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Archive for August, 2009

Term Of The Day- Twinternship

August 31st, 2009

Mukesh Dedhia

What Does it Mean?
An internship in which the intern is charged with using social media such as Twitter and Facebook to drive attention to a company and its products. A twinternship is usually an unpaid (although paid positions are not uncommon), temporary position in which a “twintern” will use popular social media outlets to publicize products and promotions for a business.

Also known as a “brand advocate”.

Source: Investopedia

Term Of The Day - Checkless Society

August 25th, 2009

Mukesh Dedhia

 

What Does it Mean?
A hypothetical term that embraces the notion of a world that processes all financial transactions electronically. This would eliminate the need for any kind of paper transaction, as everything would be done via computer. A checkless society is the ultimate goal of many major banks and lending institutions.

Term Of The Day - Fundamental Analysis

August 18th, 2009

Mukesh Dedhia

 

What Does it Mean?
A method of evaluating a security that entails attempting to measure its intrinsic value by examining related economic, financial and other qualitative and quantitative factors. Fundamental analysts attempt to study everything that can affect the security’s value, including macroeconomic factors (like the overall economy and industry conditions) and company-specific factors (like financial condition and management).

The end goal of performing fundamental analysis is to produce a value that an investor can compare with the security’s current price, with the aim of figuring out what sort of position to take with that security (underpriced = buy, overpriced = sell or short).

This method of security analysis is considered to be the opposite of technical analysis.

Give Your Equity Investments A Smoother Ride

August 11th, 2009

Mukesh Dedhia

 

When one talks of the highest return giving security- the answer is equities. But on second thoughts the risk factor crops in. You fear the risk associated with equities & rather find yourself contented with the fact that your money grows at 8% p.a. in debt market instead of having a chance of earning exceptionally high returns in equities. But what if you get a product wherein the returns are very near to actual equity returns & the risk associated is much lower. In short what if the product falls in Low Risk-High Return Category?

There we understood that proper asset allocation is imperative for building a strong portfolio. By doing investments through IPS route one can earn better returns by diversifying his/her risk.

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