Musings

An assorted collection of thoughts on business, finance, and life. Browse by tags.

19 Feb 2021

Yearly demat account growth for the last 20 years

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The last boom & bust was in 2007-08, took 10 yrs to get back to those numbers...
18 Feb 2021

How big was Jan 2021 for the broking industry?

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Putting the current new investor growth in context...
17 Feb 2021

Being at the right place at right time and surviving

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Zerodha probably started when I started trading 15 years before 2010...
16 Feb 2021

Podcast - Nikhil Kamath on The Ranveer Show

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Nikhil Kamath on his journey so far...
10 Feb 2021

The Gamestop saga and lessons for retail investors

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In the Gamestop saga, the media has loved telling the story of how Retail made a lot of money from Hedge funds. The reality is entirely different, almost everyone apart from retail has probably made money or benefited from this...
09 Feb 2021

Rising financial awareness among Indians

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Financial awareness about the importance of saving and investing in India is increasing at the fastest rate ever, especially among millennials...
02 Feb 2021

Free & open-source software (FOSS) — one of the reasons behind Zerodha's success

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Free & open-source software (FOSS) is the main reason for the success of Zerodha as K writes.
28 Jan 2021

Shorting and Indian Capital Markets

zerodha.com
Can retail traders are cause a “short squeeze” in India like they did in stocks like GameStop and AMC entertainment in the US? It cannot, and I explain why in this post. Join the discussion on Trading Q&A.
22 Jan 2021

Beyond misleading trading turnover numbers — the actual size of Indian capital markets?

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Looking at trading turnover to estimate capital market size is misleading. Most trades are leveraged & ideally we should look at the margins being traded, not the trade value...
07 Jan 2021
01 Jan 2021

The fallacy of predictions

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Even after all my years of experience, I couldn't have been more wrong in predicting the direction of our business in 2020. These expert predictions should be taken with a ...
28 Dec 2020

Is trading the markets gambling?

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Is trading the markets gambling? I get asked often. My answer is that yes, you can gamble when trading, just like you can gamble with everything else in life.
24 Dec 2020
23 Dec 2020

Total addressable market for brokers

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Since broking is hot post-COVID, inspite of all the spike in trading volumes and activtity, the total addressable market is just ~1.5 million users. I had shared this pre-Covid. Broking ...
17 Dec 2020

Robinhood pays $65M to settle SEC charges on payment for order flow disclosures

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The Robinhood SEC settlement over order flow disclosures grabbed some headlines even in India. Since people might be wondering if this happens here, it doesn't. Unlike the US, all order ...
13 Dec 2020

Why advertising doesn't work

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This is a great listen from Freakonomics on whether advertising works. The reason we could bootstrap was that we never spent on ads. With no ads, a business is forced ...
08 Dec 2020

Podcast: Sandeep Parekh on the evolution of the Indian market and securities regulations

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This is a must-watch for those interested in the Indian securities market. @SandeepParekh we need to find a way to get you to do more of this. :)
07 Dec 2020

A product to get more Indians to save and invest

zerodha.com
To get the next 10 crore Indians, the traditional financial product might not work. Here's what I think is needed to get these people to start saving and investing.
05 Dec 2020

Does Illiquidty like in private markets lead to good investor behavior?

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A question I have been asking institutional investors in both private and public markets is - if they could enter and exit their holdings at will like retail investors(which they ...
28 Nov 2020

The flipside of effecient companies

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The flip side of tech-first businesses like ours is that we don't create as many jobs. We are around the same number of employees today at 3.8mn clients as we ...