What are Exchange Traded Funds or ETFs?
Invest

What are Exchange Traded Funds or ETFs?

ETFs are mutual funds which are listed and traded on stock exchanges like shares. ETFs are listed on a recognized exchange and their units can be bought and sold directly on the exchange through a stockbroker during the trading hours.

Continue Reading about 5 years ago
National Savings Certificate
Invest

National Savings Certificate

The national savings certificate is an initiative started by the Government of India. NSC is a fixed income investment scheme that can be opened with any post office. The target market for this scheme is small to middle-income investors who are provided an opportunity to save money while saving on income tax. This scheme is a secured scheme that has a very low risk in it just like the Public Provident Fund scheme.

Continue Reading about 5 years ago
Rights Issue: What is it?
Invest

Rights Issue: What is it?

A rights issue is an invitation to existing shareholders to purchase additional new shares in the company (in proportion to their existing shareholding) at a specified price (generally at a discount) and time. The company gives a right to its existing shareholders to subscribe to the newly issued shares in proportion to their existing holdings. For instance, a 1:1 rights issue means existing shareholders can buy one extra share for every one share already owned by him/her.

Continue Reading about 5 years ago
How to set your personalized financial goals before starting to invest?
Invest

How to set your personalized financial goals before starting to invest?

The moment you read a success story on paper about how somebody has earned millions of rupees by investing in stocks, you feel goosebumps in the tummy as you have discovered the roadmap to becoming rich overnight. It is great to have such zeal and vigour to invest in stocks, but there has to have a solid strategy for becoming a millionaire through stock investment.

Continue Reading about 5 years ago
What are Hedge Funds?
Invest

What are Hedge Funds?

A hedge fund is popularly called as alternative investment fund (AIF) in India. Going by the meaning of the word ‘hedge’ which means ‘to avoid,’ so hedge funds talk about avoiding the risk of investment. Though hedge funds are mistakenly taken as similar to mutual funds there is a great deal of difference in the two.

Continue Reading about 5 years ago
What are bonus shares?
Invest

What are bonus shares?

Bonus shares are the company’s accumulated earnings which are converted into free/additional shares that are passed on to the current shareholders by the stake held by each of them without charging any additional cost. 

Continue Reading about 5 years ago
What is Stock Split?
Invest

What is Stock Split?

The stock split refers to dividing one share into two or more number of shares. The stock split results in an increased number of shares of the company. Stock split results in dilution of the number of shares, but the market capitalization of the company remains the same before and after the dilution. Imagine if you have a 100 rupee note and you are given two 50 rupee notes instead of one hundred rupee note, then, it is as good as a stock split. 

Continue Reading about 5 years ago
What is a dividend?
Invest

What is a dividend?

A dividend is a share of profits paid to the shareholders and which is earned by a company. The dividend usually refers to the distribution of profits earned by the company. When a company earns profits at the end of the year, then it reinvests a certain portion of it into business to grow it further, which is called as ‘retained earnings.’ The remaining portion is distributed to the shareholders as dividends. 

Continue Reading about 5 years ago
Growth of discount brokers in India
Invest

Growth of discount brokers in India

The discount brokerage has set up a totally new investment scenario in India. You would be surprised to know that plenty of first time investors are showing up due to the presence of discount brokers around. So, let us understand what discount brokerage is and what the benefits of opting for it.

Continue Reading about 5 years ago
Importance of learning in investing.
Invest

Importance of learning in investing.

Before delving deeper into how vicarious learning plays a crucial role in investing, let us first understand what is vicarious learning. Vicarious learning is the process of learning merely by observing our surroundings. Vicarious learning happens when we as observers pay ample attention to what is happening around, retain the observation, produce similar motor reproduction and are motivated to perform or learn what we see around, than vicarious learning automatically takes place in the process. However, if any of these factors are missing, then the observer is not able to efficiently learn from the surroundings.

Continue Reading about 5 years ago
What are Different types of Insurance Policies?
Invest

What are Different types of Insurance Policies?

With so many choices of life insurance policies around, settling down with the right insurance policy can be really overwhelming. You do tend to get lost and wonder where to start from.

Continue Reading about 5 years ago
How to improve your credit score?
Invest

How to improve your credit score?

Whenever you apply for a loan, your past repayment record is always checked by banks before issuing you the loan money. Your repayment record on any investment done accounts for your credit score.

Continue Reading about 5 years ago
What is an opportunity cost?
Invest

What is an opportunity cost?

Opportunity cost refers to an unrealized loss incurred due to missed opportunities. Opportunity cost is the cost of not choosing the next best available alternative.

Continue Reading about 5 years ago
What are ULIPs - Unit Linked Insurance Plans?
Invest

What are ULIPs - Unit Linked Insurance Plans?

It is safe to say that Indians clearly understand the scarcity of financial resources and thrive to save a massive chunk of their earnings. They are always in a constant hunt for the best investment product. A few decades ago, the banks were the most trusted option for many. But later on, various financial and non-financial institutions evolved and constructed various avenues that potential investors could choose among.

Continue Reading about 5 years ago
4 best tips to invest in stocks
Invest

4 best tips to invest in stocks

Investing is a great option to grow your wealth just in case you have any doubts. However, most people only get partly benefitted from investing their money and are unable to grab the maximum benefits from their investment.

Continue Reading about 5 years ago
How do psychological biases affect us?
Invest

How do psychological biases affect us?

Mental biases refer to having a biased perspective in seeing things around. Such psychological biases influence our thought process profoundly as our thoughts are based on our perception. Moreover, It is our thoughts which shape up our beliefs and our behaviour in our day to day lives.

Continue Reading about 5 years ago
ZERO EMI with ZERO interest – how is it possible?
Invest

ZERO EMI with ZERO interest – how is it possible?

Do you know that there is no cost EMI offered by the largest e-commerce websites of India, Viz Amazon, and Flipkart? Yes, no-cost means that there is zero interest, zero down payment, and zero processing fee needed to process the EMI. Wow! That looks so lucrative but how do you think is this possible? If you remember, RBI had notified on 17th September 2013 that no financial institutes can offer ZERO percent interest loans. So, how do you think e-commerce websites manage to provide no-cost EMI with absolutely free interest.

Continue Reading about 5 years ago
Top benefits of investing in mutual funds
Invest

Top benefits of investing in mutual funds

Not everyone can nail the stock markets. Not everyone can analyze companies and make investment decisions. And that’s where Mutual Funds come into the picture. If you are a beginner in the game of saving and investing, mutual funds might be the one for you.

Continue Reading about 5 years ago