Option buying is consider a safe trading game. The reason we consider it safe because we know the maximum amount of loss in it. When you buy option you give premium to option seller so you don't need to deposit any margin which makes option vulnerable for the traders which don't have a large amount of capital to trade in the market. There is a limited loss and infinite profit can possible. The probability of profit while buying the option is not so high. The enemy of option buyer is theta decay. When option losses it value with time is known as theta decay. When To Buy Options? The first thin ..read more

In derivative segment, traders are more towards option selling instead of buying the options. They prefer to sell options.  The perception of option selling is that it's very easy to make money through it. Somewhere it's true but it also have a various setbacks related to it. The only advantage of option selling is Theta decay because of which option sellers earn money. The profit of option seller is limited and is maximum to the premium received. The volume of option trading in India is highest among the world. Why Option Selling Is For Rich? Option selling requires high amount of margi ..read more

Stock Market is now-a-days are like a political party. Everybody has something to say about it. Today's world condition and spread of COVID-19 in all over the world has made stock market a CASINO. Only God knows what will happen next. Market is very much under the influence of various external factors. In our country majority of the people loves to play casino and unfortunately loses their money. In reality, stock market represents the various aspects of the economy. One's Expectations From The Stock Market? When one  starts doing trading or investing in stock market. The person has a pe ..read more

  Short- term Products- Low Returns with Capital Appreciation Short term goals are those less than three five years in the future. To reduce the risk of loss, holding the investment in cash or cash like vehicles is likely the most appropriate strategy. Money market funds and cash equivalent investments are conservative popular investments, as are savings accounts.                                                      Investors with short-term money/ goals have two primary objectives. 1. Safety of capital 2. Return on capital Money Market Funds / Liquid Schemes Money Market or Liquid Funds ar ..read more

                                         Derivatives Derivative is a product whose value is derived from the price of some other asset commonly known as underlying. It includes wide range of underlying assets. These include:  1. Metals such as Gold, Silver, Aluminium, Lead, Zinc etc. 2. Energy resources such as Oil (crude oil), Coal, Electricity etc 3. Financial assets such as Shares, Bonds and Foreign exchange. Derivatives market helps in improving price discovery. It helps in transfer of various risks from those who are exposed to risk but have low risk taking capacity. For example: Inves ..read more

                                           Risk The deviation between actual and expected returns is the risk in his investment. If the return from an investment remains unchanged over time, there would be no risk. But, there is no investment of that kind in the real world. Deviations from expected outcomes can be positive or negative, both are considered to be risky. All investment are subject to risk, but the type and extent of risk are different.                                     Types  Of  Risk 1. Market Risk - Systematic and Unsystematic Total risk consist of two parts. The part of r ..read more

Capital Market is one of the significant aspect of every financial market. Capital Market is a market for financial assets which have a long or indefinite maturity. It consists of financial institutions like IDBI, ICICI, UTI, LIC, etc. A capital market is a market for securities (debt or equity), where business enterprises companies and government can raise long term funds. Money is provided for periods longer than a year. The capital market includes the stock market (equity) and the bond market (debt)             Functions and role of the Capital Market 1. Speed up Economic Growth and Develo ..read more

Introduction:Money is the circulating medium of exchange as defined by the government. Money is the power through which we can acquire any resource we want.It makes our life easier, standard of living, educational level and various other factors also depend upon it. Smart money is the capital that is being controlled by the institutional investors and other financial institutions.The money which itself make money is the smart money.Smart money grows at a certain generally more than the inflation rate. How to make your money Smart? A difference between the rich person and a wealthy person ..read more

Credit rating is primarily intended to systematically measure credit risk arising from transactions between lender and borrower. Credit risk is the risk of a financial loss arising from the inability of the borrower to meet the financial obligations towards its creditor. In India, it is mandatory for credit rating agencies to register themselves with SEBI under SEBI Regulations 1999. There are 5 SEBI registered credit rating agencies in India, namely, CRISIL, ICRA, CARE etc which provide a rating on various categories of debt instruments. Credit rating agencies assess the credit quality of de ..read more

Investment plans generally refers to the services that the funds provide to investors offering different ways to invest or reinvest. Investment Plans are generally the different methods by which investor can invest in a fund. The famous amongst all investment plans are SIP(Systematic Investment Plan). Some of investment plans offered by mutual funds in India are: 1. Automatic Reinvestment Plans (ARP) 2. Systematic Withdrawal Plans (SWP) 3. Systematic Transfer Plans (STP) 4. Value Averaging Investment Plan (VIP) 5. Systematic Investment Plans (SIP)           Definitions Of Various Investment ..read more