Tag: Stock
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Diversification – the key to a balanced investment portfolio
Diversification, a vital strategy in the realm of investing, can be best explained by the timeless wisdom: “Don’t put all your eggs in one basket.” This adage encapsulates the essence of diversification – distributing investments across different assets to reduce risk and potentially enhance returns. Let’s take a deeper dive into why diversification plays a […]
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What are index funds? Explained
Index means indices. Indices refer to a measurement of the price performance of a group of shares from an exchange. For example, NSE’s Nifty 50 contains the top 50 companies in India, and BSE’s Sensex contains the top 30 companies in India. Similarly, there are indexes based on the category of business like – Nifty […]
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How to choose an investment platform?
Your work should bring a well-deserved income. But not only work can serve as a source of your income. You can make your money operate for you. This mechanism is called passive income. You invest in stocks and receive dividends. Also read: Do all stocks pay dividends? The procedure of investing money in stocks for […]
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Depository Participant (DP) Charges: Who can levy the charges and amount to consider
Depository Participant charges are mainly levied on all the sell transactions associated with Demat Account. These charges are mainly exclusive of the brokerages and will not get reflected in the contract notes. These DP charges are targeted to be revenue sources for not just the depositories but for its participants too. In layman’s terms, the […]
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How to invest your first one lakh?
Investment is something which is read by everyone, only few of them able to understand it, and very limited users actually invest and achieve their investment goals. If you are interested in investing, why not start from small. Let’s assume you’ve got one lakh in hand and wanted to invest in, but don’t know where […]
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How to increase IPO allotment chances?
These days, getting an IPO allotment is more difficult, like, winning a lottery. Every retail individual investor (RII) is trying his/her best to get at least one lot of the IPO issue. Still, not everyone is getting the allotments. In the history of India, 2021 has been the year of Initial Public Offerings (IPOs) and […]
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What are listing gains?
In the IPO issue, listing gains are the profits that you get just after the shares are listed on the stock market. Traders who are only interested in short-term gains sell the stocks on or near after listing date. How does it work? To know how does it all work first understand the process of […]
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What is the rights issue?
The rights issue is a company offering existing shareholders the rights to buy more shares at a discounted rate. This simply means the rights issue allows existing shareholders to increase their stake in the company at a discount. This gives exclusive rights to existing shareholders to buy more shares, and this is done in ratios. […]
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Do all stocks pay dividends?
No, not all stocks pay dividends. There are only a few stocks that pay dividends. Usually, companies with a strong cash flow and who have a controlled capital allocation offer a dividend. While new companies that make acquisitions, capital expenditure, and research and development don’t pay dividends at all. Shareholders who hold stocks for the […]
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When am I eligible to receive a dividend? Answers to FAQ
A dividend is a cut of the company’s profits paid out to the shareholders. To be eligible for a dividend, you must be an existing shareholder, or you must purchase the stock during or prior to the cum-dividend trading period and hold the stock on the ex-dividend date. Cum-dividend duration is when a company is […]
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7 Questions to Ask Before Choosing the Right Stocks for Investing in the Indian Share Market
The Indian stock market comprises a huge part of the finance sector with millions of investors involved in regular transactions. The increasing number of free Demat Account openings reflects the expansion of the customer base of the market. And if there is one virtue that is common in all the investors, it is curiosity. One […]
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6 Stocks to Invest in Long Term
It is no secret that the stock market has taken a hit in recent months. Nobody could have predicted the impact that the current COVID 19 pandemic has had on society and the economy. Given these uncertain times, nobody knows for sure when life will get back to any semblance of normalcy. That goes for […]