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SHARE MARKET

A PLACE FOR INVESTMENT


MY NAME IS ASIF ALI SHAH. I AM A STUDENT OF MUMBAI UNIVERSITY TYBMS
(THIRD YEAR OF BACHLORE OF MANAGEMENT STUDY) I AM WILLING TO MAKE A
PROJECT OVER SHARE MARKET AND PROVING MYSELF THAT , I AM ABLE TO
WORK ON IT WITH MY OWN KNOWLEGDE, STUDY, AND OBSERVATION ON STOCK
MARKET. STOCK MARKET SENTIMENTALLY A PLACE OF UNCERTAINITY FOR MORE
PEOPLE WHO DONT WANT TO KNOW OR NOT WILLING TO KNOW ABOUT IT.
AND FEW OF THEM KNOWS IT AS GAMBLING PLACE. IS IT REALLY A PLACE OF
UNCERTAINITY OR VERY LESS KNOWLEDGE ABOUT IT ?

I WOULD SAY THAT, THEY MUST TRY AT LEAST ONCE IN THE LIFE. THERE IS
NOTHING LIKE GAMLING YEAH BUT IT CAN BE LITTLE UNCERTAIN. AND IN
MARKET IT IS VERY COMMON. MARKET ALWAYS GOES UP FOR WENT DOWN
AND WENT DOWN FOR GOES UP JUST WE REQUIRED TO IDENTIFY THE CORRECT
TIME TO INVEST IN THE MARKET. AND A COMMON STOCK MARKET RULE IS.
BUY AT LOW & AND SELL IT HIGH THIS CRITERIA SHOULD BE FOLLOW FOR THE
INVESTOR.

IT IS MY PERONAL OBSERVATION ON STOCK MARKET IS. DEFINITLY IT IS NOT THE


PLACE OF GAMBLING. YOU REQUIRED TO DO SOME RESEARCH BEFORE
INVESTING IN ANY STOCK OR SHARE OR SECURITIES.

BEFORE INVESTING WE NEED TO RESEARCH LIKE, COMPANY,S FUNDAMENTAL


ANALYSIS, TECHNICAL ANALYSIS ITS BRAND IMAGE IN MARKET, QUALITY OF THE
PRODUCT,SCOPE OF THE PRODUCT IN FUTURE, PAST BALANCE SHEETS, PAST
RETURNS TO ITS SHAREHOLDERS, STAKEHOLDERS REVIEWS, AND SO ON
INTRODUCTION :- TODAY PEOPLE ARE FINDING THE MORE WAYS OF MAKING
MONEY. THERE ARE THE VARIOUS OPTION AVAILABLE IN THE MARKET. LIKE
FIXED DEPOSITE, SAVING DEPOSITE, RECCURING DEPOSITE, INVESTING IN LANDS
ETC. IN THIS KIND OF SOURCE OF INVESTMENT, ONE OF THE MASSURE PLACE IS
SHARE MARKET OR STOCK MARKET.TODAYS GENERATION IS BEING AWARE
ABOUT INVESTMENT FOR THE FUTURE, FOR THE MARRIGE, FOR THE CHILD
EDUCATON, HIGHER EDUCATION, MEDICLINE EXPENSES, EMENGENCIES,TOURS,
AND FINALLY FOR THE RETIREMENT.

PUTTING MONEY IN ONE PLACE WONT GONNA BE WORTHFULL FOR THE


OWNER. IT IS HAUNDRED TIME BETTER IS INVESTING IN THE SOME PLACE. TODAY
THERE ARE VARIOUS WEALTH MANAGER OR CONSULTERS ARE AVAILABLE IN THE
MARKET. WHO ADVICE TO INVEST THE MONEY AT SO AND SO PLACE

WHEN THE INVESTMENT WORD COMES IN THE MIND. VARIOUS OPTIONS SEEMS
FOR IT. AND STOCK MARKET OR SHARE MARKET IS A PLACE WHERE INVESTMENT
CAN BE MOST WORTHFULL WITH THE GREAT RATE OF RETURNS,WITH TIME TO
TIME INTEREST/ DEVIDENT.

ANY WEALTH MANAGER FIRST ADVICE TO INVEST IN MUTUAL FUNDS, EQUITY


SHARE, PREFFERENCE SHARES, DEBENTURES, BONDS, AND OTHER FORM OF
SECURITIES, AFTER ANALYSING THE MARKET STRATEGY, RESEARCH ON MARKET
CONDITION, EXPECTED RATE OF RETURNS, CHANCES OF RISK, AND SO ON.

FEW WHO DONT WANT TO WILLING TO TAKE THE ADVICE OF ANY EXPERT DUE
TO TRUST ISSUE. SO THEY CAN ALSO MAKE THE STRATEGIES.THERE ARE VARIOUS
ONLINE SITES WHO CAN HELP TO DESIGN THERE PORTFOLIO AND THEY ALSO CAN
TAKE THE HELP OF NEWS PAPERS, T V CHANNELS, MAGAZINES, ETC. IT IS VERY
EASY AVAILABLE TO EACH AND EVERYONE.
THEY SHARES THERE OPINIONS, AND YOU HAVE TO ONLY SELECT THAT WITH
WHICH OPTION YOU WOULD LIKE TO GO WITH. AND ALL THE INFORMATION
RELATED TO TRADE ARE EASLY AVAILABLE AT THE WEBSITES OF NSE &
BSE.(NATIONAL STOCK EXCHANGE & BOMBAY STOCK EXCHANGE) ALSO. THAT
ANY INVESTER CAN GO THOUGH BEFORE INVESTING IN THIS MARKET.

MEANING OF STOCK MARKET:- STOCK MARKET IS A PLACE WHERE


SHARES CAN BE BROUGHT AND SOLD AT PRE-DETERMINED PRICE WITH THE
INTENSION OF MAKING YEILD OR PROFIT. IT IS VERY POPULAR WAY OF
INVESTMENT IN TODAYS AGE WITH THE HELP OF THE BROKERS. THERE ARE MANY
FIRMS WHICH PROVIDES BROKING SERVICES IN THIS FIELD.I.E SHAREKHAN,
ANGLE BROKING, JIRODHA, ICICI BANK, HDFC BANK, AND SO ON.

IN INDIA THERE ARE TWO MEASSURE STOCK MARKETS ARE AVAILABLE. BSE
(BOMBAY STOCK EXCHANGE) & NSE (NATIONAL STOCK EXCHANGE)

THE DETAILS ABOUT NSE & BSE ARE GIVEN ON NEXT PAGE
BSE
BOMBAY STOCK EXCHANGE
INTRODUCTION:- ESTABLISHED IN 1875, BSE (FORMERLY KNOWN AS
BOMBAY STOCK EXCHANGE LTD.), IS ASIA'S FIRST & THE FASTEST STOCK
EXCHANGE IN WORLD WITH THE SPEED OF 6 MICRO SECONDS AND ONE OF
INDIA'S LEADING EXCHANGE GROUPS. OVER THE PAST 141 YEARS, BSE HAS
FACILITATED THE GROWTH OF THE INDIAN CORPORATE SECTOR BY PROVIDING IT
AN EFFICIENT CAPITAL-RAISING PLATFORM. POPULARLY KNOWN AS BSE, THE
BOURSE WAS ESTABLISHED AS "THE NATIVE SHARE & STOCK BROKERS'
ASSOCIATION" IN 1875. TODAY BSE PROVIDES AN EFFICIENT AND TRANSPARENT
MARKET FOR TRADING IN EQUITY, CURRENCIES, DEBT INSTRUMENTS,
DERIVATIVES, MUTUAL FUNDS. IT ALSO HAS A PLATFORM FOR TRADING IN
EQUITIES OF SMALL-AND-MEDIUM ENTERPRISES (SME). INDIA INX, INDIA'S ST
INTERNATIONAL EXCHANGE. BSE IS ALSO THE 1ST LISTED STOCK EXCHANGE OF
INDIA.

THE BOMBAY STOCK EXCHANGE (BSE) IS AN INDIAN STOCK EXCHANGE LOCATED


AT DALAL STREET,KALA , MUMBAI
(FORMERLY BOMBAY), MAHARASHTRA, INDIA.
ESTABLISHED IN 1875, THE BSE IS ASIAS FIRST STOCK EXCHANGE, IT CLAIMS TO
BE THE WORLD'S FASTEST STOCK EXCHANGE, WITH A MEDIAN TRADE SPEED OF 6
MICROSECONDS,THE BSE IS THE WORLD'S 11TH LARGEST STOCK EXHANGE WITH
AN OVERALL MARKET CAPITALISATION OF MORE THAN $ 2 TRILLION AS OF JULY,
2017.
MORE THAN 5500 COMPANIES ARE PUBLICLY LISTED ON THE BSE. OF THESE, AS
OF NOVEMBER 2016, THERE ARE ONLY 7,800 LISTED COMPANIES OF WHICH ONLY
4000 TRADE ON THE STOCK EXCHANGES AT BSE AND NSE. HENCE THE STOCKS
TRADING AT THE BSE AND NSE ACCOUNT FOR ONLY ABOUT 4% OF THE INDIAN
ECONOMY
NSE
NATIONAL STOCK EXCHANGE
INTORODUCTION:- THE NATIONAL STOCK EXCHANGE (NSE) IS THE
LEADING STOCK EXCHANGE IN INDIA AND THE FOURTH LARGEST IN THE WORLD
BY EQUITY TRADING VOLUME IN 2015, ACCORDING TO WORLD FEDERATION OF
EXCHANGES (WFE).IT BEGAN OPERATIONS IN 1994 AND IS RANKED AS THE
LARGEST STOCK EXCHANGE IN INDIA IN TERMS OF TOTAL AND AVERAGE DAILY
TURNOVER FOR EQUITY SHARES EVERY YEAR SINCE 1995, BASED ON ANNUAL
REPORTS OF SEBI.
NSE LAUNCHED ELECTRONIC SCREEN-BASED TRADING IN 1994, DERIVATIVES
TRADING (IN THE FORM OF INDEX FUTURES) AND INTERNET TRADING IN 2000,
WHICH WERE EACH THE FIRST OF ITS KIND IN INDIA.
NSE HAS A FULLY-INTEGRATED BUSINESS MODEL COMPRISING OUR EXCHANGE
LISTINGS, TRADING SERVICES, CLEARING AND SETTLEMENT SERVICES, INDICES,
MARKET DATA FEEDS, TECHNOLOGY SOLUTIONS AND FINANCIAL EDUCATION
OFFERINGS. NSE ALSO OVERSEES COMPLIANCE BY TRADING AND CLEARING
MEMBERS AND LISTED COMPANIES WITH THE RULES AND REGULATIONS OF THE
EXCHANGE.
NSE IS A PIONEER IN TECHNOLOGY AND ENSURES THE RELIABILITY AND
PERFORMANCE OF ITS SYSTEMS THROUGH A CULTURE OF INNOVATION AND
INVESTMENT IN TECHNOLOGY. NSE BELIEVES THAT THE SCALE AND BREADTH OF
ITS PRODUCTS AND SERVICES, SUSTAINED LEADERSHIP POSITIONS ACROSS
MULTIPLE ASSET CLASSES IN INDIA AND GLOBALLY ENABLE IT TO BE HIGHLY
REACTIVE TO MARKET DEMANDS AND CHANGES AND DELIVER INNOVATION IN
BOTH TRADING
- AND NON-TRADING BUSINESSES TO PROVIDE HIGH-QUALITY DATA AND
SERVICES TO MARKET PARTICIPANTS AND CLIENTS.

MR. ASHOK CHAWLA IS THE CHAIRMAN OF THE BOARD OF DIRECTORS OF NSE


AND MR. VIKRAM LIMAYE IS THE MANAGING DIRECTOR AND CEO OF NSE.
TYPES OF SHARES
IN THIS MARKET THERE ARE VARIOUS TYPES OF SHARES ARE AVAILABLE IN STOCK
MARKET AS PER CUSTOMER CHOICE. FOLLOWINGS ARE:

1) EQUITY SHARES
2) PREFFERENCE SHARES
3) BONDS
4) DEBENTURES

EQUITY SHARES:- EQUITY SHAREHOLDERS ARE THE REAL OWNER


OF THE COMPANY. THEY GETS OWNERSHIP RIGHT AFTER BUYING THE
SUM OF THE SHARES OF ANY PARTICULAR COMPANY. BUT THERE IS NO
SECURITY FOR RETURNS.
IF COMPANY PERFORMED WELL THEN THEY WILL ENTITALED TO GET
THE DEVIDENT, BUT IN CASE IF COMPANYS PERFORMANCE IS NOT
GOOD SO THEY WONT GET THE DEVIDENT. IT IS VERY RISKY CAPITAL.
BUT WITH THE RISK THERE IS SOME BENEFITS ALSO. IF COMPANY
PERFORMED ACCEPTIONALLY WELL. THEN THESE SHAREHOLDERS NOT
ONLY GET THERE DEVIDENT BUT ALSO , COMPANY CAN ISSUE BONUS
SHARES TO EQUITY SHAREHOLDERS.
THEY ARE HAVING VOTING RIGHTS IN THE MANAGEMENT OF THE
COMPANY. THERE VOTING DEPEND ON THERE NUMBER OF SHARE HELD
BY THEM.
THEY ARE VERY FREE SO SELECT THERE REPRESENTATIVE. THE SELECTED
REPRESENTATIVE ACT AS THE BOD (BOARD OF DIRECTOR) OF THE
COMPANY.

2) PREFERENCE SHARES:- PREFFERENCE SHARES ARE THE


SHARES WHO GET SOME PREFFENCIAL RIGHTS LIKE, THEY WILL GET
FIXED RATE OF RETURNS, AFTER MATURITY PERIOD OF SHARES,
COMPANY HAVE TO PAY THEM ALL AMOUNT WITH PRE-SELECTED RATE
OF DEVIDENT. AND AT THE WINDINING UP OF THE COMPANY,
PREFFERENCE SHARE HOLDER WILL GET THERE FULL MONEY INVESTED
IN THE COMPANY.

PREFERNCE SHAREHOLDER DO NOT ENJOY THE VOTING RIGHT IN THE


MANAGEMENT OF THE COMPANY, NIETHER THEY GETS THE BONUS
AND NOR THERE INETREST RATE WOULD BE HIGHER IN CASE OF
COMPANY PERFORMED EXTREMLY WELL BECAUSE THEY ARE CREDITORS
OF THE COMPANY. THEY HAVE INVESTED IN THE COMPANY WITH THE
INTENSION OF FIXED RATE OF RETURN AT A PARTICULAR DATE.
BONDS:- BONDS ARE THE SECURITY WHICH IS GENERALLY OFFERED BY THE
GOVERNMENT COMPANIES FOR EXPANTION OF OWE FUND OR BORROWED
FUND. BOND HOLDER GETS FIXED RATE OF DEVIDEND AND AT THE TIME OF
MATURITY THEY WILL GET THERE FULL MONEY BACK WITH THERE RESPECTIVE
RATE OF INTEREST. SOMETIMES ITS CALLED G-SEC. WHICH MEANS GOVERNMENT
SECURITY. DUE TO IT IS GENERALLY ISSUED BY THE GIVERNMENT ORGANISATION.

AS PER THE COPMANY ACT 2013, ANY PRIVATE COMPANY IS ALSO ALBE TO ISSUE
THE BOND CERTIFICATE IF THEY REQUERED THE CAPITAL FOR MOVEMENT OF THE
COMPANY WITH ITS TERMS.

BOND HOLDERS WILL NOT HAVE VOTING RIGHTS IN THE MANAGEMENT DUE TO
THEY ARE CREDITORS OF THE COMPANY.BUT IF THEY ARE PURCHASING THE
CONVERTABLE BONDS. SO AFTER A SPECIFIC PERIOD THERE BOND CAN BE
CONVERTED INTO EQUITY SHARES.

AT THE LIQUIDATION OF THE COMPANY BOND HOLDER WILL GET THERE FULL
AMOUNT INVESTED IN THE ORGANISATION. AS PER COMPANY RULES AND
REGULATION.

INVESTING IN BOND IS ONE OF THE SAFEST MODE OF INVESTMENT IN THE


COMPANY WITH LOW RISK AND HIGH RETURN AS COMPARE TO INVESTMENT IN
ANY BANKS.
DEBENTURE:- DEBENTURE HOLDERS ARE THE CREDITORS OF THE
COMPANY. THEY INVESTED THERE MONEY IN THE COMPANY IN THE
FORM OF DEBENTURE CERTIFICATE. THEY ENJOYS FIXED RATE OF
RETURN EITHER COPMANY EARN THE PROFIT OR SUFFER FROM THE
LOSS. AT THE LIQUIDATION OF COMPANY DEBENTURE HOLDER FIRST
GET THERE MONEY BACK FROM THE COMPANY. THEN COMPANY GIVES
TO OTHER INVESTERS.

SO IT IS THE FORM OF SECURITIES THAT CAN BE TRADED IN THE


NATIONAL STOCK EXCHANGE OR BOMBAY STOCK EXCHANGE(NSE &
BSE) OR ANY OTHER STOCK MARKET FOR THE SAKE OF GOOD RATE OF
RETURNS.

INVESTING IN THE DEBENTURE LEAD THE GOOD RATE OF RETURN WITH


THE MINIMUM RISK HELD BY DEBENTURE HOLDER. BUT THEY CANT
PARTICIPATE IN THE MANAGEMENT OF THE COMPANY, THEY DONT
HAVE VOTING RIGHTS, BONUS BENEFITS, ETC.

DEBENTURE GENERALLY ISSUED BY THOSE COMPANY HOW WANT


QUICK CAPITAL FOR THE EXPANSION AND DIVERIFICATION OF THE
BUSINESS. BEFORE ISSUING DEBENTURE CERTIFICATE COMPANY HAVE
TO ISSUE PROSPECTUS OF DEBENTURE ISSUE. ITS DECISION ALSO TAKEN
BY THE SHAREHOLDERS OF THE COMPANY AT THE COPMANYS
MEETING HELD BY COMPANY SECRATORY
SELECTION OF SHARES

SHARE SELECTION REALLY A TOUGH THING BECAUSE ANYONE DONT


KNOW ABOUT WHEN SHARE PRICE WILL START RISING AND WHEN IT
WILL START FALLING.

FOR PREVENTING THE UNCERTAINITIES, VARIOUS KIND OF ANALYSIS


ARE REQUIRED LIKE COMPANY REPORTS, ANNUAL BUDGETS, PAST
BALANCESHEETS, TECHNICAL AND FUNDAMENTAL ANALYSIS OF THE
COMPANY.

THESE ANALYSIS REALLY HELP TO SELECT RIGHT SHARE FOR


INVESTNMENT.

IN SHARE SELECTION WE REQUERE TO DIVERCIFIED THEPROTFOLIO


THAT WILL HELP TO MIMIZATION OF RISK, CHOOSING BLUE CHIP
COMPANIES, USING METHOD OF (BUY LOW PRICE SHARE), FOCUSING
ON VOLUME OF THE PRICE, REVERSE TREND, SHOULD NOT INVEST IN
UNLISTED SHARES.DO NOT INVEST IN THE COMPANY WITH THE POOR
INDUSTRIAL RELATION TRACK RECORD, AND NEVER REACT ON SUDDEN
RISES AND FALLS
TODAY WE ALSO CAN GATHER THE DATA FROM
VARIOUS SOURCE, SUCH AS MEDIA REPORTS, INSIDERS,
NEWS PAPERS, INTERNET, AND EXPERTS ETC.

MEDIA REPORTS :- MEDIA PLAYS A GOOD ROLE IN THE DECISION


MAKING BY PROVIDING VALUABLE INFORMATION. AND MEDIA
REPORTS ALSO RELIABLE FOR THE INVESTMENT. BECAUSE THEY ARE
VERY CLOSSELY CONNECTED WITH THE ORGANISATIONS OR
INDUSTRIES.SO THAT THEY CAN PROVIDE ACCURATE DATA FOR
DECISION MAKING.

AFTER GATHERING THE DATA THEY ANALYSING IT VERY WELL WITH


THERE EXPERT TEAM. AND THEN RECOMMONDING THERE VIEWERS TO
CHOOSE FROM THEM

IN INDIA NOW A DAYS COMPETITION ARE VERY STIFF, SO EACH AND


EVERY CHANNEL USING FULL EFFORT TO PROVIDE SATISFACTORY DATA
FOR GAINING THERE TRP (TOP RATING POINT) AND PROVING THERE
LOYELTY.

NDTV PROFIT, CNBC INDIA, & ZEE BUSINESS. ARE THE GOOD EXAMPLE
OF IT
INSIDERS:- INSEDERS MEANS THE PEOPLE WHO IS ALREADY
WORKING IN THE COMPANY. THEY HAVING SUFFICIENT INFORMATION
REGARDING THE COMPANY AND THERE FUTURE STEPS. BUT AS PER THE
STANDARD REPORT, INFORMATION FROM INSIDERS ARE NOT GOOD. IT
IS THE BREACH OF TRUST. IT CAN BE FALSE ALSO AND INVESTER MAY
SUFFER FROM HUGE LOSS.

NEWS PAPERS & MAGZINES:- NEWS PAPERS ARE


WRITING VARIOUS ARTICLES OVER COMPANY INFORMATION. THAT CAN
BE TRUSTED BY THE PEOPLE AROUND THE WORLD. TODAY LEADING
PAPERS ARE ECONOMIC TIMES, DALAL STREET INVESTMENT JOURNAL,
FORBES INDIA MAGZINE ETC.
INTERNET:- INTERNET IS THE GREAT PLATFORM FOR THE
INFORMATION REGARDING THE DETAILS OF THE COMPANIES. WHICH
ARE EASY ACCESSABLE AND REALIBLE. ALL COMPANIES ITSELF UPLOADS
THE VALUABLE INFORMATION. I.E ANNUAL GENRAL MEETING, BONUS
ISSUE, OR EXPANSION AND DIVERSIFICATION OF THE COMPANY.

SO INTERNET IS THE GREAT PLATFORM FOR THE INFORMATION FOR


THE NEW COMMERS OR THE EXPERT ONES ALSO. INTERNET IS VERY
RELIABLE PLACE IN THE MATTER OF TRUST. BECAUSE THERE ARE LOTS
OF OPTIONS ARE AVAILABLE THAT WE CAN COMPARE WITH EACH
OTHERS AND SELECT OUR DESIRED ONE.
VARIOUS ONLINE SITES ARE THERE FOR THE INVESTMENT STATEGY
AVAILABLE ON THE WEB WITH EASY ACCESSABLE FOR EVERYONE.
BUYING AND SELLING OF
SHARES

ACCORDING TO THE EXPERTS, THE BEST TIME OF BUYING SHARES IS


WHEN ITS PRICE IS FALL DOWN BECAUSE EVERY EXPERT BELIEVES THAT
MARKET GOES UP FOR WENT DOWN AND WENT DOWN FOR GOES
UP

AFTER FALLING IN THE PRICE AND A LIMIT OF FALLING WHEN PRICE GET
STABLE IT MAY BE THE BEST TIME FOR BUY OR INVEST IN THE SHARE
MARKET.

BUT AS PER EXPERTS THERE IS NO REAL VALUE TO CONFIRM THAT


MARKET WILL STOP FALLING ATER THIS LIMIT OR PRIVIOUS YEARS
DOWNTURN. SO INVEST WHEN PRICE BECOME STABLE AND SEEMS
THAT RPICE CAN BE MOVE UP FROM NOW.

FOR SELLING TIME SAME LOGIC IS THERE.IF PRICE GET SO ITS TIME TO
SELL THE SHARES AND EARN SOME PROFIT.
AS THIS PICTURE IS SHOWING THAT BUY MARGING AND SELL MARGIN.
BUYING AT LOWER AND SELLING AT HIGHER AND THE DEFFERENCE
BETWEEN AMOUNT WILL BE PROFIT OF INVESTER.
BUT MAKE SURE AND RESEARCH PROPERLY DUE TO MAKRET CAN BE
FALL DOWN ANY TIME.
DECISION MAKING
THERE IS FEW SENERIOS OF INVESTMENT IN SHARE
MARKET.

1) MR. ANIL IS A YOUNG MAN AGE 23 . HE IS ABLE TO SAVE HIS SALARY


ARPUND 15000 INR PER MONTH. AFTER 5 YEAR HE IS PLANNING TO
GET MARRIAGE.SO WHAT WILL BE THE BEST OPTION OF
INVESTMENT.

2) MR. AKASH IS A SALARIED EMPLOYEE. HE HAS TWO CHILDREN


STUDING IN 5 & 7 STANDARD. HE PLANNING TO SEND THEM
ABROAD FOR STUDY. HIS INCOME IS AROUND 2,00,000 HE IS ABLE
TO SAVE 50% OF IT. WHAT WILL BE THE BEST OPTION FOR HIM

3) MR. ANISH IS A MANAGER IS A PRIVATE COMPANY. HIS SALARY IS


34000 INR. HE IS ABLE TO SAVE HIS SALARY AROUND 12000 PER
MONTH. HE NEED TO SAVE MONEY FOR HIS DOUGHTERS MARRIAGE
WITH IN 5 YEARS WHAT WILL BE THE BEST SENERIO OF INVESTMENT
FOR HIM.
THERE ARE THREE DIFFERENT PERSON WITH THREE
DEFFERENT RISK BARRING CAPACITY. WE NEED TO
GUIDE THEM ABOUT THE BEST WAY FOR
INVESTMENT. SO HERE ARE THE FOLLOWS.

MR. ANIL IS A YOUNG AND HE HAVE LESS PRESSURE OF


RESPONSIBILTY. AND AFTER 5 YEARS HE WANT TO DO MARRIAGE. SO
MR. ANIL IS ABLE TO TAKE RISK.
HE SHOULD INVEST HIS 30% IN BLUE CHIP SHARES, THAT HE WILL BE
SAFE THERE. AND REST OF 40% HE CAN INVEST IN NEWLY OR
REPIDLY DEVLOPING COMPANY. IF AND 20 % OF AMOUNT HE CAN
INVEST IN MUTUAL FUND. AND REMAIN 10% HE MAY GO FOR FIXED
DEPOSITE.

MR. AKASH HAVE ENOUGH TIME FOR PLANNING AND


INVESTMENT FOR THERE CHILDREN FOR STUDING IN ABROAD. SO
THEY SHOULD GO FOR 40% INVESTMENT IN BLUE CHIP COMPANIES.
THAT THEY CAN MAKE A SAFE SHELTER. AND 35 % IN ANY EMERGING
COMPANIES. AND REMAIN 25% HE CAN GO IN MUTUAL FUND OR
FIXED DEPOSITE.
MR ANISH REQUIRED MONEY FOR THE HIS DOUGHTERS
MARRIAGE AFTER 5 YEARS.
IT IS A SENSATIVE CASE FOR . MR ANISH SHOULD GO FOR 50% IN
BLUE CHIP COMPANIES. THAT CAN MAKE SURE THERE MONEY
WONT BE SINK. OTHER 30% HE CAN INVEST IN MUTUAL FUND OR
ANY BONDS OR DEBENTURES. AND REST 20% HE CAN TAKE THE RISK
FOR INVESTING ANY EMERGING COMPANIES.

OTHER WAY OF SELECTING MARKET LEADERS

O
NE MAKE MONEY ON THE STOCK EXCHANGE NOT BY FOLLOWING IN
CROWD, BUT BY SPOTTING BUDDING MARKET LEADERS AT AN EARLY
STATGE AND THEN BETTING ON THEM.

RADHU PALAT IN HIS BOOK SHARES FOR INVESTMENT AND WEALTH


DESCRIBED. HIS COLLEGUE WAS RENOVATING HIS HOUSE AND HIS CONTRACTOR
SUGGESTED THAT HE TILE HIS HOUSE WITH A CERTAIN BAND. THESE TILES HAD
BEEN INTRIDUCED ONLY A LITTLE WHILE EARLIER. HE LIKED IT AND USED
IT.DURING THE NEXT FEW MONTHS, HE CAME ACROSS MANY ESTABLISHMETS
(HOTELS,HOUSES, AND OFFICES) THAT HAS THE SAME TILES.BELIEVING THAT HIS
COMPANY HAD A GOOD PRODUCT AND A GOOD FUTURE, HE BOUGHT SHARES IN
THE COMPANY. HE HAS NEVER REGRETTED IT AND HAS SEEN HIS
ORIGINALINVESTMENT APPRECIATE SEVERAL TIMES. HE WAS LUCKY AND
SHREWD TO IDENTIFY A BUDDING MARKET LEADERS. THIS WAS BY CHANCE.
THERE WAS OTHER WAYS ONE CAN IDENTIFY THEM.

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