Money Guru

Welcome to Money Guru, The comprehensive resource about Money. Money is the most important weapon to decide power in the modern world. There are ways to achieve money. The money has become a tool to survive. Here we discuss about the various aspects about money and its involvement, management and generation. Naturally the passion for money increases as you earn it.

New Posts in Finance

• Basics of Investors view and Capital Market The capital market, means the capital is bought and sold like every other product in the market. The capital also becomes a unit , which flows freely through the market, in which rate of each unit is decided by the basic economics like demand and supply. Whenever a company issues shares to investors and acquires money ...
• What is Investment? The money you earn is partly spent and the rest saved for meeting future expenses. Instead of keeping the savings idle you may like to use savings in order to get return on it in the future. This is called Investment. Why should one invest? One needs to invest to: earn return on your idle resources generate a ...
• What are various Long-term financial options available for investment? Post Office Savings Schemes, Public Provident Fund, Company Fixed Deposits, Bonds and Debentures, Mutual Funds etc.   Post Office Savings: Post Office Monthly Income Scheme is a low risk saving instrument, which can be availed through any post office.It provides an interest rate of around 8% per annum, which is paid monthly. Minimum amount, which can be ...
• What Do’s and Don’ts should an investor bear in mind when investing in the stock markets? Ensure that the intermediary (broker/sub-broker) has a valid SEBI registration certificate.   Enter into an agreement with your broker/sub-broker setting out terms and conditions clearly. Ensure that you give all your details in the ‘Know Your Client’ form. Ensure that you read carefully and understand the contents of the‘Risk Disclosure Document’ and then acknowledge it. Insist on a contract note ...
• Why should one invest in equities in particular? When you buy a share of a company you become a shareholder in that company. Shares are also known as Equities. Equities have the potential to increase in value over time. Research studies have proved that the equity returns have outperformed the returns of most other forms of investments in the long term. Investors buy ...
• What are the products dealt in the Secondary Markets? Following are the main financial products/instruments dealt in the Secondary market which may be divided broadly into Shares and Bonds: Shares:   Equity Shares: An equity share, commonly referred to as ordinary share, represents the form of fractional ownership in a business venture. Rights Issue/ Rights Shares: The issue of new securities to existing shareholders at a ratio ...
• What is buyback of shares? A buyback can be seen as a method for company to invest in itself by buying shares from other investors in the market. Buybacks reduce the number of shares outstanding in the market. Buy back is done by the company with the purpose to improve the liquidity in its shares and enhance the shareholders’ wealth. ...
• What is Effective Annual return? Usually while applying for a fixed deposit or a bond it is stated in the application form, that the annual return (interest) of an investment is 10%, but the effective annual return mentioned is something more, 10.38%. Why the difference? Essentially, the effective annual return accounts for intra year compounding and the stated annual return ...
• How to go about systematically analyzing a company? You must look for the following to make the right analysis:   Industry Analysis: Companies producing similar products are subset (form a part) of an Industry/Sector. For example, National Hydroelectric Power Company (NHPC) Ltd., National Thermal Power Company (NTPC) Ltd., Tata Power Company (TPC) Ltd. etc. belong to the Power Sector/Industry of India. It is very important ...
• What should one look for in a Profit and Loss account? For a company, the profit and loss statement is the most important document presented to the shareholders. Therefore, each company tries to give maximum stress on its representation/ misrepresentation. One should consider the following: Whether there is an overall improvement of sales as well as profits (operating, gross and net) over the similar period (half-yearly or ...

 New Posts in Philosophy

• What are Vedas? It is considered that Vedas are the sacred texts for Hindus. It is also considered people who believe in Vedas must be called Hindus. I believe these are the thoughts came out from the followers of mono-thesis religions. Mono-thesis religions are the ones which follow the structure of One God->One prophet-> One holy book and ...