stock markets in india

THE MINT OF FORTUNE…

BROAD CLASSIFICATION OF STOCKS

BROAD CLASSIFICATION OF STOCKS

BROAD CLASSIFICATION OF STOCKS

BROAD CLASSIFICATION OF STOCKS

BROAD CLASSIFICATION OF STOCKS

BROAD CLASSIFICATION OF STOCKS

Common Stocks

Preferred Stocks

•History

•BSE Today

•History

•BSE Today

Introduction.

List of Grievances.

Approaching SEBI.

• How can one approach SEBI?

Transaction Takes Place In 3 Major Steps:

Place Order.

Order Broker.

Broker ExchangeThere Are 2 Methods For Placing Orders:

Online trading

Offline trading.

• Computer • Internet Connection • Dematerialized (Demat) account • Trading account

Remember:• Fast Support• Brokerage Rates• Reliability

• Computer • Internet Connection • Dematerialized (Demat) account • Trading account

Remember:• Fast Support• Brokerage Rates• Reliability

• Computer • Internet Connection • Dematerialized (Demat) account • Trading account

Remember:• Fast Support• Brokerage Rates• Reliability

• Computer • Internet Connection • Dematerialized (Demat) account • Trading account

Remember:• Fast Support• Brokerage Rates• Reliability

• Computer • Internet Connection • Dematerialized (Demat) account • Trading account

Remember:• Fast Support• Brokerage Rates• Reliability

• Computer • Internet Connection • Dematerialized (Demat) account • Trading account

Remember:• Fast Support• Brokerage Rates• Reliability

Bonds

Stocks

Mutual Funds

Options and Futures

Bonds

Stocks

Mutual Funds

Options and Futures

Bonds

Stocks

Mutual Funds

Options and Futures

Bonds

Stocks

Mutual Funds

Options and Futures

Bonds

Stocks

Mutual Funds

Options and Futures

First sale of Shares by a company to the public.

What are mutual funds?

A Vehicle for investing in Stocks.

Pools money of investors and invests this in Stocks, Bonds, Money market instruments and other types of securities.

Owner of a mutual fund unit gets a share of the fund’s gains, losses, income and expenses.

A Vehicle for investing in Stocks.

Pools money of investors and invests this in Stocks, Bonds, Money market instruments and other types of securities.

Owner of a mutual fund unit gets a share of the fund’s gains, losses, income and expenses.

A Vehicle for investing in Stocks.

Pools money of investors and invests this in Stocks, Bonds, Money market instruments and other types of securities.

Owner of a mutual fund unit gets a share of the fund’s gains, losses, income and expenses.

Funds make investments in sectors that have been specified in the prospectus of the funds.

Amount of Returns totally depends on performance of particular Industry or Sector.

They are risky in comparison with funds that are Diversified.

Funds make investments in sectors that have been specified in the prospectus of the funds.

Amount of Returns totally depends on performance of particular Industry or Sector.

They are risky in comparison with funds that are Diversified.

Funds make investments in sectors that have been specified in the prospectus of the funds.

Amount of Returns totally depends on performance of particular Industry or Sector.

They are risky in comparison with funds that are Diversified.

Software, Petroleum stocks, Power, and Pharmaceuticals are some various sectors

Main mutual fund companies that have launched Sector- Specific Funds are:

Prudential ICICI Mutual Fund Birla Sun Life Mutual Fund Franklin Templeton India Mutual Fund Unit Trust of India Mutual Fund

Asset Management Company (AMC)

It is the company that puts together a mutual fund.

AMC may have several mutual fund schemes .

AMC hires a professional money manager, who buys and sells securities in line with the fund's stated objective.

Asset Management Company (AMC)

It is the company that puts together a mutual fund.

AMC may have several mutual fund schemes .

AMC hires a professional money manager, who buys and sells securities in line with the fund's stated objective.

Asset Management Company (AMC)

It is the company that puts together a mutual fund.

AMC may have several mutual fund schemes .

AMC hires a professional money manager, who buys and sells securities in line with the fund's stated objective.

Net Asset Value(NAV)

NAV is the total asset value (net of expenses) per unit of the fund and is calculated by the AMC at the end of every business day.

The performance of a particular scheme of a mutual fund is denoted by NAV.

Net Asset Value(NAV)

NAV is the total asset value (net of expenses) per unit of the fund and is calculated by the AMC at the end of every business day.

The performance of a particular scheme of a mutual fund is denoted by NAV.

Broad Classification of MF’s

Enter and exit the fund scheme at its NAV.

Broad Classification of MF’s

Enter and exit the fund scheme at its NAV.

Broad Classification of MF’s

Do not have a fixed maturity period.

Enter and exit the fund scheme at its NAV.

Do not have a fixed maturity period.

Broad Classification of MF’s

Open for subscription only during a specified period of time.

Enter and exit the fund scheme at its NAV.

Do not have a fixed maturity period.

Broad Classification of MF’s

Open for subscription only during a specified period of time.

Have a fixed maturity period of 5 to 7 years

Benefits of investing through MF’sProfessional Money Management

Diversification

Liquidity

 Affordability

Tax benefits on Investment in Mutual Funds

Benefits of investing through MF’sProfessional Money Management

Diversification

Liquidity

 Affordability

Tax benefits on Investment in Mutual Funds

Benefits of investing through MF’sProfessional Money Management

Diversification

Liquidity

 Affordability

Tax benefits on Investment in Mutual Funds

Benefits of investing through MF’sProfessional Money Management

Diversification

Liquidity

 Affordability

Tax benefits on Investment in Mutual Funds

Benefits of investing through MF’sProfessional Money Management

Diversification

Liquidity

 Affordability

Tax benefits on Investment in Mutual Funds

The Bulls, Bears, And The Farm

The Bulls:

The Bears:

Other Animals on Farm: Chicken Pigs

The Bulls, Bears, And The Farm

The Bulls:

The Bears:

Other Animals on Farm: Chicken Pigs

The Bulls, Bears, And The Farm

The Bulls:

The Bears:

Other Animals on Farm: Chicken Pigs

The value of the share of a particular company is known as stock price.

When net supply>demand then stock price increases and vice versa.

Market

CapitalizationShare Price

ShareShare

ShareShare

Represents the value of a particular company.

Technical Rally.

Sideways Market.

Wealth Effect.

Wall Of Worry.

Torpedo stock.

Top-Down Approach Overall Evaluation Of The General

Economy. The Economy Expands, Companies

Benefit And Grow.

The Economy Declines, Companies

Suffer.

Important Parameters: Earning per share – EPS

Price to Earnings Ratio – PE

Dividend Yield

Debt ratio

Profit after Tax - PAT

Earning Per Share (EPS):-

EPS plays major role in investment

decision.

EPS = Net Earnings /

Outstanding Shares

Higher The EPS, Better The Company

PE RATIO

PE = Stock Price EPS

Which P/E Ratio To Choose? 

DIVIDEND YIELD.

Dividend Yield is :

Annual dividend per share / stock's price per share

DEBT RATIO

Debt Ratio tells you how much company relies on debit to finance its assets.

The higher the ratio the more risk for company to manage.

Companies have low debit ratio, generally

less than 1.

PROFIT AFTER TAX.

Short term to mid term trader quarterly PAT

Long term investor yearly PAT.

STRENGTHS OF FUNDAMENTAL ANALYSIS

Long-term Trends :

Value Spotting :

Business Acumen:

LINE CHART.

BAR CHART.

•Resistance?

•Support?

•Resistance becomes Support.

•Breakout.

•Trader’s Regret.

RISING TREND.

FALLING TRENDS.

INFLATION.

INFLATION.

INFLATION.

INFLATION.

INFLATION

INFLATION

INFLATION

INFLATION

INFLATION

RBI POLICIES.Deals mainly with the monetary policies (Interest rates, Lending and Borrowing rates.)

Comes into picture to put off economic imbalances in the country.

RBI’S EFFORT TO CURB INFLATION.

RBI’S EFFORT TO CURB INFLATION.

RBI’S EFFORT TO CURB INFLATION.

RBI’S EFFORT TO CURB INFLATION.

RBI’S EFFORT TO CURB INFLATION.

RBI’S EFFORT TO CURB INFLATION.

RBI’S EFFORT TO CURB INFLATION.

GOVERNMENT POLICIES.Government makes various fiscal policies to control economic imbalance in the country.

This ensure a sustainable environment for the growth of the companies, thus helping to create a bullish market.

GOVERNMENT POLICIES.

GOVERNMENT POLICIES.

GOVERNMENT POLICIES.

GOVERNMENT POLICIES.

GOVERNMENT POLICIES.

Foreign Direct Investment(FDI)

Foreign Institutional Investors(FII’S)FII’s 1st Invested In Indian Markets In DEC 1993

• Highest NET Investment Of US$ 17.2 Billion• Instrumental In BSE Crossing 20,000 Mark And NSE Crossing 6000 Mark

• 70% Investment Through FCCB’S,QIP’S And IPO’S• FCCB’S Raised US$ 11-13 Billion, QIP’S Raised 3.2 Billion And IPO’S A Record Gain Of US$ 12.41 In 2007-08

• Out Of US$ 299.23 Billion , US$ 103.56 Invested In

Securities

Limit: 24% In Paid Up Companies And 20% In Public Sector Banks

SEBI Increased Limit From US$ 3.2 Billion To US$ 5 Billion

Simplified Registration Norms For FII’S And Sub Accounts

FII Registration Increased From 1051 In June 2007 To 1403 In June 2008

Till June 2008 Total Investment Of US$ 3.87 Billion Was Made As Against US$ 2.29 Billion In 2007

Goldman Sach And Macquaire Acquired 20% In PTC India Financial Services

Blackstone -26% IN MTAR Technologies Citigroup, Sachs, Morgan Stanley Above 7%

In Geetanjali

• Oct 16, 2007 : SEBI Proposed Curbs On P-Notes

• Oct 17, 2007 : SENSEX Down By 1744 Points (9%) Biggest Intraday Fall

• Oct 18, 2007 : Down By 717.43 Points (3.83%)

• Oct 19, 2007 Down By 438.31 Points

• SEBI Chief Damodaran Gives Clarification

• Oct 23, 2007 SENSEX Gains 879 Points

• End Of P-Notes Issue

Safe Heaven For Global Investors

Slowdown Of US Economy Not To Affect India Much

Most Attractive Place For Investments

What is a scam?

How to spot a scam?

What is a scam?

How to spot a scam?

PRESENTED BY:-

DIPIKA R. 51

SAMIRAN S 52

SHIBRANJAN S 53

HARSHADA S. 54

KHUSHAL S. 55

KSHITIJ S. 56

SIDDHARTH S. 57

RITIKA S. 58

JAYESH S. 59

JEETU U. 60

AAMOD W. 62