stock markets in india

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THE MINT OF FORTUNE

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This is a presentation on the stock markets in India. Various parameters considered while trading, scams etc. It was delivered as a seminar presentation in college

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Page 1: Stock Markets in India

THE MINT OF FORTUNE…

Page 2: Stock Markets in India
Page 3: Stock Markets in India

BROAD CLASSIFICATION OF STOCKS

Page 4: Stock Markets in India

BROAD CLASSIFICATION OF STOCKS

Page 5: Stock Markets in India

BROAD CLASSIFICATION OF STOCKS

Page 6: Stock Markets in India

BROAD CLASSIFICATION OF STOCKS

Page 7: Stock Markets in India

BROAD CLASSIFICATION OF STOCKS

Page 8: Stock Markets in India

BROAD CLASSIFICATION OF STOCKS

Page 9: Stock Markets in India

Common Stocks

Preferred Stocks

Page 10: Stock Markets in India
Page 11: Stock Markets in India

•History

•BSE Today

Page 12: Stock Markets in India

•History

•BSE Today

Page 13: Stock Markets in India

Introduction.

List of Grievances.

Approaching SEBI.

Page 14: Stock Markets in India
Page 15: Stock Markets in India

• How can one approach SEBI?

Page 16: Stock Markets in India
Page 17: Stock Markets in India

Transaction Takes Place In 3 Major Steps:

Place Order.

Order Broker.

Broker ExchangeThere Are 2 Methods For Placing Orders:

Online trading

Offline trading.

Page 18: Stock Markets in India

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

Remember:• Fast Support• Brokerage Rates• Reliability

Page 19: Stock Markets in India

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

Remember:• Fast Support• Brokerage Rates• Reliability

Page 20: Stock Markets in India

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

Remember:• Fast Support• Brokerage Rates• Reliability

Page 21: Stock Markets in India

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

Remember:• Fast Support• Brokerage Rates• Reliability

Page 22: Stock Markets in India

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

Remember:• Fast Support• Brokerage Rates• Reliability

Page 23: Stock Markets in India

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

Remember:• Fast Support• Brokerage Rates• Reliability

Page 24: Stock Markets in India

Bonds

Stocks

Mutual Funds

Options and Futures

Page 25: Stock Markets in India

Bonds

Stocks

Mutual Funds

Options and Futures

Page 26: Stock Markets in India

Bonds

Stocks

Mutual Funds

Options and Futures

Page 27: Stock Markets in India

Bonds

Stocks

Mutual Funds

Options and Futures

Page 28: Stock Markets in India

Bonds

Stocks

Mutual Funds

Options and Futures

Page 29: Stock Markets in India
Page 30: Stock Markets in India

First sale of Shares by a company to the public.

Page 31: Stock Markets in India
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Page 42: Stock Markets in India

What are mutual funds?

Page 43: Stock Markets in India

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.

Page 44: Stock Markets in India

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.

Page 45: Stock Markets in India

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.

Page 46: Stock Markets in India

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.

Page 47: Stock Markets in India

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.

Page 48: Stock Markets in India

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.

Page 49: Stock Markets in India

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

Page 50: Stock Markets in India

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.

Page 51: Stock Markets in India

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.

Page 52: Stock Markets in India

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.

Page 53: Stock Markets in India

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.

Page 54: Stock Markets in India

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.

Page 55: Stock Markets in India

Broad Classification of MF’s

Page 56: Stock Markets in India

Enter and exit the fund scheme at its NAV.

Broad Classification of MF’s

Page 57: Stock Markets in India

Enter and exit the fund scheme at its NAV.

Broad Classification of MF’s

Do not have a fixed maturity period.

Page 58: Stock Markets in India

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.

Page 59: Stock Markets in India

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

Page 60: Stock Markets in India

Benefits of investing through MF’sProfessional Money Management

Diversification

Liquidity

 Affordability

Tax benefits on Investment in Mutual Funds

Page 61: Stock Markets in India

Benefits of investing through MF’sProfessional Money Management

Diversification

Liquidity

 Affordability

Tax benefits on Investment in Mutual Funds

Page 62: Stock Markets in India

Benefits of investing through MF’sProfessional Money Management

Diversification

Liquidity

 Affordability

Tax benefits on Investment in Mutual Funds

Page 63: Stock Markets in India

Benefits of investing through MF’sProfessional Money Management

Diversification

Liquidity

 Affordability

Tax benefits on Investment in Mutual Funds

Page 64: Stock Markets in India

Benefits of investing through MF’sProfessional Money Management

Diversification

Liquidity

 Affordability

Tax benefits on Investment in Mutual Funds

Page 65: Stock Markets in India

The Bulls, Bears, And The Farm

The Bulls:

The Bears:

Other Animals on Farm: Chicken Pigs

Page 66: Stock Markets in India

The Bulls, Bears, And The Farm

The Bulls:

The Bears:

Other Animals on Farm: Chicken Pigs

Page 67: Stock Markets in India

The Bulls, Bears, And The Farm

The Bulls:

The Bears:

Other Animals on Farm: Chicken Pigs

Page 68: Stock Markets in India
Page 69: Stock Markets in India

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.

Page 70: Stock Markets in India

Market

CapitalizationShare Price

ShareShare

ShareShare

Represents the value of a particular company.

Page 71: Stock Markets in India

Technical Rally.

Sideways Market.

Wealth Effect.

Wall Of Worry.

Torpedo stock.

Page 72: Stock Markets in India
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Page 74: Stock Markets in India

Top-Down Approach Overall Evaluation Of The General

Economy. The Economy Expands, Companies

Benefit And Grow.

The Economy Declines, Companies

Suffer.

Page 75: Stock Markets in India

Important Parameters: Earning per share – EPS

Price to Earnings Ratio – PE

Dividend Yield

Debt ratio

Profit after Tax - PAT

Page 76: Stock Markets in India

Earning Per Share (EPS):-

EPS plays major role in investment

decision.

EPS = Net Earnings /

Outstanding Shares

Higher The EPS, Better The Company

Page 77: Stock Markets in India

PE RATIO

PE = Stock Price EPS

Which P/E Ratio To Choose? 

Page 78: Stock Markets in India

DIVIDEND YIELD.

Dividend Yield is :

Annual dividend per share / stock's price per share

Page 79: Stock Markets in India

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.

Page 80: Stock Markets in India

PROFIT AFTER TAX.

Short term to mid term trader quarterly PAT

Long term investor yearly PAT.

Page 81: Stock Markets in India

STRENGTHS OF FUNDAMENTAL ANALYSIS

Long-term Trends :

Value Spotting :

Business Acumen:

Page 82: Stock Markets in India
Page 83: Stock Markets in India

LINE CHART.

Page 84: Stock Markets in India

BAR CHART.

Page 85: Stock Markets in India

•Resistance?

•Support?

•Resistance becomes Support.

•Breakout.

•Trader’s Regret.

Page 86: Stock Markets in India

RISING TREND.

Page 87: Stock Markets in India

FALLING TRENDS.

Page 88: Stock Markets in India
Page 89: Stock Markets in India

INFLATION.

Page 90: Stock Markets in India

INFLATION.

Page 91: Stock Markets in India

INFLATION.

Page 92: Stock Markets in India

INFLATION.

Page 93: Stock Markets in India

INFLATION

Page 94: Stock Markets in India

INFLATION

Page 95: Stock Markets in India

INFLATION

Page 96: Stock Markets in India

INFLATION

Page 97: Stock Markets in India

INFLATION

Page 98: Stock Markets in India

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.

Page 99: Stock Markets in India

RBI’S EFFORT TO CURB INFLATION.

Page 100: Stock Markets in India

RBI’S EFFORT TO CURB INFLATION.

Page 101: Stock Markets in India

RBI’S EFFORT TO CURB INFLATION.

Page 102: Stock Markets in India

RBI’S EFFORT TO CURB INFLATION.

Page 103: Stock Markets in India

RBI’S EFFORT TO CURB INFLATION.

Page 104: Stock Markets in India

RBI’S EFFORT TO CURB INFLATION.

Page 105: Stock Markets in India

RBI’S EFFORT TO CURB INFLATION.

Page 106: Stock Markets in India

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.

Page 107: Stock Markets in India

GOVERNMENT POLICIES.

Page 108: Stock Markets in India

GOVERNMENT POLICIES.

Page 109: Stock Markets in India

GOVERNMENT POLICIES.

Page 110: Stock Markets in India

GOVERNMENT POLICIES.

Page 111: Stock Markets in India

GOVERNMENT POLICIES.

Page 112: Stock Markets in India
Page 113: Stock Markets in India

Foreign Direct Investment(FDI)

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

Page 114: Stock Markets in India

• 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

Page 115: Stock Markets in India

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

Page 116: Stock Markets in India

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

Page 117: Stock Markets in India

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

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

In Geetanjali

Page 118: Stock Markets in India

• 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

Page 119: Stock Markets in India

Safe Heaven For Global Investors

Slowdown Of US Economy Not To Affect India Much

Most Attractive Place For Investments

Page 120: Stock Markets in India
Page 121: Stock Markets in India

What is a scam?

How to spot a scam?

Page 122: Stock Markets in India

What is a scam?

How to spot a scam?

Page 123: Stock Markets in India
Page 124: Stock Markets in India

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

Page 125: Stock Markets in India