Dhanyantra

Mutual Funds are the schemes put forward by various Investing Agencies who wish to invest your Money in a Highly Diversified Portfolio. If you are unable to decide which companies to invest in to get consistent returns that’s when mutual funds come into play. But are they really useful? Well the answer to this question depends on you, Let’s consider a few scenarios. You want to Regularly Invest a very tiny amount of Money and don’t want to take the burden of choosing the right stocks, well then maybe mutual funds can Work for you. You want to invest a Heavy lumsum amount but are unsure whether to diversify your Portfolio yourself or invest in mutual funds; In this case it is definitely better to make your own portfolio. How mutual Funds work, well the simple answer is that the these so called Giant Financial Institutions take your money and Further Invest in stocks of Your Choice, and when they do most of such Institutions really don’t care whether your money will grow or los...

The Game of P/E Ratio. What is P/E ratio? If you are not new to the stock market you can already skip this question, but if you are new. The Price to Earnings Ratio or (P/E) is likely to say if you buy some asset at a particular price and in turn how much money was made by that asset in a particular time period. Let’s take some examples in common language way 11)       Considering you are a Milk seller and you bought a cow whose milk you will sell in future. So in turn your cow is an asset and the milk she produces which you will further sell are your earnings. 22)       Let’s take another example this time you are a farmer who actually bought a land (Not sell) of fertile soil at a cost of Rs 2 LAKH and you grew any type of Crops onto it and you made an annual earnings of Rs 25,000. This means your Annual Price to earnings Ratio is (2,00,000/25000)=8 that means you earn 1 Rupee on every 8 rupees Invested. 33)  ...

 When it comes to the stocks with prices lower than $1 we call them as penny stocks, but in India any stock in the price range below Rs 10 is considered as Penny Stock.it could be of Rs 5, Rs 1 or even Rs 0.50 and Rs 0.05 depending upon the Market Capital and the Number of Stocks divided. In general Small or Micro business Companies issue Penny Stocks and people buy them with eager enthusiasm to quickly become Rich lets do some math. 1) You have Rs 5000 and you buy 50 shares of XYZ company at Rs 100/share and the price of the share rise by Rs 10 or by 10%, How much do you earn =50*10=500, Rs 500 maybe in a month or so. 2) You have Rs 5000 and you buy 50,000 shares of ABC at Rs 0.10 and within a month the price of each share increases only by 5 or 10 paisa, so how much return does it give, 50-100%. and you double your money in just a few months so now, you know the Power of Penny Stocks as to why they are so attractive, there have been many companies in Indian Stock markets ...

The first Story we will talk about is from the Investment in MRF. This takes us back to 1990 and this story is what a classic example of Investment in a long term is about.  A man bought 10,000 shares of MRF in 1990 , held it till 2016 and now those  MRF shares have risen by over 14000% becoming the most expensive stock on Indian market indexes. MRF share price has touched over Rs 74,000-mark and is expected to reach even above Rs 80,000-level. Such performance is not the end for MRF, analysts are still optimistic on the share price considering the company's strong business portfolio.  Vijay Sarthy TS and Shubhranshu Mishra analysts at Anand Rathi said, "Given the decline in rubber costs and its continued higher revenue growth, MRF’s margin is expected to be better in coming quarters.  For the next two years, we expect competition in two-wheeler tyres to be keener. Nevertheless, the company will be able to maintain its market share,...

When the world falls into a major crisis like a war breakout or if we are moving towards an Economic Crisis, Stock Market Becomes Weak(Bullish). Lets consider the present ongoing Situation of 2020 between Iran & U.S.. After the first strike of US the Crude Oil Prices went 4% up in one day. This happened because Iran is a major Oil Producer in the world and with Iran going into a full fledged war with US means there will be less production of oil in Iran leading to less Oil Production in The World and that further means less energy, which will lead to less Production and Manufacturing which means less Growth,so there will be decrease in stock prices. But wait,there is more although i told you the stocks will lose their value,there is something that gains more value and gets expensive so what is it? Commodities,Like i already told you Oil Prices will go up, same ways many commodities like Gold,Silver,Crude. will keep going up that is why not just stocks it is also important to b...

There was a time in India almost 5 years ago when there were only a few broker agencies present in India, But right after the onset of Cheap Internet and Data Packages, we saw the rise of many Broker Agencies competing with one another by reducing their charges and giving discounts and many attractive offers. now the Question is how to choose your broker, the answer depends upon your requirements if you are a defensive Investor and you are Investing with a mindset of Investing for the next 5-20 years of time, you can rather open any sort of Well established trustworthy Demat Account, and you should not really be worried about the Brokerage charges ,Rather you should choose an agency which has multiple Business(e.g.: HDFC,Axis) But if you want to open an account with the mindset of trading and you do not wish to keep your money invested with more than a year in any stock, you should choose to open an account with the broker agency which provides with least amount of Brokerage charges...

Stock Markets have always been and will always be the easiest and most efficient way to enter Any Business of your choice,yes when it comes to start a new business you will have to do a lot of of work from arranging the Infrastructure to hiring the employees, this is when stock market gives you the opportunity to acquire a part of any great Business or Startup without taking the pain of working and let your money do the work. Now when it comes to picking the right stock in the share market,always follow these strategies before investing in any company.  Make sure the sector /not a company(e.g ;Auto,F.M.C.G) you are investing has a large future global/local market ,don't just invest for the sake of investing always pick the stocks that YOU UNDERSTAND about, whether it be Auto,F.M.C.G, R&D or whatever. Always look for the competitors of the company you are investing in, its always great to have your money invested in a company whose products are monopolistic type, don'...