Anyone can invest money wisely for maximum returns by following a few time-tested investment principles. Here are ten principles of investing that you may use to guide your investment choices and help ensure your financial security. Invest Early One of the most powerful of all investing tools is compounding the returns on your money while you are still young. Thanks to the … [Read more...]
What is a Circuit Breaker?
A measure used by stock exchanges to avert panic selling. For example, on the NYSE and Nasdaq, if the Dow Jones Industrial Average falls by 10% then the market halts trading for one hour. There are other circuit breakers for 20% and 30% falls. Circuit breakers are measures that are used by a stock exchange authorities when there is a need to avert a sense that something … [Read more...]
What is upper circuit in stock market?
Upper circuit is a system to curb excessive speculation in the stock market, applied by the stock exchange authorities, when the index spurts or plunges by more than a fixed limit. Trading is then suspended for some time to let the market cool down. The market wide circuit breakers would be triggered by movement of either Sensex or the NSE S&P CNX Nifty whichever is … [Read more...]
Circuit in Stock Market
The circuit is a upper and lower limit beyond which the trading is not allowed. Different stocks have different circuit limits. Usually they are 5%, 10% and 20%. For example, let's say closing price of X stock yesterday was 100 Rs. The applicable circuit limit for X is 5%. In this circumstances, the price of X can't go above 105 (5% above previous close) and below 95 (5% below … [Read more...]
INDUSTRY UPDATE; MUTUAL FUND
Falling market and redemption pressure pull down AUMs Total asset under management (AUM) of equity mutual funds (MFs) in October 2009 stood at Rs203,826 crore, 4.3% lower than that in September 2009. On adjusting for net inflows/outflows, the same declined by 3.2%, which was better than the market decline of 7.2% in the same period. … [Read more...]