Investing in turnaround stocks
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Investing in turnaround stocks

Every business, whether it is big or small, follows a business cycle consisting of growth, maturity, and decline phases. The company in the growth phase performs well, which makes it stock prices higher, whereas the company in decline phase always have stocks dipping down in price. So, when a company reaches the decline phase, then, there are just two chances- either it will become bankrupt or it will turnaround itself and bounce back. The turnaround shares refer to those companies which are underperforming currently but are expected to rebound. Smart analysis of such stocks that are near the bottom can fetch ample gains to investors if they bounce. Such stocks are usually not preferred by the stock market for some reason or the other.

Continue Reading about 6 years ago
Do political biases affect the investors?
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Do political biases affect the investors?

We all live in a world of perceptions. Our perceptions about the outside world lead us to our beliefs, which in turn shape our behavior and actions. Here, are a few examples that justify how biases affect our lives.

Continue Reading about 6 years ago
Rights Issue: What is it?
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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 6 years ago
What are bonus shares?
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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. 

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What is Stock Split?
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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 6 years ago
What is a dividend?
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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. 

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What is an opportunity cost?
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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.

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4 tips to overcome the fear of investing in the stock market
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4 tips to overcome the fear of investing in the stock market

If you are risk averse to money, then probably you would never have tried investing in stocks. Of course, most people like you refrain from investing in stocks because of the fear of losing money. To those who know nothing about stock investment, stock investment looks confusing and scary.

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Are you an investor, speculator or a gambler?
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Are you an investor, speculator or a gambler?

Warren Buffett rightly states, “Only when you combine sound intellect with emotional discipline do you get rational behavior.” In today’s scenario of economic uncertainty and market volatility, it’s imperative to understand the emotions that drive an investor’s decisions. Is it greed, fear, optimism, or something else? Each one of them responds differently to the stock market, which helps us to categorize them as speculators, gamblers, or investors. 

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4 Ways to Pick Multibagger Stocks
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4 Ways to Pick Multibagger Stocks

The ultimate goal behind investing is obviously generating returns. Who doesn’t want to put as few resources as possible and generate more than it’s capable of? Everyone does, right? This is particularly true when it comes to sharing markets.

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 The first stock that you should buy
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The first stock that you should buy

Planning to start investing stocks on  your own?  I am Glad you landed up here.

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The First Rule of Investing
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The First Rule of Investing

On the face of it, the two rules look pretty obvious. So, let’s delve a bit deeper and examine and crux of them.

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3 most important things about the Stock Market
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3 most important things about the Stock Market

Compounding Machine: The BSE SENSEX has compounded at a rate of roughly 15% over more than three decades. So, it is safe to conclude that it is the inherent nature of the stock market to rise continuously in the long run in country where the economy is developing. There are two critical  components in this explanation - 

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The paradox of Market Efficiency
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The paradox of Market Efficiency

Efficient market theory states that the price of all stocks trading in the stock market is already priced in, so you don't need to actively research about the stock because every good news or bad news that could possibly be there is already reflecting in the stock. So basically, nobody can beat the market because the market has already processed every bit of information. The possibility of outsmarting the market is considered impossible by this theory.

Continue Reading about 6 years ago
TOP MUTUAL FUND SECRETS
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TOP MUTUAL FUND SECRETS

This special report has certain aspects of mutual funds that the mainstream media won’t tell you.

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What to do when market falls
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What to do when market falls

I can feel the nervousness in the air, everyone is unsure about the future. The glorious story about India’s economic growth, and India being the next economic super power is suddenly into question now. It seems as if everything that could go wrong, is going wrong, all at once. The rupee is at an all-time low, important financial institutions such as IL&FS, DHFL and Yes bank are facing problems of their own. Both the debt market and the equity market are feeling the jitters. The small cap index is at a multi-year low and the much hyped mid-cap and small cap funds are facing the heat.

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How to Start Investing in the stock market?
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How to Start Investing in the stock market?

When I remember my earlier days in the stock market, I wonder at my helplessness. There was no one to handhold me, I was totally new to the investing world and I felt as lost as an alien on earth.

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Why investment in Retail & e-commerce is Risky?
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Why investment in Retail & e-commerce is Risky?

There are certain characteristics that are common across all fundamentally good business, one such characteristic is “pricing power”.

Continue Reading about 6 years ago