Tag: Market Alphabets

5 things you should know about Public Provident Fund

admin0 Comments
5 things you should know about Public Provident Fund

In the last blog, we talked about the basic features of PPF, its return profile and how you can open a PPF account. PPF has been an attractive investment option for long because of its safety aspect and tax treatment. It serves as an ideal investment avenue for risk-averse investors planning long-term goals that are at least 15 years away. The scheme can also serve as a safer diversification tool into the debt asset class for your overall portfolio. Essentially, it fits differently for each individual, depending upon their goals and portfolios. Today we’ll touch upon the five aspects of this …

Continue Reading

How to Invest in Foreign Stocks from India?

admin0 Comments
How to Invest in Foreign Stocks from India?

Diversification is at the core of investing principles. It helps you minimise portfolio risk and maximise your investment return over time. Investing globally is one of the best ways to do that. Additionally, taking exposure to different asset classes worldwide helps you reap the benefits of great investment opportunities and invest in some of the world-renowned companies. Is there an easy way to do that sitting in India that too through a single medium? Your answer is India INX. India INX is regulated by the International Financial Services Authority (IFSCA) and offers you 22-hour trading in a range of financial …

Continue Reading

How are SIPs taxed?

admin0 Comments
How are SIPs taxed?

Systematic investment plans (SIP) are one of the best ways for investors to start their journey in the capital markets. You can start small, make the most of market volatility, and grow your wealth gradually in the process. There is nothing not to love about SIPs. In this week’s blog, we will look at how your systematic investments are taxed. By understanding the tax implications on your mutual fund investments, you will be able to make the most out of your returns by timing your investments and exits. To begin, the capital gains on the sale of your mutual fund investment can either attract a short-term capital …

Continue Reading

How to be a Smart Investor by understanding these 5 Behavioral Biases

admin0 Comments
How to be a Smart Investor by understanding these 5 Behavioral Biases

Investing isn’t all about number crunching and rigorous analysis. Although they play a vital role in helping us make investment decisions, it’s important to remind ourselves from time to time of our limitations in behaving rationally all the time. We are humans and often rely on simple, superficial judgments and analyses when faced with a seemingly complex decision. It may even seem that we are doing our best and taking everything into account, but we may be utterly oblivious to biases and cognitive errors behind the scene. These errors & biases can be costly and not give you the result you were hoping …

Continue Reading

Corporate Actions & their Taxation: All you need to know

admin0 Comments
Corporate Actions & their Taxation: All you need to know

In the last blog, we discussed the common corporate actions, the reasons a company may carry those out, and the implication on shareholders. In this piece, we will be breaking down corporate actions through the taxation angle. If you haven’t read the first blog in this series, please click here to read the same. Before we begin, let’s take a minute to understand how equity shares are taxed. You can either incur capital gains or a capital loss on the sale of your equity shares (Profit/Loss on the sale of your shares). The capital gains are calculated by deducting the purchase cost from the sale value. The taxes are levied on these …

Continue Reading

Things to know before the LIC IPO

admin0 Comments
The LIC of India is coming out with India’s largest IPO. Once listed, LIC will likely become the country's biggest company by market capitalization. Here are the key details about the IPO

The Life Insurance Corporation of India is coming out with India’s largest IPO. Once listed, LIC will likely become the country’s biggest company by market capitalization. It is the sole public player out of India’s 24 life insurance companies to date. The company plans to sell 3.5% of its stake through an offer for sale (OFS). The corporation is also offering special discounts and reservations to policyholders and employees. The company has reserved 35% of the total issue for retail investors, 10% for the policyholders, and 5% for LIC employees. To avail of the 10 percent quota of policyholders, you …

Continue Reading

What are Corporate Actions?

admin0 Comments
What are Corporate Actions?

Corporate actions help investors get an idea of how the management plans to maintain the company’s future path. These periodic events affect investors and the company’s financial structure in various ways. Understanding their implications can help you make investment decisions & understand the company’s financial prospects. This article discusses the five common corporate actions – Dividends, bonuses, Splits, Rights, and Buybacks. DIVIDEND Dividends are a medium through which the company distributes its profits to the shareholders. Companies are not obligated to pay dividends to the shareholders. Some companies choose instead to use the reserves for expansion and future growth. Dividend payments have a specific timeline to shortlist all the eligible beneficiaries. Some of the …

Continue Reading

THE WHY AND HOW OF MUTUAL FUND DEMATERIALISATION

admin0 Comments
THE WHY AND HOW OF MUTUAL FUND DEMATERIALISATION

Are you still holding your mutual fund units in Physical form? Do you know you can hold the units in your Demat account? Demat account can offer many advantages like getting a consolidated view of your investments in one place. Since you may hold your mutual fund investments with various mutual fund houses, availing services from various RTAs, tracking and investing among AMCs can become cumbersome over time. De-materialization: converting physical shares and mutual funds into electronic form that can be held in your Demat Account without the fear of misplacing or damage of the physical certificates. However this is not the case with mutual fund units …

Continue Reading

Beneficial ways of investing In REITs : Types, Advantages & Limitations of REITs

admin0 Comments
Beneficial ways of investing In REITs : Types, Advantages & Limitations of REITs

A Real Estate Investment Trust (REIT) is a company that owns, operates or finances income producing Real Estate properties which may comprise of apartment buildings, cell towers, data centres, hotels, healthcare units, offices, warehouses etc. Most REITs focus on a particular property type, but some hold multiples types of properties in their portfolios. How does a company qualify as an REIT? REITs lease out their properties, collect rentals and distribute dividends to their shareholders. Mortgage REITs do not directly own real estate, but finance real estate instead and earn income from the interest on these investments. To qualify as a REIT, a company …

Continue Reading

Initial Public Offering (IPO)

admin0 Comments
What and How to Invest in IPO : A step-by-step Guide!

An Initial Public Offering (IPO) refers to the process of offering shares of a private company to the public in a new stock issuance. It allows a company to raise funds from the market. Businesses require funds for many reasons. These funding requirements can be met through an IPO. Once a company decides to go public, it launches an Initial Public Offering or IPO. Technically, IPO allows the company to list and trade its securities on the different stock exchanges and raise a large amount of capital. The Securities and Exchanges Board of India (SEBI) regulates the launch and after all …

Continue Reading