Andrei Stetsenko, partner at Farley Capital, joins Forward Guidance to share insights from his experience investing in India. Stetsenko, who works with Jack’s father, argues that India’s economy is being turbocharged by exceptionally favorable demographics, accelerating urbanization, and growing infrastructure. He explains why he believes India’s stock market contains high-growth, high-quality companies that may trade at much cheaper valuations than a similarly positioned company in the U.S. He argues why he thinks short-term thinking is the most common mistake investors make, and shares his thoughts on several industries such as payments, banking, and airlines. Filmed on December 21, 2023.
Andrei Stetsenko’s blog, Dispatches From India: https://www.dispatchesfromindia.com/
Andrei Stetsenko on LinkedIn: https://www.linkedin.com/in/astetsen
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Timestamps:
(00:00) Introduction
(00:31) How Farley Capital Got Started Investing In India
(08:50) The Indian Stock Market Vs. American Stock Market
(15:15) India's Banking System
(18:05) Company Management In India
(20:00) Adani Allegations (Hindenburg Research)
(24:11) Red Flags To Avoid
(26:41) Valuations In The Indian Stock Market
(30:12) You Won't Get Far In The Indian Market Without Profit
(35:03) Margin Of Safety
(39:01) Macro And Discount Rate
(41:06) The Payments Industry
(46:18) The Credit Card and Buy Now Pay Later Industries
(50:13) The U.S. Banking Industry
(51:26) Importance of Tuning the Noise Out
(55:14) Most Common Mistake In Investing
(01:01:47) China
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Disclaimer: Nothing discussed on Forward Guidance should be considered as investment advice. Please always do your own research & speak to a financial advisor before thinking about, thinking about putting your money into these crazy markets.