You often think that why company gives bonus shares and what is bonus shares?
Lets have cognition about it.
Bonus shares are issued to existing share holders.It does not affect companies working or performance.
Bonus shares will have following effects
Liquidity of shares will rise.
Book value of share will decrease & Earning Per Share will too.
Usually market will react positively on bonus issues.
Bonus share is sign of good fundamentals of company.
It tells company has outperformed in recent past.
At the time of bonus Issue announced company also announce record date for the issue.
Record Date mean share holders must hold the share at the record date specified by company.Bonus counts on the number share holding on that particular record date.
Thursday, August 28, 2008
Wednesday, August 27, 2008
What is Rigt Issue?
Right issues means company offers its own shareholder at pro rata.Mostly its with a usually discount rate.
That means company tell its stack holder to subscribe for more shares .Company offer right issue with a discount rates from market price. A right issue is basically on a ratio basis ..like 1 share on 2 holding share.
When company need to raise additional capital it offers right issues.Company ask for its existing stockholders who has put on faith on company...
If you are long term investor you should subscribe for right issue for fundamentally good companies.
That means company tell its stack holder to subscribe for more shares .Company offer right issue with a discount rates from market price. A right issue is basically on a ratio basis ..like 1 share on 2 holding share.
When company need to raise additional capital it offers right issues.Company ask for its existing stockholders who has put on faith on company...
If you are long term investor you should subscribe for right issue for fundamentally good companies.
What is an IPO?
IPO -Means.
Initial public offering .It comes when company issues common stock or shares to the public for the first time.
Companies which are small are often come with IPO,They use this capital to expand their business.But Some time big companies also come in IPO for expanding their business.
Number of share and price band of the share are decided by the company that is issuing the Initial Public Offering (IPO) . you can find all information from companies red herring prospectus
Institutional investors mostly subscribe to IPO's , but some shares are also allocated to the retail investors.
In Last couple of years IPO's are able to give good healthy return in indian market.
Although before going for subscribing to any IPO , Investor must perform research for companies background,it's fundamental, & order book.
Initial public offering .It comes when company issues common stock or shares to the public for the first time.
Companies which are small are often come with IPO,They use this capital to expand their business.But Some time big companies also come in IPO for expanding their business.
Number of share and price band of the share are decided by the company that is issuing the Initial Public Offering (IPO) . you can find all information from companies red herring prospectus
Institutional investors mostly subscribe to IPO's , but some shares are also allocated to the retail investors.
In Last couple of years IPO's are able to give good healthy return in indian market.
Although before going for subscribing to any IPO , Investor must perform research for companies background,it's fundamental, & order book.
Why should I Invest ? What is an Investment?
you often thinking about this questions why should i invest ? Where should I invest?
What is an investment?
Investing is the best way & first step to make your future safe & secure.
Income does not mean only to get money for your service.Investing is also healthy way to generate income. rich know this and the poor don’t. It’s as simple as that.
Money Kept in Savings will not yield more then 10% return.Money invested in Mutual fund will more often gives return near about 15%.
There is always risk when you put out your money from your vault or pocket :).
Proper research & You can minimize this risk.Gradually after you get experience in research and get educated whats are the cues affecting the global economy..you will be able to tap market & yield greater returns .
You will even be able to get profit form volatile or fluctuating market after clearing few fundamentals..
Diversification is most duckie word of fund managers.It means you should invest in a range of different companies from various sectors, while also having some investments in bonds & mutual funds.Mutual funds are preferred when you want moderate return & you dont have time to watch on market news regularly. It gives you diversification, and also has a professional taking care of the research for your portfolio.
There are many other options also available to answer your question of where should I invest?
Such as Real Estate -Investing in property is best way to deal with the high and volatile inflation of economy.
If you invest in a good property sites then it will definitely yield high returns in a long term period.
In now days when gold prices are also on rocket high...now investors have shown vast interest in Gold and silver.
Investing gold and silver will also help you to deal with the inflation rate and make your investment balanced in risk as well as in term of return.
We will help you to nurture your financial knowledge...in more post.......
What is an investment?
Investing is the best way & first step to make your future safe & secure.
Income does not mean only to get money for your service.Investing is also healthy way to generate income. rich know this and the poor don’t. It’s as simple as that.
Money Kept in Savings will not yield more then 10% return.Money invested in Mutual fund will more often gives return near about 15%.
There is always risk when you put out your money from your vault or pocket :).
Proper research & You can minimize this risk.Gradually after you get experience in research and get educated whats are the cues affecting the global economy..you will be able to tap market & yield greater returns .
You will even be able to get profit form volatile or fluctuating market after clearing few fundamentals..
Diversification is most duckie word of fund managers.It means you should invest in a range of different companies from various sectors, while also having some investments in bonds & mutual funds.Mutual funds are preferred when you want moderate return & you dont have time to watch on market news regularly. It gives you diversification, and also has a professional taking care of the research for your portfolio.
There are many other options also available to answer your question of where should I invest?
Such as Real Estate -Investing in property is best way to deal with the high and volatile inflation of economy.
If you invest in a good property sites then it will definitely yield high returns in a long term period.
In now days when gold prices are also on rocket high...now investors have shown vast interest in Gold and silver.
Investing gold and silver will also help you to deal with the inflation rate and make your investment balanced in risk as well as in term of return.
We will help you to nurture your financial knowledge...in more post.......
Tuesday, August 26, 2008
Let's Nuruture Finance
We are starting a blog to help your finance management...
We will help you to know Indian as well as global financial cue to nurture your financial position.
We will help you to know Indian as well as global financial cue to nurture your financial position.
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