To add to Ghee to fire the screenshots of making tonnes of money everyday and that too verified
If these guys are so profitable , why don’t they go to New York, London , Dubai and trade
The suspense is more tiring, they should just get it over with and release the notification of planned changes so that one can choose to adapt or quit trading altogether.
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This increase in taxes (STT) and STCG would really hit more traders - and make further loose as compared to big funds. The increase in STT and STCG - would imply so many more strategies becoming useless [as compared to buy and hold].
My own backtests have shown huge drop in my strategies’ Sharpe ratio / Returns because of this increase in taxes, to the point I am seriously contemplating if I should drop trading all together. Eventually I think others will also come to this same understanding (either by losses or just figuring it out) - notwithstanding all those stupid fininfluencers who make money via videos / courses rather than trading
In india regulatory environment for businessmen and traders is deteriorating considerably.
- First India does not allow crypto
- India does not allow INR currency trading
- India has very poor forex currency pair liquidity (for other pairs)
- Commodity derivatives liquidity is extremely poor
- Equities / FnO taxes have increases considerably to make even the claimed 10% profitable retailers poorer now
Eventually - the statement that by regulators that if markets fall people would not put money is so wrong - and it should not be the job of the regulator to keep markets only at elevated levels.
With reduction in traders - market would become prone to black swans easily - with lower liquidity at any given time. I guess tax revenues are also likely to fall.
However, I think in the name of reducing FnO volume - govt. is just trying to garner higher taxes.
Note they could have also reduced daily expiries also (if controlling volumes was the aim) - but that doesnt seem to have happened.
I do sort of understand why higher number of traders and businessmen have been migrating out of country recently to places like Dubai etc. now
Anyways best of luck to traders - its going to be increasingly tough to make a living if at all out of this
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The STT increase can easily add a further 3 lac+ per annum to my charges. So its tougher, but its not just that, markets have gone crazy in July, with very high volatility, just look at BN intraday movements.
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Cant speak for others, but from a small time trader point of view -
Indian money loses a lot of purchasing power once we move out. Add to that uncertainty of a new place and you will also need new systems to trade.
But once i make enough money, ill probably have to do that if i get a chance. But cheaper places probably.
Or just move to long term trading and just retire.
Its always people who themselves dont trade or cant trade who have the strongest opinions on what should be done …
Atleast CG is on overall profit only. You have to make money first. So systems will only becomes less profitable and yeah some may be too low to be worth it.
I love it, July has been good. This FY has been very good so far for me.
For me, this year since Jan has been very good. July is bad.
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Small stuff, esp for you. Trading overnight is a big advantage in terms of cost. This year i am gonna try something in overnight, lets see.
I have 1 intra BNF system in testing, that will lose about 3% of capital ( at 1% risk per trade) per year to extra STT now. Still manageable, but will make tough periods tougher.
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