SAPM notes part 1of5
Introduction to Investment management and the stock markets in India
Investment Management
Investment management refers to the professional process of managing and overseeing investment portfolios on behalf of individuals, organizations, or institutions. It involves making strategic decisions to achieve financial goals, optimize returns, and mitigate risks within the investment portfolio.
Investment managers, also known as asset managers or fund managers, are responsible for making investment decisions and allocating assets across various investment options such as stocks, bonds, mutual funds, real estate, commodities, and other financial instruments. They analyze market trends, assess risk levels, conduct research, and execute trades with the aim of maximizing investment returns.
The primary objectives of investment management include capital preservation, capital appreciation, income generation, and risk management. Investment managers work closely with their clients or stakeholders to understand their financial objectives, risk tolerance, and time horizons. They then develop and implement investment strategies tailored to meet these specific requirements.
Investment management encompasses a range of activities, including asset allocation, portfolio construction, security selection, performance monitoring, and periodic rebalancing. Investment managers often follow specific investment philosophies or strategies, such as value investing, growth investing, index investing, or socially responsible investing, based on the preferences and goals of their clients.
Nature
Financial Expertise: Investment management requires a deep understanding of financial markets, investment instruments, and economic factors. Investment managers possess knowledge and expertise in analyzing investment opportunities, assessing risks, and making informed decisions to optimize portfolio performance.
Goal-Oriented Approach: Investment management is driven by the goals and objectives of the investors. Whether it's capital appreciation, income generation, risk mitigation, or a combination of these, investment managers design investment strategies that align with the specific financial goals of their clients.
Risk Management: Managing risk is an integral part of investment management. Investment managers aim to balance the potential for higher returns with an appropriate level of risk. They employ risk management techniques such as diversification, asset allocation, and hedging strategies to protect the portfolio from adverse market conditions and volatility.
Active Decision-Making: Investment managers actively make investment decisions on behalf of their clients. They conduct research, analyze market trends, evaluate investment opportunities, and select suitable assets for inclusion in the portfolio. Investment managers also continually monitor the performance of investments and make adjustments as necessary to optimize returns.
Long-Term Perspective: Investment management typically involves a long-term approach, focusing on achieving sustainable growth and wealth accumulation over time. Investment managers consider factors such as investment horizons, market cycles, and compounding effects to develop strategies that are suited for the long-term objectives of their clients.
Client-Centric Approach: Investment managers work closely with their clients to understand their financial goals, risk tolerance, and unique circumstances. They take into account the client's preferences, investment constraints, and any specific ethical or socially responsible considerations. Investment managers provide personalized advice and services tailored to the individual needs of their clients.
Regulatory Compliance: Investment management is subject to regulatory frameworks and oversight to ensure investor protection and market integrity. Investment managers must adhere to legal and ethical guidelines, comply with disclosure requirements, and meet fiduciary responsibilities in managing clients' assets.
Scope
Portfolio Construction: Investment managers are responsible for designing and constructing investment portfolios tailored to meet the specific needs and goals of their clients. This involves determining the appropriate asset allocation, selecting individual securities or investment funds, and considering factors such as risk tolerance, time horizon, and investment objectives.
Asset Allocation: Asset allocation is a crucial aspect of investment management. It involves deciding how to allocate investment funds across different asset classes such as stocks, bonds, cash, real estate, commodities, and alternative investments. Investment managers use their expertise to determine the optimal mix of assets to achieve a balance between risk and return.
Security Selection: Investment managers engage in thorough research and analysis to identify individual securities or investment funds that align with the investment objectives and risk profile of the portfolio. They evaluate various investment options, assess their performance potential, analyze company financials, and consider qualitative factors before making investment decisions.
Risk Management: Managing risk is a critical component of investment management. Investment managers employ various risk management techniques to protect the portfolio from adverse market conditions and volatility. This includes diversification, hedging strategies, and the use of risk assessment models to monitor and manage risk levels.
Performance Monitoring and Reporting: Investment managers continuously monitor the performance of the portfolio to ensure it is on track to meet the client's objectives. They track the performance of individual securities, evaluate the portfolio's overall return and risk metrics, and compare it against benchmarks or investment objectives. Investment managers provide regular reports to clients, summarizing portfolio performance and offering insights and recommendations.
Rebalancing and Adjustments: Investment managers periodically review the portfolio's asset allocation and make adjustments as necessary. They rebalance the portfolio by buying or selling assets to maintain the desired asset allocation targets. This helps ensure that the portfolio remains aligned with the client's goals and risk tolerance, especially as market conditions and investment performance change over time.
Financial Planning and Goal Setting: Investment managers often work closely with their clients to develop comprehensive financial plans. They assess the client's current financial situation, identify financial goals and objectives, and create a roadmap for achieving those goals. Investment managers consider factors such as retirement planning, education funding, tax optimization, and estate planning to provide holistic guidance.
Compliance and Regulatory Requirements: Investment management operates within a regulated environment. Investment managers must adhere to legal and regulatory requirements, such as licensing, compliance with securities laws, fiduciary responsibilities, and disclosure obligations. They ensure that their practices and recommendations are in line with industry regulations and best practices.
The scope of investment management is broad and multifaceted, covering various activities related to portfolio construction, asset allocation, risk management, performance monitoring, and client-centric services. It requires a combination of financial expertise, market knowledge, analytical skills, and the ability to navigate changing market conditions to help investors achieve their financial goals.
Objectives
The objectives of investment management can vary depending on the specific needs and goals of investors. However, there are several common objectives that investment managers aim to achieve:
Capital Preservation: One of the primary objectives of investment management is to preserve the capital invested by minimizing the risk of losses. Investment managers aim to protect the principal investment and ensure its stability over time, particularly for investors who prioritize the safety of their funds.
Capital Appreciation: Investment managers seek to generate capital appreciation by strategically investing in assets that have the potential for growth. They aim to increase the value of the investment portfolio over the long term, allowing investors to accumulate wealth and achieve their financial goals.
Income Generation: Another objective of investment management is to generate income for investors. Investment managers may allocate funds to income-generating assets such as dividend-paying stocks, bonds, or real estate investment trusts (REITs). The focus is on generating a steady stream of income to meet the cash flow requirements of investors, such as retirees or those seeking regular income.
Risk Management: Investment managers aim to manage and mitigate investment risks. They assess the risk tolerance of investors and design investment strategies that align with their risk profiles. This involves diversifying the portfolio across different asset classes, industries, and geographic regions to reduce the impact of any individual investment's adverse performance.
Beat Benchmark or Market Returns: Investment managers often strive to achieve returns that outperform relevant benchmarks or market indices. By conducting thorough research, identifying investment opportunities, and making informed decisions, investment managers aim to generate returns that exceed the performance of the broader market or specific benchmarks.
Long-Term Wealth Accumulation: Investment management typically has a long-term perspective, focusing on wealth accumulation over time. Investment managers aim to help investors grow their assets steadily and consistently, considering factors such as compounding returns and the power of long-term investments.
Liquidity Management: For investors who require regular access to their funds, investment managers consider liquidity management as an objective. They ensure that a portion of the investment portfolio remains in liquid assets or investment vehicles that can be easily converted to cash when needed.
Tax Optimization: Investment managers may incorporate tax optimization strategies to minimize the tax impact on investment returns. They consider tax-efficient investment vehicles, such as tax-advantaged accounts or tax-efficient investment strategies, to help investors maximize after-tax returns.
ESG or Sustainable Investing: In recent years, investment managers have increasingly focused on incorporating environmental, social, and governance (ESG) factors into investment decision-making. The objective is to align investments with clients' ethical or sustainability objectives while still aiming for competitive financial returns.
Client-Centric Goals: Ultimately, investment management is driven by the specific goals and needs of investors. The objectives of investment management vary based on factors such as the investor's financial situation, risk tolerance, time horizon, and personal preferences. Investment managers aim to tailor investment strategies to meet these individual objectives effectively.
Investment vs. Speculation
| Investment | Speculation |
|---|---|
Long-term approach | Short-term approach |
Focus on fundamental analysis | Focus on market trends and price fluctuations |
Goal is capital appreciation and income generation | Goal is quick profit through price volatility |
Risk is managed through diversification and analysis | Higher risk due to reliance on market timing and speculation |
Investor relies on research, financial indicators, and market fundamentals | Speculator relies on speculation, rumors, and short-term price movements |
Investor considers the intrinsic value of assets | Speculator focuses on market sentiment and momentum |
Investor seeks stable and consistent returns | Speculator aims for high-risk, high-reward opportunities |
Investment decisions based on analysis and long-term prospects | Speculative decisions based on short-term market fluctuations |
Investment environment
The investment environment refers to the overall conditions, factors, and circumstances that impact the investment landscape. It encompasses various elements that influence investment decisions, strategies, and outcomes. Here are some key aspects of the investment environment:
Economic Factors: Economic conditions play a crucial role in the investment environment. Factors such as GDP growth, inflation rates, interest rates, employment levels, and consumer sentiment can impact investment opportunities and risk levels. Investors closely monitor economic indicators to assess the overall health of the economy and make informed investment decisions.
Market Conditions: The state of financial markets, including stock markets, bond markets, commodity markets, and real estate markets, significantly influences the investment environment. Market conditions, such as volatility, liquidity, trading volumes, and price movements, impact the availability and attractiveness of investment opportunities. Investors analyze market trends and assess market conditions to identify potential investment risks and returns.
Regulatory Environment: The regulatory framework and policies governing the investment industry have a significant impact on the investment environment. Laws and regulations related to securities, financial institutions, tax codes, and investor protection can shape the investment landscape. Investors and investment managers must comply with these regulations and consider their impact on investment strategies and decision-making.
Political Factors: Political stability, government policies, geopolitical events, and regulatory changes can affect the investment environment. Political developments, such as elections, policy shifts, trade agreements, or geopolitical tensions, can create uncertainty or opportunities for investors. Political factors can influence investor sentiment, market expectations, and specific industry sectors.
Technological Advancements: Technological advancements and innovations have transformed the investment environment. Access to real-time market information, trading platforms, algorithmic trading, robo-advisors, and other technological tools have changed the way investments are made, monitored, and managed. Investors need to adapt to and leverage emerging technologies to stay competitive and make informed investment decisions.
Social and Environmental Factors: Increasingly, social and environmental factors are influencing the investment environment. Investors are incorporating environmental, social, and governance (ESG) considerations into their investment decisions, focusing on sustainability, corporate responsibility, and ethical practices. Social trends and consumer behavior also impact specific industries and investment opportunities.
Global Factors: The investment environment is influenced by global factors, including global economic trends, international trade policies, currency exchange rates, and geopolitical dynamics. Global events, such as financial crises, economic recessions, or major political developments in different regions, can have a ripple effect on investment markets worldwide.
Various investment alternatives
There are numerous investment alternatives available to investors, each with its own characteristics, risk profiles, and potential returns. Here are some common investment options:
Stocks: Stocks represent ownership in a publicly traded company. Investors can purchase shares of individual stocks or invest in diversified portfolios through mutual funds or exchange-traded funds (ETFs). Stocks offer potential capital appreciation and may pay dividends, but they also carry market risk and can be volatile.
Bonds: Bonds are debt instruments issued by governments, municipalities, and corporations to raise capital. When an investor buys a bond, they are essentially lending money to the issuer in exchange for periodic interest payments and the return of the principal at maturity. Bonds are generally considered less risky than stocks but offer lower potential returns.
Mutual Funds: Mutual funds pool money from multiple investors to invest in a diversified portfolio of securities. They are managed by professional fund managers who make investment decisions on behalf of the investors. Mutual funds offer diversification, professional management, and liquidity but may charge fees and have minimum investment requirements.
Exchange-Traded Funds (ETFs): ETFs are similar to mutual funds but trade on stock exchanges like individual stocks. They offer diversification, transparency, and flexibility. ETFs can track specific market indices, sectors, commodities, or asset classes, allowing investors to gain exposure to a wide range of investments.
Real Estate: Real estate investments involve buying properties, such as residential, commercial, or industrial buildings, with the aim of generating rental income or capital appreciation. Real estate investment trusts (REITs) provide an alternative way to invest in real estate, allowing investors to own shares in a portfolio of income-generating properties.
Commodities: Commodities include physical goods such as gold, silver, oil, natural gas, agricultural products, and more. Investors can gain exposure to commodities through futures contracts, ETFs, or commodity-specific mutual funds. Commodities can provide diversification and serve as a hedge against inflation but can be subject to price volatility.
Derivatives: Derivatives are financial contracts whose value derives from an underlying asset. Examples include options and futures contracts. Derivatives offer opportunities for speculation, hedging, and managing risk. However, they can be complex and carry a high level of risk.
Fixed Deposits and Savings Accounts: These are low-risk investment options offered by banks. Fixed deposits provide a fixed interest rate over a specified period, while savings accounts offer liquidity and easy access to funds but with lower interest rates.
Government Securities: Government bonds and Treasury bills are debt instruments issued by governments to finance their operations. They are generally considered low-risk investments as they are backed by the government's ability to repay, and they provide regular interest payments.
Alternative Investments: This category includes investments such as hedge funds, private equity, venture capital, and cryptocurrencies. Alternative investments offer diversification and the potential for higher returns but typically come with higher risk and may have limited liquidity.
Risk return trade off
The risk-return tradeoff is a fundamental concept in investing that suggests a direct relationship between the potential for higher returns and the level of risk assumed. In general, investments with higher levels of risk have the potential for higher returns, while lower-risk investments tend to offer lower potential returns. Here's a breakdown of the risk-return tradeoff:
Risk: Risk refers to the uncertainty or variability associated with the potential outcome of an investment. It encompasses the possibility of losing some or all of the invested capital or experiencing lower-than-expected returns. Different investment options carry varying levels of risk based on factors such as market volatility, economic conditions, industry dynamics, and company-specific risks.
Return: Return represents the financial gain or loss on an investment and is typically expressed as a percentage of the initial investment. It includes any income generated (such as dividends, interest, or rental income) and capital appreciation or depreciation. Investors expect to be compensated for taking on risk, and higher returns are generally expected for investments with higher levels of risk.
High-Risk Investments: Investments with higher risk profiles, such as individual stocks of small companies, emerging market equities, or speculative investments, have the potential for significant returns but also carry a greater chance of loss. These investments are subject to market volatility, economic factors, and specific risks related to the underlying assets or companies.
Low-Risk Investments: Investments with lower risk levels, such as government bonds, high-quality corporate bonds, or fixed deposits, offer more stability and are less likely to experience significant fluctuations in value. While they provide lower potential returns, they also come with reduced risk of loss, making them suitable for investors with lower risk tolerance or those seeking capital preservation.
Diversification: Diversification is a risk management strategy that involves spreading investments across different asset classes, sectors, regions, or investment vehicles. By diversifying, investors can reduce their exposure to any single investment and potentially mitigate risk. Diversification helps balance the risk-return tradeoff by reducing the impact of individual investment performance on the overall portfolio.
Investor Preferences: The risk-return tradeoff is subjective and varies based on an individual investor's goals, time horizon, risk tolerance, and financial circumstances. Some investors may be willing to accept higher levels of risk in exchange for the potential for higher returns, while others prioritize capital preservation and opt for lower-risk investments.
It's important to note that the risk-return tradeoff is not a guarantee, and investments with higher risk do not always deliver higher returns. It represents a general principle observed in financial markets and serves as a guiding principle for investors in understanding the potential tradeoff between risk and reward when making investment decisions. It's recommended that investors carefully assess their own risk appetite, financial goals, and seek professional advice to construct a well-diversified portfolio that aligns with their individual risk-return preferences.
Types of investors
Individual Retail Investors: These are individual investors who invest their personal funds in the financial markets. They may include novice investors, experienced traders, or long-term investors seeking to grow their wealth or achieve specific financial goals. Individual retail investors typically manage their own investments or seek guidance from financial advisors.
Institutional Investors: Institutional investors are organizations that invest large pools of capital on behalf of their stakeholders or beneficiaries. They include pension funds, insurance companies, endowments, foundations, mutual funds, hedge funds, and investment banks. Institutional investors often have professional investment teams and specialized strategies to manage their portfolios.
High-Net-Worth Individuals (HNWIs): HNWIs are individuals with substantial wealth. They typically have investable assets exceeding a certain threshold, such as several million dollars. HNWIs often have unique investment needs and opportunities, and they may seek specialized investment services, tax planning, estate planning, and wealth management strategies.
Venture Capitalists: Venture capitalists (VCs) invest in early-stage or growth-stage companies with high growth potential. They provide capital, expertise, and guidance to startups in exchange for an equity stake. VCs often focus on technology, innovation, and disruptive business models and aim to generate significant returns through successful exits, such as initial public offerings (IPOs) or acquisitions.
Angel Investors: Angel investors are individuals who provide early-stage funding to startups in exchange for an equity stake. They typically invest their own funds and may offer mentorship or industry expertise to the companies they invest in. Angel investors often take on higher risks in exchange for the potential of substantial returns.
Retail Mutual Fund Investors: Retail mutual fund investors are individual investors who invest in mutual funds, which pool money from multiple investors to invest in a diversified portfolio of securities. They benefit from professional management and diversification provided by the mutual fund, making it an accessible investment option for individual investors with smaller amounts of capital.
Pension Funds: Pension funds are investment funds established by employers or governments to provide retirement benefits to employees or beneficiaries. They manage large pools of capital contributed by employers and employees over an individual's working years. Pension funds aim to generate returns to fund future pension obligations and typically have long-term investment horizons.
Sovereign Wealth Funds: Sovereign wealth funds are investment funds owned by governments or state entities. They manage and invest national savings or foreign currency reserves to generate returns over the long term. Sovereign wealth funds can be used to support economic development, stabilize financial markets, or diversify national wealth.
Socially Responsible Investors (SRIs): SRIs, also known as ethical or sustainable investors, integrate environmental, social, and governance (ESG) factors into their investment decisions. They seek to align their investments with their values and promote sustainable and socially responsible practices.
Algorithmic Traders: Algorithmic traders, often employed by institutional investors or hedge funds, use computer algorithms to execute trades in financial markets. They rely on quantitative models, market data, and automated trading systems to exploit market inefficiencies and generate profits.
Risk aversion
Risk aversion refers to an individual's preference or tendency to avoid or minimize exposure to risk. It is a concept commonly used in the field of finance and investing to describe the behavior and attitude of investors towards taking on uncertain outcomes.
When individuals are risk-averse, they have a lower tolerance for risk and seek to protect their capital or wealth by choosing investments with lower potential for loss or volatility. Risk-averse investors prioritize the preservation of their capital and are willing to accept lower potential returns in exchange for a higher level of certainty or stability.
Risk aversion is influenced by various factors, including an individual's financial situation, investment goals, time horizon, and personal characteristics. Some individuals naturally have a low tolerance for risk, while others may become more risk-averse during periods of market volatility or economic uncertainty.
Investors who are risk-averse often prefer conservative or low-risk investment options, such as government bonds, high-quality corporate bonds, or stable dividend-paying stocks. They may also prioritize diversification to reduce the impact of individual investment losses. Risk-averse investors may be more likely to allocate a larger portion of their portfolio to cash or fixed-income securities, seeking stability and downside protection.
The stock markets in India
The stock markets in India refer to the major securities exchanges where stocks and other financial instruments are bought and sold. The primary stock exchanges in India are the National Stock Exchange of India (NSE) and the Bombay Stock Exchange (BSE). Here are some key features of the stock markets in India:
National Stock Exchange of India (NSE): The NSE is the largest stock exchange in India in terms of trading volume and market capitalization. It was established in 1992 and is headquartered in Mumbai. The NSE operates on an electronic trading platform, providing transparent and efficient trading of equities, derivatives, bonds, and other financial instruments.
Bombay Stock Exchange (BSE): The BSE is one of the oldest stock exchanges in Asia and the first stock exchange in India. It was established in 1875 and is also headquartered in Mumbai. The BSE facilitates trading in equities, derivatives, mutual funds, and debt instruments. It operates both a traditional open outcry trading system and an electronic trading platform known as BOLT (BSE OnLine Trading).
Stock Market Indices: The NSE and BSE have their own benchmark indices that represent the overall performance of the stock market. The NSE's key index is the Nifty 50, which tracks the performance of the top 50 companies listed on the exchange. The BSE's main index is the Sensex, which comprises 30 large and well-established companies listed on the exchange.
Market Regulation: The stock markets in India are regulated by the Securities and Exchange Board of India (SEBI). SEBI is the regulatory authority responsible for overseeing the functioning and development of the securities market, protecting investors' interests, and ensuring fair and transparent trading practices.
Market Hours: The regular trading hours for the Indian stock markets are from Monday to Friday, with pre-opening sessions and closing sessions. The pre-opening session allows traders to place orders and adjust their positions before the market opens, while the closing session provides a mechanism for price discovery and settlement.
Market Participants: The Indian stock markets attract a wide range of participants, including individual retail investors, institutional investors (such as mutual funds, insurance companies, and pension funds), foreign institutional investors (FIIs), domestic institutional investors (DIIs), and high-frequency traders. These participants contribute to the liquidity and activity in the market.
Derivatives Trading: The Indian stock markets offer a robust platform for trading derivatives, including futures and options contracts. Derivatives trading allows investors to hedge their positions, speculate on price movements, and manage risk exposure.
Market Volatility: The Indian stock markets can exhibit volatility influenced by a range of factors, including economic conditions, corporate earnings, government policies, global market trends, and investor sentiment. Market volatility can present both risks and opportunities for investors.
IPOs and Secondary Offerings: The Indian stock markets witness initial public offerings (IPOs) and secondary offerings, where companies raise capital by issuing shares to the public or existing shareholders sell their holdings. IPOs provide opportunities for investors to participate in the growth of new companies and expand their investment choices.
Market Infrastructure: The stock markets in India have developed a robust market infrastructure to support trading activities. This includes trading platforms, clearing corporations, depositories, stockbrokers, and other market intermediaries.
Primary markets and secondary markets.
Primary Markets:
Primary markets, also known as the new issue market, are where securities (such as stocks, bonds, or derivatives) are initially issued and sold to investors for the first time. In the primary market, companies raise capital by offering new securities to the public or to select institutional investors. Here are some key points about primary markets:
Initial Public Offering (IPO): An IPO occurs when a private company offers its shares to the public for the first time. Through an IPO, companies raise funds to finance expansion, repay debt, or facilitate an ownership transition. The shares are typically underwritten by investment banks, who help determine the offering price and distribute the shares to investors.
Follow-on Offerings: Companies may also choose to issue additional shares to the public after the IPO, known as follow-on offerings or secondary offerings. This allows companies to raise additional capital for various purposes, including funding acquisitions, research and development, or debt repayment.
Debt Issuance: In addition to equity, primary markets facilitate the issuance of debt securities such as bonds and debentures. Companies and governments issue bonds to borrow money from investors, promising to repay the principal amount with periodic interest payments.
Price Determination: The price of securities in the primary market is typically determined through a process known as book building or fixed-price offering. Book building involves determining the price range based on investor demand, while fixed-price offerings have a predetermined price set by the issuing company.
Secondary Markets:
Secondary markets, also known as the stock market or exchange, are where previously issued securities are bought and sold among investors. It is the marketplace where investors trade securities that have already been issued in the primary market. Here are some key points about secondary markets:
Stock Exchanges: Secondary market trading takes place on stock exchanges, such as the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) in India. These exchanges provide the infrastructure and platform for buyers and sellers to trade securities, ensuring transparency, efficiency, and price discovery.
Liquidity and Price Determination: Secondary markets provide liquidity to investors by enabling them to buy or sell securities at any time. The prices of securities in the secondary market are determined by supply and demand dynamics, reflecting investors' perceptions of the value of the securities.
Stockbrokers: Investors trade in the secondary market through registered stockbrokers, who execute the buy and sell orders on behalf of investors. Stockbrokers facilitate the trading process and may provide additional services such as investment advice and research.
Market Indices: Secondary markets have market indices, such as the Nifty 50 or Sensex in India, which represent the overall performance of a group of stocks. These indices serve as benchmarks to gauge the performance of the stock market and specific sectors.
Trading Mechanisms: Secondary market trading can occur through various trading mechanisms, including continuous trading, call auctions, or special trading sessions. Continuous trading allows for real-time trading throughout the trading hours, while call auctions have set periods for matching buy and sell orders.
Market Regulation: Secondary markets are regulated by regulatory bodies like the Securities and Exchange Board of India (SEBI) in India. The regulatory authorities oversee the operations, ensure fair trading practices, protect investors' interests, and enforce compliance with relevant rules and regulations.
Investors participate in primary markets to acquire newly issued securities directly from the issuer, while secondary markets provide a platform for investors to buy and sell existing securities among themselves. Both primary and secondary markets play vital roles in capital formation, providing liquidity to investors, and facilitating efficient price discovery in the financial markets.
Content Author
I'm Raja Kumar R, writer and explorer. I explore the world through writing.
