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From all over the world students, investors, traders, analysts, advisors and academicians have participated in our courses. Our students inspire us every day. We're honored that they feel the same way about us.

INTEREST RATE AND ITS TYPE……..

Friday, August 26th, 2016 | Author: Shravan Kumar | Category: blog


  INTEREST +RATE =INTEREST RATE INTEREST –Extra money paid for using other money is called interest. RATE-A fixed priced paid or charged for something. Interest rate is the amount charge, expressed as a percentage of principal by a lender to a borrower for the use of assets. Interest rates are typically noted on a annual basis known as annual percentage rate. (APR) The assets borrowed could be anything cash, consumer good large assets such as a vehicle or building. Interest is basically a rental or leasing charges to the borrower for the assets use. In case of large assets like vehicle or building the interest is sometimes known as lease rate. When the borrower is a low risk party, they will usually be charged a low interest rate. If the borrower is considered high risk the interest rate that they are charged will high. NEGATIVE INTEREST RATE –Any interest rate that falls below zero is called negative interest rate it refers to case when deposits incur a charge for storage at a bank, than rather receiving interest income. FIXED INTEREST RATE- A fixed interest rate will not change during the period of fixed rate that we choose. FLOATING INTEREST RATE –A floating interest rate will go up or down as interest rates in wider market change. SIMPLE INTEREST RATE- If interest paid on a sum borrowed for certain period is uniformly then it is called simple interest. COMPOUND INTEREST RATE- It is a rate paid on principle as well as on interest for specified period. REAL INTEREST RATE-A real interest rate is a rate that has been adjusted to remove the effects of inflation, to reflect the real cost of funds to the borrower and the real yield to the lender or investor. The real interest rate of an investment is calculated as the amount by which the nominal interest rate is higher than the inflation rate. NOTE-SUPPLY AND DEMAND IN THE MARKET AFFECTS INTEREST RATE.

ANALYSE THE MARKET :- TO RULE THE BOX OFFICE OF THAT BUSINESS

Friday, August 26th, 2016 | Author: vikram khandelwal | Category: blog


                            ANALYSE     THE   MARKET…   TO   RULE   THE   BOXOFFICE   OF   THAT   BUSINESS  Image result for market analysis  Every businessman wants to make more and more profits and become successful. Some really become and some don’t , although they put their all hard-work and skills.  There is basically one difference between the two, i.e  SMART  work and HARD work. The one who gets success focuses more on SMART work than on HARD work. Today’s competitive market world permits only the smart and sparkling thinkers to move ahead . So friends ,till now , you all must be curious to about how to do that SMART work, right ?          So take a deep breath n relax …its really very simple  and easy to understand. Every businessman should do a proper “MARKET ANALYSIS” , no matters whether he/she is just starting a business or reviewing an existing business .One should always remember that  “ MARKET IS SUPREME  & TREND IS FRIEND “ .Now  the very first question that arises in our mind is –   Ø What is market analysis? Ø Why to do a market analysis ? Ø How to do market  analysis?   MARKET  ANALYSIS.  Definition“ A market analysis is the study of the dynamism of the market.”                                                                            By:-Pestle analysisIt is the attractiveness of a special market in a specific industry. Market analysis is basically a business plan  that presents information regarding the market in which you are operating in .  WHY   TO   DO   MARKET   ANALYSIS ?A  market  analysis is done so that you can formulate a strategy on how to run your business. Market changes every moment , so a business needs to watch for changes in its market.  You need to understand and judge, what’s actually going on with your market.  What’s the marketing trends and fashion do you see having an influence in our market segments.  CERTAIN   INGREDIENTS   THAT   ENHANCES    THE   FLAVOUR   OF   YOUR   ANALYSIS.The most common ingredients are Strength , Weakness , Opportunities and Threats. By assessing the company’s strengths and weaknesses, you can make a strategy on which factors to focus upon. We also look at external factors like situations which may provide us with an opportunity or threat. Economic factors, political instabilities or even social changes can give you opportunities which you can seize and do better. They can also create  threats which are  going to hamper your business  dealings.     DIMENSIONS   OF  MARKET ANALYSIS  :-Market sizeGrowth rate of the marketMarket trendsMake profitabilityDistribution  channelsIndustry cost structureKey success  factorsØ Technology progressØ Economics of scaleØ Efficient utilization of resources  HOW   TO   DO   MARKET   ANALYSIS   ? It is done mainly by the followings ways:- Technical analysis, Fundamental analysis, Sentiment analysis and Competitor analysis.   Let  us  see , how good TECHNICAL ANALYSIS  is ? It is an analysis of financial market  data  where  price pattern ,movement in volume and other market information are analyzed  by  employing trading rules. In technical analysis, prices trend directionally (i.e. up,down,sideways or some combinations). Technicians employ many methods, tools & techniques as well as charts to analyze data .By using charts, it is easy for us to identify price patterns and market trends in financial markets and attempt to exploit those pattern. Beside charts, there are several kinds of trends and patterns ; some with unusual patterns:- rectangle ,triangle, Bollinger bands, inverted head and shoulder, candle sticks etc   FUNDAMENTAL   ANALYSIS It is an analysis of company’s financial statements (like balance sheet, income statement   etc). Fundamental analysis is a  holistic approach of studying  a  business. It gives us the conviction to invest for long-term wealth creation. It is also known as quantitative analysis. Generally, fundamental analysis is used most often in context of stocks, but we can perform this analysis on any security, from a bond to a derivative. This is what fundamental analysis is all about. By focusing on a particular business, an investor can estimate the intrinsic value of the firm and thus find opportunities where he/she can buy at a discount. If all goes well, the investment will pay off over time as the market catches up to the fundamentals.   SENTIMENT ANALYSIS It refers to the use of natural language processing, text analysis and statistical analysis to identify and extract subjective information in source material. It is widely applied to reviews and social media for a variety of applications ranging from marketing to customer service.   Approach to sentiment analysis can be grouped into three categories:- Ø Knowledge-based techniques Ø Statistical methods Ø Hybrid approaches   COMPETITIVE   ANALYSIS It is an assessment of the strengths and weaknesses of current and potential competitors. The analysis provides both an offensive and defensive strategic content to identify opportunities and threats. In addition to analyzing current competitors it is necessary to estimate the entrance of new competitors which would be likely when:- ü there are high profit margins in the industry. ü there is future growth potential. ü there is no major barrier to enter.   Thus, it is very important for every business plan to include a proper      and complete market analysis so as to show positive performance and satisfactory results in stock and  other markets.   HAPPY  READING

SUN PHARMA- GROWING CHILD OF M&A

Friday, August 26th, 2016 | Author: Prasant Kamani | Category: blog


  No company in the Indian corporate history has propelled itself so huge by fructifying the tool called M &A (Merger & Acquisition) like Sun Pharmaceutical Industries Limited did. Currently it is the 5th largest generic pharmaceutical company in the world and the No. 1 pharma company of India.        

We all must have heard both success and horror stories of M&A, as it ‘shakes off’ the internal and external eco-system of the company involved.  But the key lies in execution –thereby having realistic mutual expectations from the merger. It ultimately leads to incremental value for shareholders.
 
 ENHANCING VALUE
Value creation is the goal here which Sun Pharma has achieved every time since 2004 it bought Caraco Pharma for Rs. 170Cr, right up to its latest acquisition of Ranbaxy Laboratories for $4 billion in 2014.     

Every company in the world thinks about ways of growing their business, keeping in mind money constraint and pace with competition.

  M&A seems to be an effective tool for bringing significant trans-formative changes.  Sun Pharma’s organic growth has been so unprecedented that it founds itself commanding market cap of nearly Rs. 2 lakh crores.

MAN WITH A MIDAS TOUCH

Dilip Shanghvi, Founder and Managing Director of Sun Pharma despite being conservative has always chosen distressed assets to acquire and has successfully turned around each of them. Such aggressive nature has paid dividends which no Indian pharma company could even conceive of cashing.

 

SWEET FRUITS OF M& A

For Sun Pharma, M&A has served as a positive extension to the company helping it achieve greater efficiency, and stronger competitive strength so that the collective value of the products and services from 16 acquisitions/mergers has taken the company to the next level of excellence.       HAPPY READING !!  :)

Reliance Joint Venture with Scotch and Soda

Friday, August 26th, 2016 | Author: VIKASH JHA | Category: blog Latest News


   Reliance Ties up with international clothing brand Scotch and Soda   reliance retailreliance retail ltd is one of a largest retailer in india and has 3383 stores in india.Reliance now want to jump up and to boost its retail business so it has tie up with the netherland based company scotch and soda .the company makes premimum quality clothing of both men and women.reliance aims to increse in retail business an its revenue.The reliance retail is adding more stores in future. Reliance Trends concept store is designed to encourage customers to discover styling ideas and what’s new in the world of fashion and help elevate the shopping experience,” the company said in a statement. financial position it has a turnover of 216 billion in its finanicial year 2015-2016 with a profit of 66.6 billions it has a growth rate of 21.1 % year on year  scotch and sodascotch and soda is a dutch youth fashion based company which was founded in 2001 it has 100 offical store in the country and 7000 all across the world.it is the fastest growing clothing comapny and  aims to setup his market in india.

Investment- Engine Of Growth

Friday, August 26th, 2016 | Author: Shruti Daftry | Category: Basic Finance


  Investment refers to a mechanism used for the purpose of generating future income. In simple terms it means when money is put to use through various avenues to earn a return on it in future”.  In today’s time everybody is running in the rat race to earn a penny extra and for that extra effort put in by us, we always wish to increase our earning. Investment can be done on anything which yields monetary return. It includes the purchase of bonds, stocks or real estate property etc. For example surplus left after all our expenses from our income is kept as savings but as we take a step ahead by opening a savings bank account we confirm a return on the money which would otherwise have been left unrealized. It has always been said:  “Sooner you invest, longer you secure and bigger you earn”        

Why should you invest?

The basic objective of investing is to earn a return on the money employed. Now again, reason behind investment varies on a personal basis but to keep a clear view of any investment you should always look into the important factors to rationalize your investment.
  • The factors include:
  • 1.    Source of investment and complete knowledge about it.
  • 2.    Fulfilling certain future objectives
  • 3.    Safety of the money
  • 4.    To reap a good return we should always keep a check of interest rate which will decide the amount of return.
 

The next question is what interest rate is and it depends on what?

It is a rate at which an amount is charged to the borrower for the privilege of using the lender’s money.The interest rate depends on overall economic structure of the country. After deciding on the above mentioned factors we think of the time span for which money is not required and we want the value of our money lent for that period. We need to decide on the tenure of investment i.e., if it is for short term or long term; depending on which we decide the avenues of investment.  

In market we have two ready avenues through which we can invest :

  • 1.    Physical assets- Real estate, Gold-Silver Commodities etc.
  • 2.    Financial Assets-Fixed Deposits, Government Savings Scheme, Insurance Funds, Pension Funds, Shares, Bonds etc.
 Image result for investment 

Bottom Line:

After discussing so much on investment we now know the importance of putting the idle money at work and how it is going to benefit us in future. Now the important takeaway is not just the theory we understood about investment, but its viability and practicality in our lives. Before planning any investment we should always ask ourselves 3 questions as to why, how and where are we going to securely earn extra from our money or savings?

   Plan strategically and choose wisely.

 

                                                                     Happy Learning. ! !   :)


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