MOST - STP : Short Term Profit Booking Strategy

• Logic:
• Under STP, bluechip shares are bought at lower price and sold at higher price. As simple as it is. This theoretical, easy to understand strategy has been put into practical use by MOST-STP.
• We advise investments in a gradual phase, as the price comes down by fixed percentage and we advise booking profits (selling) as the price goes up. Hence notional profits are realized as REAL profits.
• This investment strategy is more like a business, where in you invest a capital. The profit realized are being pulled out / paid out on monthly basis

• Advantages of this MOST-STP Strategy are:
• By adopting a staggered investment and profit booking strategy, the investment capital does not get blocked.
• By investing in bluechip shares, even if the stock price goes down, they turn out to be good investments which are bound to recover first when market revives.
• There is a constant cash flow as the profit gets booked.
• We avoid holding the stocks emotionally. We encash the higher price. What is bought, needs to be sold to ‘really’ gain.
• We donot rush in to invest all the funds. We invest gradually – thus avoiding getting trapped at higher prices.
• It is more like a business, wherein you expect some return on your investment (cash flow).
• At EASY Investments, we have tracking software to assist you in making MOST-STP Investments.

• Suited for :
• Investing in stock market to realize short term profits.
• Investors can hold same stock in short term strategy ( for short term profit booking) and have another part as part of long term investment strategy. We isolate STP stocks and advise on profit booking.
• Anyone who wishes to invest fixed capital : say Rs.5 lakhs and above and make use of short term opportunity to make profits.