In one of my previous posts (QIP), we had seen the fundamentals of capital structure of a company. Companies need capital to run their businesses and there are essentially two ways of getting the cash – Debt and Equity. At any point of time, a company’s equity is comprised of smaller units of capital called the “Shares”.
Lets take some simple numbers to get our concepts clear. Company A has just been formed and its share capital is Rs. 1000 and is comprised of 100 shares of Rs. 10 each. The original value in which the shares were issued (Rs. 10 in our case) is called the face value of shares. Investors in Company A essentially...
Lets assume that you are an active observer of the stock market. Over the past few sessions you have been observing that the stock market has been continuously rising and you are of the opinion that a few stocks (if not more) have run up excessively...
Fundamentals of valuation of financial assets
On 29 August 2009 by iBlogger -
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During my under-graduation, One of my professors once held a plastic cup in his hand and asked all of us “What do you think is the value of this cup?”
After hearing most of our valuation estimates which ranged between Rs. 5 and Rs. 50, he...
Types of Mutual Funds
On 06 August 2009 by Siddharth Singh -
2 Comments -
In my previous articles, I had discussed about the basics of mutual funds and the precautions you should exercise while investing in mutual funds. In this article, I would explain to you about the various types of mutual funds that are available in...
Can fund managers outperform markets consistently?
On 06 June 2009 by iBlogger -
3 Comments -
Its an old joke in finance.. Two economists walking down a street spot a 100 rupee note. When one of them rushes to pick it up, the other one says “Don’t waste your efforts.. If it was really a 100 rupee note, someone would have already...
Indian Stock market.. Upper circuit! Whats that?
On 19 May 2009 by iBlogger -
28 Comments -
Introduction
Indian Stock Markets celebrated the winning of Congress led UPA in the 2009 Parliamentary election, by breaking all past records and forcing the regulator to halt the trading for the day. It is being considered that the main reason for...
SUZLON expected to be Bullish – might touch Rs. 70
On 05 May 2009 by iBlogger -
Comments Off -
Suzlon Energy
Symbol: SUZLON
Suggestion: BUY, Stop loss at Rs. 65; Target – Rs. 70
Open
66.00
High
67.75
Low
64.90
Last Price
65.90
Figure 1: Price Movement Bar Chart [SuzlonFigure 1 shows the price movement bar chart...