As a market participant you must have heard about the rise and fall of stock prices. If you are someone new to the market, stock prices might be mysterious to you. You might be wondering why do stock prices move up and down? Who decides the stock price? and what factors determine whether stock price … Read More » "10 reasons why share prices move up and down in stock market"
Stock will always have two prices: bid and ask. To execute a trade investor must understand the concept of bid versus ask. Many people may not know what bid and ask means, how it relates to the stock market, how it defines the demand and supply for a specific financial asset and how it can … Read More » "What is Bid and Ask Price in stock market and how its used"
In our last article, we have discussed what are the financial statements and what it contains. In this article, we will tell you what you should look for in the financial statements. We have four sections to a company’s financial statements; The balance sheet The income statement The cash flow statement Notes to accounts or … Read More » "What to look for in the financial statements before investing in stocks"
Over the years equity market has performed well in comparison to any other type of investments such as bonds and real estate. All of these financial assets have their own pros and cons. The question is: where should you invest? If it’s equity, should you start investing with stocks or mutual funds? To know the … Read More » "How to decide whether to buy stocks or mutual funds"
In this article, we have done a comparison between company stocks and bonds to get you a clear picture of the differences. Market participants and analysts can tell you numbers of differences between stocks and bonds. We have mentioned the most important differences between these two from an investing point of view. Ownership – Stock … Read More » "Company Stocks Vs Bonds – What is the difference"
Based on the approach of market participants toward risk tolerance, investing style can be either: Conservative or Aggressive. Your investment strategy depends on certain parameters such as risk and return. It refers to your approach to stock investing. It’s a method or philosophy followed by investors in selecting stocks, bonds and other financial assets for … Read More » "Conservative Vs Aggressive investment strategy – Which style suits you"
Dividend payments are important to certain types of investors who invest for income. Therefore, they never buy stocks after the ex-dividend date. These investors use dividend payments as a yardstick for their investment. As a part of their dividend investing strategy, they purchase stocks of companies that have a history of paying regular dividends out … Read More » "Why Ex-dividend date is so important for stock investors"
Knowing different types of brokerage orders will help you fine-tune your strategy of making money in the stock market. Before taking you to different types of brokerage orders, let us first understand what a brokerage order is. Brokerage orders In the stock market, brokerage order means an instruction given by a market participant to a … Read More » "Different types of brokerage orders in the stock market"
Every investor invests in order to earn a good rate of return on their capital invested. In the stock market, return is in the form of dividends and/or capital appreciation. Traditional risk free investments do not offer any capital appreciation. By calculating your rate of return, you will be in a position to measure the … Read More » "How to calculate rate of return in stock market – Explained with example"
Every investor must understand the difference between investing, saving and speculating. You might have already heard of investing, saving and speculating, but, do you know the difference between them. In this article, we will tell you what is investing, saving and speculating, and how they differ from each other. If you are a regular reader … Read More » "How speculating is different from Investing and Saving"