Basic terms of Stocks Stocks Stocks is an equity share of the company. If you buy a share of ITC or Tata Motors, then you are the owner of that share of that company. Primary Market A newly created stock is sold to the public, it is done so via the primary market. In the primary … Read more
Basic terms of Mutual Fund In this article you will know, basic terms the Mutual fund. Mutual Fund A mutual fund is a company that pools money from many investors(you and me) and invests the money in securities such as stocks, bonds, and short-term debt. AMC Asset Management Company is a money management firm of … Read more
Basic terms of Finance Tangible Assets Tangible assets are usually referred to assets that are physical in nature and the value of which can be easily determined. For example, cars, buildings, furniture, machinery, are all examples of tangible assets. On the other hand, the value of intangible assets is theoretical in nature and not physical, … Read more
RCA in Mutual Fund Rupee Cost Averaging Rupee Cost Averaging is shortly known as RCA is the concept of the amount invested at regular intervals irrespective of whether the markets are going high or low. RCA ensures that you buy more units when the markets are low and lesser units when they are high. This … Read more
CAGR – Compound Annual Growth Rate Compound Annual Growth Rate is the way to calculate the annual return for an investment over a certain period. e.g., Mutual fund or Stock or Business. Beginning Balance = Invested unit price of Mutual fund or Stock Ending Balance = Current unit price of that Mutual fund or Stock … Read more
What is Portfolio Overlap Portfolio Overlap is a way to find the common holdings(same stocks) when investing in multiple mutual funds. When Investing in multiple funds, these funds may have the same stock holding. In such a scenario, the portfolio is less diversified and high risk. Online Tool Fundoo.com is help to find the portfolio … Read more
What is Portfolio Diversification What is Portfolio A portfolio is a collection of financial investments like stocks, bonds, commodities, cash, and cash equivalents and mutual funds. What is Portfolio Diversification Portfolio diversification is the process of investing your money in different asset classes and securities in order to minimize the overall risk of the portfolio. … Read more
Arbitrage Mutual Funds Arbitrage fund is a type of Hybrid Funds which holds Equity, Debt and Arbitrage opportunities in the market. The price difference between buying and selling price is the return you earn. Spot Opportunities Arbitrage fund manager tries to spot opportunities price difference between exchanges. For example, Equity share of ABC company price … Read more
What is Gilt Fund? Gilt fund is one type of Debt fund and it has a lower risk in principal investment. These type of funds are only investing in bonds and fixed interest-bearing securities issued by the state and central governments. What is G-Sec (Government Securities)? Central and State governments whenever require fund, asks the … Read more
What is Hybrid Fund? This type of mutual that invest in a mix of equity and debt securities are known as Hybrid Funds. Hybrid Fund Types Conservative Hybrid Fund Investment in equity & equity related instruments- between 10% and 25% of total assets; Investment in Debt instruments- between 75% and 90% of total assets Balanced … Read more