QIP In India

1MeaningQualified institutional placement (QIP) is a capital-raising tool, primarily used in India, whereby a listed company can issue equity shares, fully and partly convertible debentures, or any securities other than warrants which are convertible to equity shares to a qualified institutional buyer (QIB). Apart from preferential allotment, this is the only other speedy method of private placement whereby a listed company can issue shares or convertible securities to a select group of persons. QIP scores over other methods because the issuing firm does not have to undergo elaborate procedural requirements to raise this capital.   Continue reading “QIP In India”

Mutual Fund Basics

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. Continue reading “Mutual Fund Basics”

What are Hedge Funds –

Hedge fund is a type of private and unregistered investmentpool that employs sophisticated hedging and arbitrage imagestechniques in both domestic and international markets  to generate high returns. Traditionally Hedge funds have been limited to sophisticated, wealthy investors because they required a large initial investment.

Earlier most of the hedge funds strategies such as leverage, long, short and derivative positions were focused on corporate equity markets. But now hedge funds new focus areas are commodities and money markets. Because hedge funds are unregistered, they can use  securities and strategies that are either prohibited or restricted in registered funds. That  is why –hedge funds are also referred Continue reading “What are Hedge Funds –”

Mutual Funds basics

Wealth creation over the years has changed its avenues and area of interest for the investors in India. The prototype investment wherelipper-fund-awards 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 Continue reading “Mutual Funds basics”

Alternative Investment Funds to operate in India

Indian market regulator SEBI has allowed seven Alternative Investment Funds (AIF) to set up shop in the country under a newly formulated route, which allows pooling of funds for investments in areas such as real estate, private equity and hedge funds.

Alternative investments are not a new concept but seems to be gaining momentum, I did a story in March 2012 under the heading ART TREATED AS AN ALTERNATIVE INVESTMENT .Would like to evolve on those terms, Lets face it : Continue reading “Alternative Investment Funds to operate in India”