Tag Archives: stock market

Daily Market Outlook: 24 April 2009

Daily Market Outlook: 24 April 2009 It started as a gloomy day for the Indian equity markets but eventually turned out to be a bright one as markets recovered towards the close of trading session. With US markets tumbling yesterday, Asian markets opened on a cautious note and India was not an exception and entered the red zone after few minutes of trading. There was strong resistance at the

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What is the difference between the Primary Market and the Secondary Market?

  In the primary market, securities are offered to public for subscription for the purpose of raising capital or fund. Secondary  market is an equity trading venue in which already existing/pre-issued securities are traded among investors. Secondary  market could be either auction or dealer market. While stock exchange is the part of an auction market, Over-the-Counter (OTC)  is a part of the dealer market.

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What details are required to be mentioned on the contract note issued by the stock broker?

A broker has to issue a contract note to clients for all transactions in the form specified by the stock exchange. The contract  note inter-alia should have following: §Name, address and SEBI Registration number of the Member broker. §Name of partner/proprietor/Authorised Signatory. §Dealing Office Address/Tel. No./Fax no., Code number of the member given by the Exchange. §Contract number, date of issue of contract note,

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How to know if the broker or sub broker is registered?

One can confirm it by verifying the registration certificate issued by SEBI.  A broker’s registration number begins with the  letters ‘INB’ and that of a sub broker with the letters ‘INS’.     Get Live Intraday BTST Short Term Research Call on Mobile , Yahoo , Chat : visit: www.moneymantrastock.com   for Commodity Research call Visit : www.thecommodityline.com  

Which are the factors that influence the price of a stock?

Broadly there are two factors: (1) stock specific and (2) market specific. The stock-specific factor is related to people’s  expectations about the company, its future earnings capacity, financial health and management, level of  technology and  marketing skills. The market specific factor is influenced by the investor’s sentiment towards the stock market as a whole. This factor depends  on the environment rather than the performance

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Who regulates the Securities Market, Why does Securities Market need Regulators?

he responsibility for regulating the securities market is shared by  Department of Economic Affairs (DEA), Department of  Company Affairs  (DCA), Reserve Bank of India (RBI) and Securities and Exchange Board of India (SEBI).   The absence of conditions of perfect competition in the securities market makes the role of the Regulator extremely important.  The regulator ensures that the market participants behave in a desired

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What is a Derivative?

Derivative is a product whose value is derived from the value of one or more basic variables, called underlying. The underlying asset can be equity, index, foreign exchange (forex), commodity or any other asset.  Derivative products initially emerged as hedging devices against fluctuations in commodity prices and commodity-linked derivatives remained the sole form of such products for almost three hundred years. The financial  derivatives

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Present Value of an Annuity

The present value of annuity is the sum of the present values of all the cashinflows of this annuity. Present value of an annuity (in case of discrete discounting) PVA = FV [{(1+r)t – 1 }/ {r * (1+r)t}] The term [(1+r)t  – 1/ r*(1+r)t] is referred as the Present Value Interest factor for an annuity (PVIFA). Present value of an annuity (in case of

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How Trading is differ than Investing ?

The biggest difference between them is the length of time you hold onto the assets. An investor is more interested in the long-term appreciation of his assets, counting on that historical rise in market equity. He’s not generally concerned about short-term fluctuations in prices, because he’ll ride them out over the long haul. An investor relies mostly on Fundamental Analysis, which is the analytical

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How Technical Analysis is differ than Fundamental Analysis ?

Technical Analysis is a method of evaluating future security prices and market directions based on statistical analysis of variables such as trading volume, price changes, etc., to identify patterns. A stock market term – The attempt to look for numerical trends in a random function. The stock market used to be filled with technical analysts deciding what to buy and sell, until it was

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