You could be a Tata NANO winner!

Dear Reader: Did you ever think your passion for stocks could win you a Tata Nano? No, I'm not talking about making big returns from stocks and buying a Nano. I'm talking about getting one absolutely FREE! Full details are included in this letter below. So don't miss even a single word of it. Thank you Warm regards Rahul Goel CEO "To The Investor Who Thinks Buying Companies In Trouble Is Unsafe And Unprofitable" (You could be in for a surprise ...Or quite a few actually!) Dear Savvy Investor, Way too many people take chances when investing in stocks. Time and time again, they bet their hard-earned money on little known companies. And when you ask them why they decided to invest in such risky stocks, the common reply is that they wanted to multiply their money fast... and somebody - usually a friend or a broker - told them these stocks could do that for them. How shocking is that! History is filled with examples of people who lost everything in the stock market trying to become rich quickly. You don 't want to end up like them, do you? Instead, imagine making 124% on a Leading Automotive company. . . Safely! Win a Tata Nano! Did you ever think your passion for stocks could win you a Tata Nano? No, I'm not talking about making big returns from stocks and buying a Nano. I'm talking about getting one absolutely FREE! Full details are included in this letter. So don't miss even a single word of it. Imagine buying a company which controls 2/3rd of the Indian commercial vehicle market, and has in its stable some of the best selling four wheelers in the country... for dirt cheap! If indeed there were just one example of the 'Great Indian Corporate Sale', it would have been difficult to beat Tata Motors. This company sells about three hundred thousand commercial vehicles and more than two hundred thousand passenger vehicles every year. Therefore, in view of the attractive valuations, we asked our investors to take advantage of the sale. Those who have are currently sitting on an impressive 124% gain. And there could be lot more to come. Why we recommended Tata Motors. . . Though Tata Motors is a good company with strong fundamentals, it ran into some pretty turbulent weather at the time... and that led many people to believe the company was about to go bankrupt. In fact, when we zeroed in on Tata Motors, its stock value had fallen about 75% from its highest levels in 2008. But we saw the future prospects for the company to be extremely good. So while everybody else was recommending a SELL on this stock, we suggested to our subscribers that they buy it instead. And the stock is up 124% since then. Now imagine making 58% on India's largest oil company. . . Again without any risk! There's no way that international crude oil prices would have remained in the mid 30s per barrel which they had touched during the depths of the bear market. Everyone believed the prices will go lower still. We believed otherwise and went about looking for investment opportunities in oil. The best thing, of course would have been to play in the crude oil futures market. However, we have no expertise in that. So we did the next best thing instead. We took an exposure to rising crude oil prices through ONGC, India's largest public oil exploration company. What's more, we also got access to a management with a wealth of experience in the field and a balance sheet that was rock solid. And when oil prices started to look up as we had anticipated, our recommendation was rewarded with a 58% gain in a matter of few months. The lesson: You Don't Have To Invest In Risky Stocks To Become Rich Yes! Let me repeat it one more time so that it's absolutely clear... You don't have to invest in risky stocks to become rich. In contrast, you can get rich without taking any risk at all... by investing in the safest and sturdiest of all stocks - the blue-chip stocks. There are two major misconceptions people have when it comes to blue-chip stocks: You cannot get them dirt-cheap You cannot make huge returns from them Wrong! You CAN get blue-chip stocks Dirt-cheap! Take Zee Entertainment for example... We recommended this media company when there was a general pessimism towards Indian equities. Investors were dumping stocks left, right and center. They failed to realize that this company belongs to a sector where a slowdown is going to have minimal impact, not to mention that the company continued to hold promise from a long term perspective. This brought down the price of the stock greatly and made it attractive for investors. Furthermore, what made the case for Zee entertainment even more compelling was its firmly established position in the entertainment and broadcasting space. Hence, we recommended it to our subscribers... And when market came back to its senses, the stock had a fantastic run... going up by more than 35% in a span of few months. You CAN make big returns from blue-chip stocks! Like in the case of Maruti Suzuki... A strong balance sheet with virtually no debt, a formidable market reputation and a presence in a market where car penetration is woefully low were not enough reasons for investors to realize the long-term potential of this stock. But we're not complaining. When a mass exodus from the counter began, we knew we had a winner on our hands and if we sit patient for 2-3 years, attractive returns will follow. Luckily, it took markets a lot less than that to figure out the true potential of the company and there has been no looking back since. And it is now up a smart 86% since our recommendation. So what was the common thing in all these cases that made investing in these stocks so profitable, and so non-risky? 1) They were all blue-chip companies 2) They were all blue-chip companies IN DISTRESS Maybe you've wondered why so many people prefer blue-chips to other stock investments. It's simple... Because blue-chips are all well-established companies with stable earnings and no extensive liabilities. They are well-managed and have consistently performed across business cycles They have the resources to not only weather the downturns and disturbances, but also emerge stronger from them Long-term prospects for blue-chips are outstanding So the risk associated with blue-chips is very low, and you can be assured of steady returns and dividends from them year after year. And then, there's also a strong belief among investors that blue-chips are virtually immune to any and all kinds of problems. That's not really the case. The truth actually is that... Even Blue-Chip Stocks Go Through Hardships From Time To Time The reasons could be anything like... Change in the company's top management Some new initiatives started by the company turning out to be failures Fall in demand for the company's product in the market Bad economy ...or anything else for that matter When things like that happen, the demand for the blue-chip stock falls temporarily - bringing its price down and making it available to you at a discount! This is when you need to act fast and grab the stock. If you manage to do that, you can assure yourself of big returns from blue-chip stocks also. Let me give you just two more examples... An impressive 45% return on the country's Top Public Sector Bank Yes, I'm talking about SBI... We recommended this banking behemoth at a time when some of the largest banking companies globally had succumbed to the credit crisis or had been at the mercy of bailouts, making the case for large institutions weak. However, SBI had more to it than its limited exposure to global markets, mark to market losses on its investment book and possibility of default in mortgage loans. It had 16% share of the Indian banking system's deposits and advances and was the only one to grow its share in 1HFY09 with the help of its franchise that is the largest in the sector. Thus, when investors failed to realize this and dumped the stock, we whole heartedly recommended it to our subscribers... making them a party to an impressive 45% gains. 81% in 6 months from a Cement major. . . Agreed that the cement sector is going to witness some sort of capacity glut in the medium term. Also agreed that there was so much fear all around, especially towards the end of 2008 that it was difficult to believe that infrastructure and construction activity will not go into a sound sleep for quite some time to come. But if valuations get beaten down to levels when cement capacities are available at half the replacement cost - especially those of a strong player like Ultra Tech in an economy like India where growth will suffer cyclical but not structural blips - such opportunities need to be seized and seized big time. This is exactly what we did and the 81% returns since our recommendation eventually proved us right. Hence the secret to getting rich in the stock market SAFELY is... Buying good companies in bad times And making huge returns on them when they Grow rapidly in a few years If you've been in the stock market long enough, you'll know about the fascination investors had for small caps until about 18 months ago when the bull market was at its peak. At that time, spending as much money as you can on Small Caps was a fad among investors. Many "Small Cap Millionaires" sprung up quickly as a result of that. However, when the stock market crashed in January 08, many of these small companies got wiped out completely. Suddenly, nobody was talking about small caps so much anymore. Well, that's the thing about all the companies that are not Blue-chip -- one day they're there, and the next... Of course, no investment is 100% guaranteed. Not even Blue-chips! But with the BIG companies, you can be confident that they will not disappear overnight and take your investments with them. I don't know about you, but I'd prefer grabbing a safe 100% return in 3-4 years anytime... Rather than invest my money on some hyped-up small company, never knowing when my gains would be wiped out. But Then Again, Not Every Blue-Chip Stock Can Give You Amazing Returns You need to know exactly which big companies are likely to make bigger returns for you and of course, when is the right time to buy them. And this is where Equitymaster comes in... You see, we've got this Premium research service called StockSelect. Simply stated, StockSelect is our Large Cap stock recommendation service. If you're looking at building a portfolio of blue-chip stocks that will deliver steady returns over the long term, then this is the service you need to be subscribed to. StockSelect tells you which big companies are a "must-have" for your portfolio... and more importantly, it notifies you as and when they're available at attractive valuations. It works on a simple principle - buying great companies at bargain prices and making staggering returns on them when the company grows rapidly in a few years. Consider GAIL for example... GAIL is to India's gas transportation sector what SBI is to the Indian banking system... and infact, a little more. When we recommended the stock, it was yet another compelling growth story available at great valuations. And the stock has not disappointed, rising an impressive 40% from the time we recommended the stock in January 2009. Not a bad return at all in just 5 months. Please understand that we make all our predictions with a 3-4 year period in mind. However, in some situations, the markets get into action and bump up the stock price faster than expected. In other cases, a market crash leads to the stock price falling rapidly. So our advice to you is that you ignore the near-term variations and focus only on what you make in 3-4 years time. Great companies always recover when the storm passes. So if you buy the blue-chip stocks at the right time, you could easily make attractive returns over 3-4 years. And here's what all you get subscribing to StockSelect. . . 52 Blue-chip Recommendations. . . Every Saturday, we'll send you a StockSelect report recommending a Buy/Hold/Sell on one large cap company. In this report, we will provide you detailed and extensive analysis of the company along with our expert opinions. The important things to note here are... All our recommendations are supported by thorough research - we list out the reasons to buy and also the investment concerns that we foresee We travel far and wide to meet companies before we put out reports on them For each stock, we clearly state the target price and also the time horizon for achieving the same Take Marico for instance... Marico is yet another example of a good quality stock getting beaten down due to the overall negative sentiment prevailing in the stock market. Not only did the valuations start looking attractive when they suffered a hammering but the company's business model was also undergoing a transformation for the better. From just coconut oils, the company had extended its portfolio to cover the entire gamut of hair care segments, edible oils, jams, soaps and skin products, growing its topline at a compounded annual rate of 20% over the past 5 years. The remarkable aspect of the company's performance was its dominant market share in each of the categories it operated in. You tell me - how can one not scoop up such companies especially when the market has lost its rationality? Echoing our predictions, the stock has returned a cool 50% from the time we recommended it to our subscribers. Look... Even though large cap companies are a dime a dozen, it's still important to know which stocks are the right stocks and what is the right price to buy these stocks. StockSelect tells you just that! By subscribing to StockSelect, you'll be notified of 52 blue-chip Buy/Sell/Hold opportunities at the right time. You can then explore the opportunities further if you like, and pick a final list of blue-chip stocks to invest in. In addition to these, we also release special reports from time to time on attractive large caps opportunities (like the Tata Motors example we discussed above). Fast action takers will benefit from these reports also. Ongoing Research on The Companies Recommended. . . At the end of each quarter we review all the stocks that we recommended during the six month period prior to that. We provide subscribers our latest analysis on all those recommendations... and whether we maintain our views on them or have changed the same. We illustrate in detail our reasons for maintaining the stance or change in stance, and finally summarize all of those into a table as you can see below: Apart from these quarterly reviews, another thing that forms part of the "ongoing coverage" is the Quarterly Result Analysis that we write for all companies under coverage... wherein we also mention whether the results are in line with our estimates or not, and whether we maintain our view on the stock or not. Given that the markets are likely to remain bumpy for at least another year, this kind of information can come in very handy. Here's what one subscriber had to say about our review reports... "I appreciate your dedication in giving periodic reviews and outlook/current recommendations. This is a stand out feature in your basket!" - Srinivasan S, an Equitymaster Subscriber S-Features These are articles and reports that are available to our premium subscribers only. We release over 800 of them every year. You might understand that there a lot of factors influencing the stock price, most of which need to be monitored regularly. So from time to time, we release instant reports and updates on various companies. These articles include excerpts of management meetings, extracts of conference calls, updates on the happenings in a company and our personal views on it, and so on. This is all "unadulterated" information and it will serve as a valuable input for your investment decision. Portfolio Tracker The Portfolio Tracker is an online utility to help you track your equity and mutual fund investments! It's online, and is available to you 24 hrs a day. It's always updated with the latest stock prices... and you also get a number of reports to help you understand your portfolio better. The Portfolio Tracker usually costs Rs 330 for a year. But by subscribing to StockSelect, you get it absolutely FREE. Free Access to Select Equitymaster Webinars We also conduct Equitymaster webinars from time to time with renowned Stock Market experts. On November 7th, 2008 we conducted a webinar titled "How to Protect Your Wealth and Profit from the Global Crisis." On January 12th, 2009 we conducted a webinar titled "An Interaction with Ramesh Damani." And on March 16th, 2009 we conducted another webinar titled "Where are the stock markets headed?" The guest speaker on two of these occasions was Ajit Dayal, the founder of Equitymaster and the Mumbai-based investment advisory firm, Quantum Advisors. During these webinars, he talked about the likely route the markets could take in the years to come, and the course of action YOU need to take to survive and profit in these tough times. In the third case the guest speaker was Ramesh Damani, a renowned investor and a member of the BSE. During the webinar he revealed the sector that could lead the next market rally, and much more. By subscribing to StockSelect, you get to attend these select events for FREE (whereas other non-members have to pay Rs 1,990 for each of the Webinars). Here's what one subscriber had to say about our webinar: "It was a pleasure to listen to Ajit. Great interview. Excellent webinar! Keep it up" -- Dr Vijay Barve, an Equitymaster Subscriber Our Two Popular Investment Guides 1) "The most profitable approach to stock picking" guide in which you will find approaches to stock investing which have worked very well. We have tested these approaches ourselves and come up with stunning results! These ideas do not require exhaustive and painful analysis of annual reports and endless hours of brain storming and arguments that are normally associated with conventional stock picking. The bottomline is that this guide will be of great help to you in your quest to identify profitable investment opportunities! 2) Our second investment guide titled "Invest like Warren Buffett" Warren Buffett is someone who has delivered fantastic returns over not just a few years, but over decades. The book value of his company, Berkshire Hathaway, has grown by over 20.3% per annum over the last 44 years... which in terms of absolute returns works out to a staggering 362,319%! Through this guide, we're providing you a compilation of his best teachings that could go a long way in helping you take smarter and sensible investment decisions. The 5 Minute WrapUp You'll also get "The 5 Minute WrapUp" -- our daily investment news digest in which we discuss that day's major happenings and how they could affect investments. As one avid reader of The 5 Minute WrapUp put it - "Your reviews are both well studied and informative and I don't miss a day's wrap up!" Another wrote in to us saying - "This newsletter reduces my efforts of tracking info through reading Economic Times." And yet another said - "The selection of news is so perfect that it is extremely relevant for anybody from an analyst to a common man on the street." If you want to stay up-to-date with the daily happenings in the investment world, you cannot afford to miss "The 5 Minute WrapUp" The 5 Minute WrapUp is delivered to your email inbox before the end of your workday, everyday! So to summarize, here's all you get by signing up to StockSelect... 52 Blue-chip recommendations Special Reports from time to time Quarterly reviews of these recommendations S Features Portfolio Tracker Free Access to select Equitymaster Webinars Our Two Popular Investment Guides - "Invest like Warren Buffett" & "Most Profitable Approach to Stock Investing" The 5 Minute WrapUp And Now, The Main Thing. . . As of July 1st, 2009 the price of StockSelect is Rs 5,000 for 1 year. Why the increase, you ask? First off...and this is what matters most... We have delivered! Over 80% of all our "Buy/Hold" large cap recommendations from the period 2003 to 2007 have met their targets. For most companies, this by itself would make a good enough reason to increase the price. But in our case the truth is that we've constantly improved the quality of service we provide over the years but kept the subscription price the same. Now we're expanding our company and hiring more employees to provide better service for YOU... so we need more funds... and hence the price increase. In addition, we're also offering a lot more than stock recommendations now (as you have already seen above). So that's why we decided to increase the price to Rs 5,000. But here's the Kicker. . . Because we felt that we didn't give you a fair warning before increasing the price, we're giving you ONE LAST CHANCE to subscribe to StockSelect at the old price. Yes! For a few more days, you can sign up to StockSelect at the old price of Rs 2,000 for 1 year. If you were "thinking" about subscribing to StockSelect but kept delaying for some reason, now is the time to do it... because if you don't, you'll have to pay more than 2 times the price to sign up later. Moreover, this is the best time to be subscribing to a Blue-chip service. The markets are up 80% in the last 3 months, and many people believe this could be the beginning of another bull market. What better time to buy Blue-chip stocks than at the beginning of a bull market. And there's also no risk. . . If you make use of this offer, you can subscribe to StockSelect at highly discounted prices and "test drive" the service for 30 days. During this one month, you'll get 4 current issues of StockSelect... plus access to archives of all the previous issues. After going through the current and past issues, you should have a good idea of whether StockSelect is for you. If you don't like what you see, or you feel that StockSelect is not for you, just let us know before the 31st day and we will refund the entire price - no questions asked. However, please keep in mind that this offer will be available for limited time only. You can subscribe to StockSelect even 3 months, 6 months or a year from now also. But then, you'll have missed out on the opportunity to cash in on the DISCOUNTED RATES. So act now... get that discount... and start benefiting from lucrative large cap opportunities immediately. Plus, you could also win a Tata Nano if you subscribe to StockSelect right away. . . We have purchased a Tata Nano to give away to one of our subscribers. The delivery of the vehicle will be between Oct-Dec 2009. As soon as we receive the car, we will conduct a lucky draw to finalize the winner. We encourage you to read the Terms of Use of the Offer. Could that winner be you? May be, may be not! But to give yourself a chance, you have to become a premium subscriber of Equitymaster first. And for that, you must sign up to StockSelect now. So you now have two very good reasons to subscribe to StockSelect RIGHT AWAY: 1. To make use of this LAST OPPORTUNITY to sign up at the old price of Rs 2,000 2. To become eligible to win a Tata Nano (see terms of offer) Why delay more? This offer will not stay open for ever and we truly don't want you to miss out on it. Click here to subscribe.   Warm Regards, Rahul Goel Chief Executive Officer Equitymaster.com June, 2009 P.S.: After this, StockSelect will NEVER be available for Rs 2,000 again. Plus, there's also the opportunity to win a Tata Nano. So I suggest you wisely make use of this limited-time offer. P.P.S.: Try StockSelect for 30 days without risk. If you don't like it, cancel your subscription before the 31st day and we'll refund the entire subscription fee. Fair enough? P.P.P.S.: For any queries, contact - 1800-209-3786 (Toll Free) or 092232-63403 / 092233-20146 or Write in to us.

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