In an attempt to create a knowledge powerhouse, we decode the finer nuances, terms, instruments used on the Dalal Street to help you become an informed player in the market.
Last year, Sebi amended the TER slab structure which reduced mutual funds’ fund management costs.
Since then, the government has drafted a similar policy for foreign e-commerce players as well.
The maximum the seller earns is credit of Rs 243 a share, but his losses could be huge.
Many wealth managers believe multi-cap funds are a good starting point for long-term investors, specially those using SIPs for wealth creation
These sandboxes may help usher in improvements in financial inclusion through innovations.
You pay a premium to the seller of the dollar call and puts.
Similarly, it is common phenomenon that volumes usually come down during a bear phase.
Technological advances over the past two decades have resulted in multi-locational data storage and distribution.
The only issuing authority of such bonds is the State Bank of India.
In futures, profits and losses can be unlimited.
Traded value is calculated by multiplying volume with share price.
In practice hedging has a cost and only those companies with scale and experienced treasury hedge themselves.
The ability of debt to gear up profitability ratios depends upon the efficiency of operations.
There are four relationships between OI and price.
So the March expiry is on March 27.
Some technical analysts also use opening price while plotting bar chart.
Despite best efforts of regulators, price-sensitive information comes to stock market slowly.
Just like savings rate falling with a cut in repo rate, lending rates too are likely to fall.
FPIs investing through this route will be eligible to participate in repos for their cash management.
You can roll over your position or square it off before the tender period begins.
Since both methods are useful, most brokerages employ both types of analysts.
Many international funds are available to Indian investors.
Gold futures are bi-monthly contracts that result in compulsory delivery.
The Exchange has started disseminating on its website the spot prices of both the metals twice a day.
MCX offers trading on metals and energy products .
Sebi’s decision to move to physical settlement will bring more short-sellers to SLB platform.
Sebi is going to make delivery compulsory in all derivatives over time.
One who sells a call or put option to a buyer for a premium, or price of the option.
Smallcap funds are those which invest in shares of companies which have smaller market capitalisation.
Each day of holding an option results in time eating into its premium.
Calculating and investing to reach that financial goals could be called goal based investing.
An equity trading account with a brokerage firm is sufficient to access this segment.
The fund manager creates a mkt neutral position by buying in cash mkt and selling in futures.
On December 27 Nifty ends at say 10,900. The 10,800 call is Rs 100 ‘in the money’.
The Fed is the central bank of the US. It conducts monetary policy for the US.
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