Shares tumbled 7 percent as investors took the recent surge in the counter as an opportunity to book partial profits. The scrip has soared around 50 percent in the past month. The stock had jumped around 7 percent and hit a 52-week high of Rs 12.50 earlier in the session after the company announced making a payment of Rs 1,701 crore to the Department of Telecommunications (DoT).
Monday, 18 September 2023
18-SEP-2023 INDIAN STOCK MARKET
The Sensex was down 241.79 points or 0.36 percent at 67,596.84, and the Nifty was down 59 points or 0.29 percent at 20,133.30. About 1,641 shares advanced, 2,005 shares declined, and 167 shares were unchanged.
Saturday, 20 August 2022
Digital Savings Account: POST OFFICE
For the people who are tech savvy and comfortable with technology, IPPB’s Digital Savings Account is the best way to onboard yourself through the IPPB Mobile App. This app can be downloaded from the play store on your Android phone and also available on app store for iPhone users. Anyone above the age of 18 years, having Aadhaar and PAN card, can open this account. The account can be opened instantly from the comfort of your home, which means banking anytime, anywhere.
Key Account Features and Benefits
- Banking at your convenience
- Instant self on-boarding
- RuPay Virtual Debit Card for online transactions
- No monthly average balance required to be maintained
- The account can be opened with zero balance
- Free monthly e-statement
- Easy bill payments and recharges
What makes us different
- Multilingual customer support
- No commitment of minimum balance
- Nominal charges
Tuesday, 16 August 2022
Penny Stock Meaning: What Are Penny Stocks in India?
Common shares of tiny public firms that trade infrequently, limiting their liability or pool of willing purchasers, are referred to as penny stocks. Penny stocks are traded in India for 10 rupees or less. These stocks aren't often traded, thus their values are prone to sharp increases in volatility. This indicates that those who buy penny stocks must exercise caution. Having said that, there are a number of benefits to such investments that should be taken into account.
Best time of day to buy stocks | BSE | NSE
The 9:30AM to 3:15PM trading hours for the Indian stock market. For intraday traders, who buy and sell stocks throughout a single business day, 9:30AM to 10:30AM is typically the best time to trade. It takes the stock market 15 minutes to respond to developments that have occurred since it last closed.
Prior to making buy, hold, or sell choices that can unintentionally be rash, traders should give it time to reply. Within an hour and a half after its opening, the stock market's volatility and volume of traded equities tend to decline. Additionally, prolonged exposure to the stock market and the charts and graphs that go along with it on a given day can make rookie investors mentally exhausted and confused. This can then result in one of the bad choices that cause intraday traders to frequently lose money in the stock market.
There is a common misconception that investors should buy stocks on Monday when they are supposedly at their lowest prices and sell them on Friday when they are supposedly at their highest. If this were the case, the demand and supply paradigm would be warped, making it impossible for the stock market to function regularly. Because of this, there is no "optimal trading time of the day," although keeping a watch out for inexpensive stocks or certain price fluctuations can be quite beneficial.
Stocks to Watch Today | LIC, ONGC, Hero MotoCorp, and others in news today
Life Insurance Corporation of India: The life insurance major registered an increase of 20.35 percent in total premium income at Rs 98,352 crore in the June FY23 quarter, as against Rs 81,721 crore a year back. The profit for the quarter was Rs 682.88 crore against Rs 2.94 crore in corresponding period last fiscal. The market share of LIC in individual first year premium income was 43.86 percent for June FY23 quarter and in the group first year premium income, the market share was 76.43 percent.
Oil and Natural Gas Corporation: ONGC reported a standalone profit of Rs 15,206 crore for the quarter ended June FY23, up 251 percent on-year, driven by strong operating performance and top line growth. Standalone revenue for the June FY23 quarter grew 84 percent on-year to Rs 42,321 crore. EBITDA came in at Rs 24,731 crore for the June FY23 quarter, rising 125 percent YoY, and margin jumped by 1,065 bps YoY to 58.43 percent during the quarter led by higher crude realisation following spike in oil prices and increase in domestic gas prices.
Hero MotoCorp: The two-wheeler maker recorded a 71 percent year-on-year increase in profit at Rs 625 crore for the quarter ended June FY23 on a low base. Revenue grew 53 percent YoY to Rs 8,393 crore and EBITDA surged 83 percent to Rs 941 crore, compared to the year-ago period. The company sold 13.90 lakh units of motorcycles and scooters in Q1FY23, a growth of 36 percent over the corresponding quarter in the previous fiscal. The year-ago quarter was affected by second Covid wave.
Zee Entertainment Enterprises: The company recorded a 49 percent year-on-year decline in profit at Rs 106.6 crore for the quarter ended June FY23 dented by dismal operating performance and tepid top line growth. Revenue grew by 4 percent to Rs 1,846 crore compared to year-ago period with 5.4 percent on-year increase in advertising revenue and 5 percent fall in subscription segment.
Market LIVE Updates: Nifty around 17,800, Sensex up 300 pts; ONGC, Hero Moto, LIC of India in focus
M&M, Hero MotoCorp, Asian Paints, Eicher Motors and Britannia Industries were among major gainers on the Nifty, while losers were Grasim Industries, Hindalco Industries, Apollo Hospitals, Tata Steel and ONGC.
Monday, 15 August 2022
SYRMA SGS TECH IPO SUBSCRIBED 37%
The initial public offer (IPO) of electronic manufacturing services firm Syrma SGS Technology received bids for 1,05,17,900 shares as against 2,85,63,816 shares on offer, according to stock exchange data at 17:00 IST on Friday (12 August 2022). The issue was subscribed 0.37 times.
The IPO, with a price band of Rs 209-220 a share, will remain open for public subscription during 12 to 18 August 2022. An investor can bid for a minimum of 68 equity shares and in multiples thereof.
The public issue comprises a fresh issue of shares worth Rs 766 crore, and an Offer For Sale (OFS) of up to 33.69 lakh equity shares by Veena Kumari Tandon, a promoter. Post OFS the shareholding of Veena Kumari Tandon will be 0.86% of the expanded equity.
The net proceeds from the fresh issue will be utilised for funding capital expenditure requirements to expand manufacturing, R&D facilities, working capital requirements and general corporate purposes.
Ahead of the IPO, the company on 11 August 2022 raised Rs 252 crore from anchor investors. It allocated a total of 1,14,56,261 equity shares to anchor investors at Rs 220 each, aggregating the transaction size to Rs 252.04 crore.
Syrma SGS Technology is a technology-focussed engineering and design company engaged in turnkey electronics manufacturing services (EMS), specialising in precision manufacturing for diverse end-use industries, including industrial appliances, automotive, healthcare, consumer products and IT industries.
The company reported net profit of Rs 30.61 crore and sales of Rs 646.26 crore in the year ended March 2022.
Powered by Capital Market - Live News
What Is The Difference Between Direct and Regular Mutual Funds
One can purchase what is known as a direct mutual fund straight from the mutual fund firm (usually from their own website). A regular mutual fund, on the other hand, is one that you acquire by working with a broker, a distributor or an advisor. The commission is paid to the intermediary by the mutual fund firm when the fund is considered to be regular. After that, this is paid back to the participant as an expense by the fund.
When referring to mutual funds, an expense ratio that is larger indicates a regular fund. Both of the funds come with their own set of advantages. Investors need to have a solid understanding of how these two funds function in terms of the cost structure and how it affects their returns before they can make an educated decision about whether or not they should invest in direct or regular mutual fund plans.
Total Expense Ratio
The investor is responsible for paying a fee that is referred to as the total expense ratio (TER), which covers the recurrent operating expenses spent by the mutual fund business in the course of providing service to the investor. The TER's cost is reduced proportionally from the plan's assets, and the resultant adjustment is recorded in either the unit's price or NAV. The total expense ratio takes into account registrar's fees, administration fees, trustee fees, as well as distribution and marketing expenses. The commission that is paid to the mutual fund distributors in their role as mediators between the asset management company and the investor is known as the distribution cost. When comparing the direct and regular mutual funds, TER is one of the most crucial metrics to look at.
What Are Direct Mutual Funds?
There is no middleman involved in the purchase of direct funds; rather, they are purchased directly from the AMC. You can purchase direct plans either by going to the AMC website and following the instructions there, or by going to the AMC or the registrar's office in your city and following the instructions there. You can also invest in direct plans by working with Registered Investment Advisors (RIAs). RIAs, on the other hand, impose a fee on their clients in exchange for the advisory services they provide. Because mutual fund distributors are not involved in direct plan investments, the asset management organisation does not have to bear the costs associated with distribution. If you contrast direct mutual fund plans with those of regular mutual fund plans, you will discover that direct plans have lower total expense ratios (TERs).
What Are Regular Mutual Funds?
Purchases of regular plans are made by distributors of mutual funds. The services provided by a mutual fund distributor include counselling investors on which mutual scheme they should invest in, assisting investors with the investing process, submitting KYC paperwork on behalf of investors to AMCs, and providing ongoing services. As long as you continue to invest in the standard mutual fund plans, the distributors will continue to receive commissions from the AMC for the provision of these services. The TER of regular plans includes these commissions, which are added on by the AMC. As a direct consequence of this, the total expense ratios (TERs) of regular plans are significantly greater than those of direct plans.
Differences Between Direct and Regular Mutual Funds
The following is a list of the primary distinctions between direct and regular mutual funds:
- Returns: The total expense ratio differential between regular plans and direct plans varies from scheme to scheme and from AMC to AMC due to the different commission structures used by AMCs. Equity fund commissions, for example, are often higher than commissions on certain categories of debt funds. The total annual cost difference between standard plans and direct plans might range anywhere from 0.5 percent to 1 percent. The returns on both regular and direct plans are impacted as a direct result of this. If the TER of a regular plan is 0.75 percentage points greater than that of a direct plan, then the return that the direct plan generates on a compound annual basis will be 1 percentage point more than that of the regular plan. If you compare the returns of direct plans to those of regular plans over the course of a long investment horizon, you will find that the direct plans can add up to a large amount of difference in the returns on your investment.
- Net Asset Value: The total expense ratio of any mutual fund plan is derived from the fund's net asset value (NAV). Because the TERs for regular plans are far higher than those for direct plans, the NAVs for direct plans are significantly greater than those for regular plans. In other words, after you have made your purchase, the value of your investment will always be greater in a direct plan than it would be in a regular plan if you had chosen the regular plan.
- Role Of Financial Advisor: Do-it-yourself investors can use direct plans since they do not require the assistance of financial advisors when transacting in mutual funds. Transactions for investors who seek to invest in direct plans have become significantly less complicated because of the proliferation of mobile apps and online investment platforms provided by asset management companies (AMCs). However, apart from helping with transactions, financial advisors also aid investors in making judgments on investments, monitoring investment portfolios, and other similar activities.
Wrapping Up: Direct Vs Regular Mutual Funds
We examined direct vs. regular mutual funds in this article, including how they function, how to invest in them, and the fundamental differences between direct and regular mutual funds. In comparison to regular plans, direct plans have bigger profits and reduced costs. Over a suitably long investment horizon, the difference in returns can be significant. Direct mutual fund plans, however, necessitate some financial understanding and experience. If you make poor investment decisions, you risk jeopardising your financial interests.
You should also spend more time tracking the performance of your investments and taking appropriate action as needed. If you need assistance with investment decisions such as determining your risk appetite and the scheme's risk profile, asset allocation, or selecting the correct mutual fund scheme, you should consult a financial advisor. Various investors have varying degrees of investment experience. You should weigh the advantages and disadvantages of investing in direct vs regular mutual funds before deciding which is best for you.
How to Invest in the Stock Market with Small Money?
One of the many myths surrounding the stock market today is that you need a huge lump sum amount to be able to invest in it. However, this is simply untrue. As a matter of fact, you don’t need a large sum of money at all. You can start investing in the stock market with a contribution as low as just Rs. 500 each month. Surprising, isn’t it? Wondering how this is possible? In this article, we’re going to take a look at a unique investment method that allows you to invest in the Indian stock market today with just small money. So, let’s begin.
How to invest in the stock market with little money?
A Systematic Investment Plan (SIP) is a unique investment method that allows you to invest in stocks and mutual funds with very little monthly contributions. All that you need to do is open an SIP online by specifying the tenure and the amount of monthly investment that you’re willing to make.
Once you’ve applied, each month, the SIP will automatically deduct funds from your bank account on a predetermined day and use the funds to invest in the stock or mutual fund of your choice. This goes on continuously till the end of your selected tenure. And upon the expiry of your tenure, your entire fund balance can be withdrawn by you and used to further your financial goals.
What are some of the advantages of an SIP?
One of the many advantages of an SIP investment is the fact that it is customisable according to the needs and requirements of the investor. You have the freedom to choose almost every single aspect of your investment; be it the tenure, the amount of investment, or the fund that you wish to invest in.
That’s not all. Another major benefit that you get to enjoy is the fact that a Systematic Investment Plan allows you to effectively manage market volatility. It does this by purchasing more units when the prices are down and fewer units when the prices are high. When this is done for a considerable amount of time, the average cost of your investment goes down.
And finally, Systematic Investment Plans work on the concept of compounding. In an SIP, the dividends that you earn on your investments can be reinvested into the market. So, when you finally sell stocks or your mutual funds, the returns that you get would significantly increase.
Which Currencies Have a Greater Value than the US Dollar and Why?
Used as a solid base to trade with most international currencies, the U.S. dollar (USD) is among one of the most valued currencies globally. The only rival that is close to the USD is the euro, in terms of the international market space. Nonetheless, having said this, the euro to dollar rate has been fluctuating in the past few years.
If you are an active investor and participate in the share market today, you may want to spread your wings to the world of Forex trading to diversify your portfolio. However, whatever your financial goals may be as an ardent investor, it is worth knowing about the strength of the USD, and other currencies that may just be stronger, relative to the steady USD.
The Steady USD
The U.S. dollar is considered the world over as the currency that offers the most with regard to stability. It is a strong currency. Used as a reserve currency for international finance and trade, sentiment and its widespread utility has made it solid and bankable. The share market today may be a volatile place to invest all your wealth in. Nonetheless, the USD is regarded as a secure investment and you will discover that many Indians are in the habit of hoarding it, just like they hoard gold. You may invest in stocks today and open a demat account for the same, but you can think of currency trading to widen the scope of your investment.
Given the fact that the USD is viewed as reliable, there are currencies of some nations that forge ahead of the USD. This implies that a unit of the foreign currency is worth more than $1. However, just because another currency is more valuable than the USD, does not imply that the foreign economy is stronger or larger. You must remember that rates of exchange are fixed due to a range of factors, which includes the quantity of cash in circulation. Let’s have a look at currency rates that surpass the value of the USD as of May, 2022.
1. The Euro
As far as May 2022, the Euro equaled 1.07 USD, which still meant that the Euro was stronger, but by barely a bit. Today, in July 2022, 1 Euro = 1.01 USD, meaning that the USD is catching up. The Euro, in the long run, remains strong as it is set by policies of the European Central Bank. This body sets policies for the whole Eurozone. As it is an independent entity, it is not bound by any government. Therefore, this maintains the Euro’s strength overall. In India, you can trade in the Euro with the base as the Indian Rupee, so why not have a go at Forex online trading after doing some due research?
2. The Cayman Islands Dollar
The KYD or the Cayman Islands dollar was fixed through a peg in 1970, with 1 KYD = 1.20 USD. The exchange rate is close to that now, but setting a peg doesn’t mean that a currency is necessarily worth more. A peg is challenging to maintain when the local economy faces a downturn while America raises rates of interest. However, the Cayman Islands is a tax haven and this goes a long way in supporting its currency.
3. The British Pound
Maybe you have a grip on your investments and would rather rely on any upcoming IPO to allocate your wealth to than to currency markets. However, if you are successful in Forex trading, your returns may amount to a lot more than stocks. The GBP or British Pound has stayed its ground as a robust currency as the Bank of England which issues it has remained in the know of economic developments globally. Keeping up active pace with international economies has kept the value of the pound always higher than the USD. Historically, this has always been the case, except for an interim period in the 1980s. With Forex online trading becoming accessible in all corners of the word, there are many international traders who actively participate in trading and investing in the GBP. As of May 2022, 1 GBP was equal to 1.25 USD.
4. The Bahraini Dinar
The BHD or the Bahraini dinar outshines the Omani rial against the USD when it comes to its high value. Since 2011, this has been the case and as of May 2022, 1 BHD = 2.65 USD. Even with oil prices declining, Bahrain has managed to keep inflation moderately stable and hence, kept its currency high.
5. The Kuwaiti Dinar
With 1 KWD (Kuwaiti dinar) = 3.26 USD, the Kuwaiti dinar has outshone every other world currency. This is more or less the world’s most valuable currency, and it has never relied on a peg. It is a free-floating currency, and if you earn in this currency, you can probably ditch the share market today as an investment channel! However, jokes aside, the KWD has remained a strong contender in currency markets due to its substantial production of oil mainly. This has only augmented the nation’s wealth and its currency value. Over time, the Kuwait Investment Authority has accumulated surplus wealth with a “sovereign wealth fund”, keeping the country prosperous through good times and bad.
CAUTION: DO NOT SELL DURING A MARKET DOWNTURN
.jpg)
Everyone knows, through years of experience and exposure, that the stock market is a volatile place. As dynamic a place as it is, upswings and downturns are a significant part of the stock market. While the stock market is bullish, everyone is happy and optimistic. It’s when a downturn occurs that people panic. Although this is an almost natural reaction of investors, it’s the one thing investors should never do. There is such a thing as “panic selling”, but in the long run, this may do more harm than good. Nowadays, with easy access to any share trading app, offloading stocks during a downturn has become easier, and somewhat more impulsive, than it was ever before!
There are a million instances in which investors experience downsides in the share markets, but decisions taken in a hurry can lead to downfalls. Long-term and seasoned investors should know, by now, that eventually, the markets and the economy will go through recovery. When such a rebound occurs, it’s a great time for your stocks to increase in value. If you have your fundamental cash flow systems in place, and substantial knowledge of the markets, you will be equipped to face downturns and make fruitful decisions. There are some crucial reasons why you shouldn’t sell your assets during any downturn.
Understanding a Downturn
Most of us investors trade with super apps these days. Trading and investment has become so easy and portable with apps like the MO Investor app. After you open a demat account online, you only have to click a few buttons to trade and start your investment journey. However versatile this may seem for an investor, it also leads to hasty decisions, especially in times of a market or economic downturn. Before you understand why you shouldn’t simply offload your assets, especially equity, or part of them, during a downturn, you should know what a downturn is and implies.
An economic or market downturn is a general slowdown that takes place in economic activity. This happens over a sustained period. It can occur in a particular region (eg. the financial crisis in Asia during the late 90s). It can also happen on a global scale, like the financial downfall during the latter part of 2000. The key highlights of any economic downturn include decreasing share and home prices, increasing unemployment, low levels of consumer confidence, and a decline in investments. In such circumstances the first thing you think you should do is “sell” and get your cash free before its value decreases further. However, in such situations, you should ask yourself what you should NOT do and move on from there.
Don’t Sell! There is an Upturn Coming!
Whether you are using a share trading app or an online portal for your investment activity, it's very convenient to make spur-of-the-moment decisions. However, you may regret them later. This is true while you make investment decisions like subscribing to any upcoming IPO, or planning to disinvest as well. Anyway, back to downturns. The world, including individual countries, has been through many downturns. The Indian stock market has faced and recovered from downturn phases. That is exactly what downturns are - phases. If you examine past data, you will discover that it is a trend for any downturn to be followed by an upturn.
For instance, if you think of the financial crisis that occurred in India in 2008, the Indian economy and the Indian markets were adversely affected. The BSE SENSEX witnessed a decline from a whopping 20325 points at the opening bell to 9647 points at closing. In the very next year, 2009, a rebounding effect was gradually seen. Similar events took place in 2015, 2016 and 2020. Sitting tight is the best advice in such circumstances, rather than going the “panic selling” way.
It is Not Easy to Time Markets
Through an app like the MO Investor app, trading and investing is done at the drop of a hat. You can also get some sound advice about investing on a reputed trading and investing app. Having said this, if you wish to sell your securities to keep safe from declining portfolio prices in a downturn, you have to know that timing markets don't aid in mitigating losses.
Typically, when investors are compelled to sell, they will most likely experience losses. They sell by “timing the market” only to make more losses than usual. When you have equity as your investment, you have to look at the long view rather than the short one. Afterall, you have done a thorough job while researching company stocks you have invested in. With such solid equity, you have to know that once markets bounce back, your stocks will give you gains.
Think of Long-Term Financial Goals (and Returns)
Your share trading app can be your best pal where your investments are concerned. You can make the most of opportunities and buy good stocks for your portfolio when you are sure you want to invest. It can also turn into an enemy when you take hurried decisions to sell off your assets without a second thought.
Up or down, while you invest in the markets, it is best to stay true to your investments and the goals you have set. Sticking out a downturn, which is a temporary setback, stands you i9n good stead to help you achieve your financial goals by getting great returns in the long run. Whether you are investing small amounts at a time or have made a lump sum fund allocation, you should stick with a plan for the long haul.
Grin and Bear It
One thing that all investors know (but fail to accept at times) is that market downturns are an intrinsic part of the stock markets. You may have been quick to open a demat account and invest in stocks, but you shouldn’t be as hasty to get rid of your investment. Seasoned investors are patient investors who know that they have put in a lot of research and analysis before investing in any upcoming IPO or direct equity in the markets. They don’t just sell off investments in bad times.
3 Ways To Invest in Digital Gold Online
Gold ETFs: A gold exchange-traded fund is a mutual fund that is commodity-based, and invests in commodities such as gold. This is one of the most popular options as far as how to buy digital gold goes. Let’s take a look at how this works.
A gold ETF functions similarly to a traditional mutual fund, which can be traded on the stock market. The only differing factor is that instead of the fund’s investments lying in stock, they are in commodities, in this case, gold. As a result, the ETF stands as a representation for the commodity, both in dematerialized and paper form. When you invest in the gold ETF, you are investing in the stock of the fund instead of the gold itself. And once trade takes place, you are credited with the value of the gold in cash, instead of with the commodity itself. This eliminates the requirement for individuals to liquidate their assets if they are holding them in traditional gold.
SGBs: Sovereign Gold Bonds or SGBs are government securities that are denominated in the price of gold in grams. While looking at how to buy gold, one could consider SGBs as they are government-issued. This type of gold investment allows investors to invest in bonds, with the minimum investment requirement being 1 gram, and the maximum limit being 4 kgs per annum per investor. This stands to be another strong option while considering how to invest in gold online.
Gold Mutual Funds: While considering how to buy digital gold online, we previously discussed gold ETFs. Gold mutual funds, on the other hand, are open-ended funds that invest in gold ETFs. This is also a good option while considering how to buy gold, as it also allows investors to invest in the companies mining the gold, both within the country and abroad.
How to invest in gold exchange traded funds
Gold ETFs have been an essential financial investment in many portfolios. In essence, Gold Exchange-Traded Funds are units of gold that are issued. The ETF holds physical gold against it with a gold custodian bank. For over 10 years, gold ETFs have been in India. When you invest in gold ETFs, it is critical to remember that these are more profitable than other gold investments. This is mainly because you can make profits as the prices steadily increase by the day.
Benefits of Gold ETFs
There are several benefits of investing in gold ETFs. Here are some of the key benefits.
1. Tax Benefits
One of the key benefits of gold ETFs is that you can experience tax benefits. When gold ETFs are older than a year, they attract tax on long-term capital gains. However, you will not be charged any VAT.
2. Hedge Against Inflation
Many investors consider gold to be a safe investment as it most often is protected against several inconsistencies. Some of the common inconsistencies in the market are inflation and other fluctuations in currency prices.
3. Secure Investment
Compared to physical gold, gold ETFs are a much easier investment. They are also much more secure as there is no worry of theft, storage areas to be secured, and sustaining big losses.
4. Open Trading
Prices of gold that are on the stock exchange can be viewed publicly. In addition, you also have the option to check the gold prices for the hour or the day without any hassle.
5. Easy Transactions
Unlike physical gold, you can complete the transaction of purchasing gold ETFs in a simple manner online through any stockbroker. While physical gold can also be purchased online, there can be several challenges with quality and others.
Subscribe to:
Posts (Atom)