection become the new priorities.

Remember, the journey from accumulation to preservation is not a sign of slowing down, but a mark of financial wisdom. Protecting your wealth ensures that your dreams, lifestyle, and legacy remain secure for you and your loved ones, no matter what life throws your way

Personal Finance

• How to settle credit card payments without extra charges? 6 smart tips that work: Want to ditch credit card debt without wrecking your credit score? Discover smart, fee-free strategies like budgeting, balance transfers, and auto-pay. Build financial strength and avoid costly mistakes—click to take control of your money the smart way! Read here
  
  
• Old tax regime vs new tax regime: Which one to pick as the new financial year kicks in. Check details: As FY26 begins, choose wisely between the old and new tax regimes—lower rates vs. higher deductions. The new regime is now default! Wondering which one saves you more?  Read here
  
  
• Why buying multi-year policies in health insurance makes financial sense: Rising medical costs? Lock in your health insurance premium now! Multi-year policies (3–5 years) offer discounts, stability, and peace of mind—especially for young buyers. Avoid future hikes and enjoy tax perks too. Click to see why this strategy is a game-changer! Read here

Investing

• The Price of Peace: Why Diversification is Difficult, but Necessary: Diversification won’t make you rich fast—but it will keep you from going broke. While a concentrated bet might outperform, a well-diversified portfolio cushions the blow when markets crash. Curious how the “optimal portfolio” stacked up against the S&P 500? Click to learn the true cost—and reward—of peace of mind. Read here
  
  
• Patience pays: How long‑term investing works its magic: Investing in fundamentally strong companies at reasonable prices—and then simply holding on long enough – can work wonders for your wealth. The Long‑Term Growth Portfolio is built on this very philosophy: buy quality stocks, be patient, and let compounding do the heavy lifting. To understand why this approach leads to prosperity. Read here

Economy & Sector

• Tariffs are just one weapon in a trade war: Global trade is set to contract by 0.2% in 2025 amid rising U.S.-China tensions, new chip export bans, and cancelled freight shipments. Markets are reeling—but trading desks are booming. Click to understand the full impact of Trump-era trade shocks. Read here
  
  
• India eyes ending import tax on US ethane and LPG in trade talks, sources say: India is considering removing import taxes on Ethane and LPG from the United States. This move is part of broader trade negotiations with Washington. The goal is to reduce India’s trade surplus and ease tariff burdens. India may also eliminate import tax on U.S. liquefied natural gas. Increased U.S. energy imports could help India avoid heavier tariffs. Read here
  
  
• ​Missing the target: On the economy, the Centre’s growth target: India’s industrial growth hit a 6-month low of 2.9% in February, dragged down by weak manufacturing and mining, and a sharp dip in consumer demand—despite easing inflation. Investment picked up, but global jitters and market volatility hurt confidence. Will India miss its 6.5% GDP growth target? Read here

Check out CAGRwealth smallcase portfolios

Our smallcase portfolios are ranking well in the smallcase universe in terms of 1-year returns.

• CFF (launched in June 2022) – Ranked 1^st amongst smallcase with medium volatility.

• CVM (launched in May 2022) – Ranked among Top 20 across the Momentum smallcase universe.

Do check it out here

****
That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.

The content of this newsletter is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information outlined in this newsletter unless mentioned explicitly. The writer may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated in this newsletter.

CAGR Insights is a weekly newsletter full of insights from around the world of the web.

Chart Ki Baat

Gyaan Ki Baat

A policy stance serves as the guiding principle for decision-making by central banks, reflecting their priorities in balancing economic growth, inflation control, and financial stability. The Reserve Bank of India (RBI) regularly adjusts its monetary policy stance to address evolving economic challenges.

Types of Monetary Policy Stances:

1. Accommodative Stance: Focuses on boosting economic growth by lowering interest rates and increasing money supply.
   
   
2. Neutral Stance: Balances inflation control and growth, allowing flexibility to either hike or cut rates.
   
   
3. Hawkish Stance: Prioritizes controlling inflation through higher interest rates and tighter monetary policy.

RBI’s Current Policy Stance (April 2025)

The RBI recently shifted its monetary policy stance from neutral to accommodative during its April 2025 Monetary Policy Committee (MPC) meeting. This shift was accompanied by a 25 basis points (bps) cut in the repo rate, bringing it down to 6%.

Why the Shift?

1. Easing Inflation: Retail inflation has moderated to around 4%, providing room for rate cuts without stoking price pressures.
   
   
2. Slowing Growth: GDP growth projections for FY 2025-26 were revised downward to 6.5% from 6.7%, prompting the need for policy support to stimulate demand.
   
   
3. Global Uncertainty: Trade tensions, US tariff threats, and global economic slowdown risks have increased uncertainty, necessitating measures to shield domestic growth.
   

Implications of an Accommodative Stance

• Lower Borrowing Costs: Reduced repo rates will lead to lower interest rates on loans, encouraging borrowing and investment.
• Boost to Consumption and Investment: Cheaper credit can revitalize demand in sectors like housing and automobiles.
• Economic Resilience: By prioritizing growth, the RBI aims to counteract external shocks and maintain economic momentum.

Takeaway

The RBI’s accommodative stance reflects its proactive approach to addressing slowing growth while leveraging low inflation levels. This shift underscores the central bank’s commitment to fostering economic stability amidst global headwinds.

Personal Finance

• What is a part payment in a personal loan? Benefits and drawbacks explained: Part payment helps cut loan interest and shorten tenure by reducing the principal early boosting credit too. But beware of prepayment charges! Want to save big on your personal loan? Read here

• RBI circular: Banks should pay 8% interest to retired govt employees for pension payment delay: Retired govt employees to get 8% interest on delayed pensions—automatically credited! RBI’s new rule strengthens pensioners’ rights. Missed or late payments since 2008? You could be owed money. To find out if your bank owes you. Read here

• UIDAI launches new Aadhaar app for simplified Aadhaar verification: Say goodbye to photocopies! UIDAI’s new Aadhaar app (beta) lets you share only what’s needed—instantly, securely, and with full control. From hotel check-ins to online verifications, it’s Aadhaar made smarter. To know how it protects your privacy Read here

Investing

• How Long Does it Take for the Market to Recover? Markets fall fast but recover slowly—historically taking 4–9 years after major drops. While downturns are tough, they do end. Staying invested with realistic expectations is key. Remember: nothing lasts forever, not the lows… and not the highs either. Read here

• Bear Market? Don’t Panic. Here’s How to Invest During One: Bear markets are short-lived downturns that often spark fear—but staying calm is key. With smart strategies like dollar-cost averaging, diversification, and a long-term mindset, investors can turn panic into opportunity and come out stronger when the market inevitably rebounds.Read here
  
  
• Should you start investing in gold as global financial order shifts? Central banks are boosting gold reserves to hedge against inflation, geopolitical risks, and economic uncertainty. While gold offers security, it’s less predictable than equities. Experts recommend a balanced portfolio, with gold making up just 5-10% for long-term stability. Read here

Economy & Sector

• RBI monetary policy: 6 key takeaways from MPC meeting: The Reserve Bank of India (RBI) on Wednesday announced a reduction in the repo rate. The move comes at a time when global uncertainties, like ongoing trade tensions and a weakening US dollar, are creating pressure on economies around the world. Here are 6 takeaways. Read here

• Microfinance: Its rising importance and relevance in the Indian economy: Microfinance in India, serving 80 million borrowers, has thrived despite crises like COVID-19 and demonetisation. With strong recovery rates and digital innovation, it’s bridging vast credit gaps. Discover how this resilient sector is bouncing back—again. Click to read more! Read here
  
  
• Indian job market stays strong amid global uncertainty, Michael Page India: India’s job market thrives despite global uncertainty, fuelled by digital growth, STEM talent, and AI-focused upskilling. Booming sectors like cybersecurity and semiconductor design drive demand. Discover why global giants are betting big on India’s workforce.Read here

Check out CAGRwealth smallcase portfolios

Our smallcase portfolios are ranking well in the smallcase universe in terms of 1-year returns.

• CFF (launched in June 2022) – Ranked 1^st amongst smallcase with medium volatility.

• CVM (launched in May 2022) – Ranked among Top 20 across the Momentum smallcase universe.

Do check it out here

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That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.The content of this newsletter is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information outlined in this newsletter unless mentioned explicitly. The writer may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated in this newsletter.

CAGR Insights is a weekly newsletter full of insights from around the world of the web.

Chart Ki Baat

Tariffs Imposed By US

Gyaan Ki Baat 

Investing Wisdom from Buffett’s 1989 Letter

Warren Buffett’s 1989 letter to Berkshire Hathaway shareholders is a masterclass in avoiding pitfalls and embracing timeless investing principles. It’s not just about celebrating success—it’s about dissecting mistakes and learning from them. Here are the standout lessons from this brutally honest reflection:

1. The Power of Tax Deferral: Let Compounding Work for You

Buffett highlights how frequent selling erodes the magic of compounding through taxes. His thought experiment is eye-opening: deferring taxes can turn Rs 1 into Rs 9.2 lakh over 20 years, compared to Rs 2.9 lakh if gains are taxed along the way. The lesson? Avoid unnecessary selling and let your investments grow undisturbed.

2. Look-Through Earnings: Seeing Beyond the Surface

Reported earnings often miss the full picture. Buffett emphasizes “look-through earnings,” which include profits reinvested by investee companies that don’t show up on income statements. Trusting skilled managers to reinvest retained earnings can yield better results than demanding dividends—a reminder to focus on long-term value creation.

3. Beware the EBITDA Illusion

Buffett critiques Wall Street’s obsession with EBITDA during the leveraged buyout craze of the 1980s. Ignoring depreciation and capital outlays is like pretending a broken engine doesn’t matter because the car still rolls downhill. Real businesses need maintenance, and debt-fueled acquisitions often lead to financial instability. Always evaluate cash flows realistically.

4. Time Is the Friend of Quality Businesses

Buffett’s reflection on his “cigar butt” investing mistakes reveals a profound truth: mediocre businesses erode value over time, while great businesses compound it. Instead of chasing bargains, focus on quality companies with enduring competitive advantages—ones that can reinvest capital at high returns.

5. Avoid Tough Problems, Focus on Easy Wins

Buffett learned that solving complex business problems isn’t worth the effort. Instead, he advocates tackling simple opportunities—a philosophy that aligns with his preference for businesses with straightforward economics.

6. Partner with Great People

Buffett underscores the importance of associating with trustworthy and capable managers. Mediocre management in poor businesses won’t guarantee success, but great partners in good businesses can achieve wonders.

Takeaway for Investors Today

Buffett’s lessons resonate deeply in today’s financial landscape, where inflation, market volatility, and speculative bubbles dominate headlines. His advice is clear: prioritize quality over quantity, trust compounding, avoid shortcuts like EBITDA illusions, and partner wisely. Above all, remember that avoiding mistakes is often more valuable than fixing them later—a principle that applies not just to investing but to life itself!

Personal Finance

• EPFO removes two more claim settlement requirements: EPFO has simplified the claim settlement process by removing the requirement to upload cheque images and attested bank passbooks for online claims. It also eliminated the need for employer approval to seed bank account details with UAN. These changes will benefit millions, reduce claim rejections, and streamline procedures.Read here
  
  
• Guide to all financial changes from April 2025: Credit cards, income tax, mutual funds and more: As the new financial year 2025-26 starts today, multiple regulatory changes will take effect across mutual funds, credit cards, UPI transactions, taxation, and GST. To know more about the changes. Read here
  
  
• Here’s how NRIs can benefit from buying health, term insurance in India: Non-Resident Indians (NRIs) can access affordable health and term insurance in India, benefiting from an 18% GST refund when premiums are paid from NRE accounts. Additionally, NRIs can claim tax deductions under sections 80C and 80D. Term insurance offers tax-free death benefits, ensuring financial security for families. Read here

Investing

• Understanding the psychology of investing matters more than ever: In times of market volatility, investors should maintain a long-term perspective, avoiding emotional decisions driven by short-term fluctuations. Emphasizing discipline, decision journaling, and understanding risk can help investors stay focused and weather market downturns for future gains.Read here
  
  
• Would $2M at 23 Make You “Set for Life”? Is $2M at 23 enough to be “set for life”? It depends! While it offers incredible freedom, it might not last forever without smart investing, frugality, or extra income—especially as inflation creeps in. Find out if you could really live off it! Read here
  
  
• What investors should learn from the correction in small-cap stocks? From 2020 to 2024, investors bet on small-cap stocks, assuming high risk guaranteed high returns, with the BSE SmallCap Index rising 571%. However, a recent 18.5% drop shows that higher risk doesn’t always lead to higher returns, challenging this belief. Read here

Economy & Sector

• Trump’s Tariffs & India’s Economy | How Will India Navigate the Economic Challenges? Donald Trump imposed a 27% import duty in India, citing unfair trade practices, while claiming India charges a 52% tariff. India’s Commerce Ministry is assessing the impact and exploring new trade opportunities, as US-India trade discussions continue for a Bilateral Agreement. Read here
  
  
• India’s growth to be highest among advanced, emerging G20 nations: Moody’s: Moody’s forecasts India’s GDP growth at 6.5% for FY26, the highest among G-20 nations, driven by tax reforms and monetary easing. Despite global risks, India’s large, domestically driven economy, low external vulnerability, and strong capital markets ensure resilience.Read here
  
  
• RBI governor says next decade will be crucial in shaping financial architecture of Indian economy: RBI Governor Sanjay Malhotra emphasized the bank’s evolving role in balancing price stability, financial stability, economic growth, and technological advancements. He committed to expanding financial inclusion, improving customer services, and strengthening the financial system while upholding core values of integrity and transparency. Read here

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Check out CAGRwealth smallcase portfolios

Our smallcase portfolios are ranking well in the smallcase universe in terms of 1-year returns.

• CFF (launched in June 2022) – Ranked 1^st amongst smallcase with medium volatility.

• CVM (launched in May 2022) – Ranked among Top 20 across the Momentum smallcase universe.

Do check it out here

****
That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.

The content of this newsletter is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information outlined in this newsletter unless mentioned explicitly. The writer may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated in this newsletter.