The straightforward strategy of buying companies that have recently been spun off from their parent has generated very
good results. The forces of divestiture and conglomeratization eternally wrestling with each other like gravity and energy in the cosmos.
How about this for a rational explanation:
Spin-offs generally result in more “pure play” stocks which then become more accurately valued in the marketplace. When the pre-spun-off business are tied View full article »
Just wondering how many ever read the prospectus before signing the document for investments
May be securities, Mutual funds, debt, Insurance or may be any other investment.
I already did a series of articles on the topic but there are always possibilities to explore more :
Here are some more bold points View full article »
Guest Post :
During the economic recession of 2008, debt in the U.S. came to the forefront in a spectacular manner. At this point of 
time, the overall financial structure appeared on the brink of total collapse and people witnessed the outcome of years of casual spending and lack of monetary regulation by government institutions. Credit cards seemed to be the preferred means of payment in the nation. According to a recent study, more than 1.3 billion different payment card varieties are presently in use in America. Times are tough and it’s not really shocking to see a number of Americans crushed under an incredible amount View full article »
The market in India for Mutual funds loaded with approximately half of a century and there are thousands of different schemes running 
across.To chose a mutual fund is a difficult task because your investment horizon, need for investment is more important for the fund’s selection. I have tried to collect the list of mutual funds that could be best to invest in 2012. They are being diversified equity and few debt funds.
Equity funds :
Any fund with holding of more than 65% in equity can be considered as an equity fund. But to keep things simple View full article »
There is a very interesting column done in the mint today on the insurance policies which die due to lapsation or the 
product cost is too high.
Insurance in India is still a huge commission based business what is interesting the lapsation ration is on the high-rise from the data collected.
In insurance, customers return this product by either letting their policy lapse or by voluntarily surrendering their policy. In case of the non-linked business (term, group, health and endowment plans) for Birla Sun Life Insurance Co. Ltd, the lapsation ratio was as high as 72% for FY11.
Lapsation ratio indicate the number of policies lapsed divided by the average number of policies
View full article »
Wealth creation over the years has changed its avenues and area of interest for the investors in India. The prototype 
investment where the post offices and typically the scheduled banks through savings and fixed deposits have changed and with the awareness of finance, Mutual fund has become an excellent route to create wealth for the public at large.
“Mutual fund is a pool of money is invested in accordance with the common objective stated before the investment to the investors.”
Here is the concept of mutual fund which is a suitable for the common man as it offers an opportunity to invest and diversified, professionally managed basket of securities comparatively at low-cost. The investors pool their money to the fund manager and the fund manager invest the money in the securities and after generating returns passed back to the investors. View full article »
Was going through few articles yesterday night and in the mean while somebody tweeted what are major debatable 
things happening in the market from traders prospective and found them …Crude , gold , Oil and natural gas are already on the radar and here are some ..
* Euro holds the key people don’t feel strongly about its directions where it is headed ..They say Is the euro bad or simply boring ?
* Tha dragon China hard/soft landing and the risk implications woes Link
* Mr Bernanke’s glass …half-full or all empty 
View full article »
I do not like writing on the politics but when it hampers the reform of the nation there are concerns should be raised !!
Few facts Indian railways has 1.4 employees second largest employer in the world, every day it carries the entire population of Australia. The only railways in the world to present separate budget of its own before Parliament.
The railway minister deserves kudos for being bold enough to touch this holy cow of the rail budget.He just thought straight on the railways. All excellent steps in the right direction. View full article »
International Swaps and Derivatives Association is the body corporate to make over the counter (OTC) derivatives market safe and efficient.
It has 815 members from 58 countries including global, international and regional banks, asset managers, energy and commodities firms, government and supranational entities, insurers and diversified financial institutions, corporations, law firms, exchanges, clearinghouse and other service providers.
The Key areas of ISDA are
* Reducing counterparty risk
* Increasing the Transparency
* Improve the OTC operational infrastructure.
The details are provided on the ISDA Brochure
Recently ISDA came under criticism on its decision that based on current evidence the Greek bailout would not prompt payments on the (CDS)credit default swaps. View full article »
As MCX hit the roof top in the IPO market and subscribed 54 times on robust demand, was wondering how many of the investor bother to see that it was graded 5 star from the CRISIL. Here is a research proposal that could be worked upon on the IPO grading :-
On the 30th April 2007 SEBI decided to make grading of all IPOs mandatory. Grading makes additional information available for the investors, in the sense that it is supposedly an objective opinion of a credit rating agency arrived at after analyzing business and financial prospects, management quality and corporate governance practices etc of the issuer. Grades represent relative assessment of the fundamentals of the issue compared to other listed equity securities. Now that the IPO grading is about to complete one year, we seek to assess its impact on the primary market of equity shares.
Intuitively, we feel that grading should have direct effect on subscription statistics. Issues with grading of 3 or below should attract less subscription and issues of grading 4 or 5 should attract more subscription. It means that by and large the variability in subscriptions of different issues (i.e. if an issue gets p times subscribed, the variability in p) should rise after introduction of grading. If investors are risk avers, and if they trust grading, more monies should go to better graded issues. View full article »
