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Finally, India is getting its first semiconductor facility. Vedanta and Foxconn, a Taiwanese electronics manufacturing firm, would spend 1.54 lakh crore. Foxconn is the technical partner, while Vedanta, an oil-to-metals giant, is funding the project. The country's first chip factory will be built on a 1000-acre plot of land in Ahmedabad, Gujarat.
Geopolitical concerns with China, as well as a global shortage of semiconductors, have driven Countries such as the United States are increasing domestic manufacturing capacity in order to lessen their reliance on imports to restore global dominance. The United States has supposedly laid aside vast quantities of money and is seeking alliances with other countries.
Vedanta following the agreement of a 60:40 joint venture with Foxconn will own 60% of the shares in the joint venture, while Foxconn will own 40%. In the following two years, the joint venture plans to establish a semiconductor manufacturing unit. Vedanta and Foxconn will construct three units: a semiconductor fabrication unit, a display fabrication unit, and a semiconductor assembling and testing unit.
This new facility will signal the start of semiconductor manufacture in India. This is also vital for India since it reduces our reliance on other countries. The planned semiconductor manufacturing fab unit would use 28nm technology nodes and 300mm wafers, while the display manufacturing unit will create Generation 8 displays for small, medium, and large applications.
The Vedanta group would invest Rs 1.54 lakh crore to establish two plants in Gujarat. Vedanta Displays Limited would invest Rs 94,500 crore in a Display Fab Unit, while Vedanta Semiconductors Limited will invest Rs 60,000 crore in an integrated Semiconductor Fab Unit and an OSAT (outsourced semiconductor assembly and test) facility.
The proposed investment by the Vedanta and Foxconn Group in the establishment of India's first display manufacturing fab unit and an Integrated Semiconductor fab unit with an OSAT facility would aid in the development of upstream and downstream electronics manufacturing clusters, as well as trade links. The Vedanta and Foxconn Groups will collaborate closely with the state government to develop high-tech clusters with the necessary infrastructure, including land semiconductor grade water, high-quality power, logistics, and a skill ecosystem.
Semiconductor chips, sometimes known as microchips, are crucial components of many digital consumer items, which are used in automobiles, mobile phones, and other electronic gadgets, and are not currently made in India. Currently, Taiwan manufactures 8% of all chips used in the globe, followed by China and Japan.
In 2021, the Indian semiconductor industry was valued at $27.2 billion, and it is predicted to rise at a high CAGR of about 19% to $64 billion by 2026. However, none of these chips are currently made in India.
India now boasts 70,000 startups, including 100 unicorns, and the country has surpassed China to become the world's second-largest mobile phone manufacturer. Indian industries produce electronics worth Rs USD 80 billion, or about Rs 6,00,000 crore.
Last year, a significant shortfall in the semiconductor supply chain impacted a wide range of sectors, including electronics and automobiles.
Aside from Vedanta, a consortium led by Dubai-based NextOrbit and Israeli technology firm Tower Semiconductor has agreed to establish a facility in Mysuru, while Singapore-based IGSS Venture has picked Tamil Nadu as the location for its unit.
This is the largest business investment in independent India's history. This Memorandum of Understanding is a crucial step in accelerating India's chip manufacturing ambitions. The government has announced four programs totaling Rs 76,000 crore in order to position India as a worldwide semiconductor chip manufacturing powerhouse.
The Rs 1.54 lakh crore investment will have a huge influence on the economy and employment creation. This would also benefit our MSMEs by creating a large ecosystem for ancillary businesses. The two planned projects would provide around 1 lakh new job opportunities in the state.
फेड द्वारा दरों में बढ़ोतरी के बाद पिछले सप्ताह बुलियन की कीमतों में अस्थिरता रही और निवेशकों की अपेक्षा से अधिक आक्रामक फेड का रुख रहा जिसमे उन्होंने ब्याज दरों को साल के अंत तक 4 प्रतिशत के ऊपर रखने की बात कही। हालांकि, अमेरिकी फेड की आक्रामक मौद्रिक नीति के चलते भारतीय रूपया अब तक के निचले स्तरों 1 डॉलर का मूल्य 81 रुपये पर पहुंच गया है, जिससे घरेलु वायदा बाजार में सोने के भाव पिछले सप्ताह 1000 रुपये प्रति दस ग्राम तक तेज़ हुए। एमसीएक्स अक्टूबर वायदा सोना पिछले सप्ताह 0.8 प्रतिशत तेज़ हो कर 49700 रुपये प्रति दस ग्राम के स्तरों पर रहा। जबकि कॉमेक्स में सोने के भाव सप्ताह में 0.80 प्रतिशत टूट कर 1670 डॉलर प्रति औंस के स्तरों पर रहे। कठोर मौद्रिक नीति के चलते अमेरिकी बेंचमार्क ट्रेज़री यील्ड बढ़ कर 3.7 प्रतिशत हो गई है जिससे अमेरिकी डॉलर इंडेक्स पिछले सप्ताह 2 प्रतिशत तेज़ हो कर 111.80 के स्तरों पर पहुंच गया है। फेड के साथ बैंक ऑफ़ इंग्लैंड द्वारा भी ब्याज दरें बढ़ाई गई है जबकि बैंक ऑफ़ जापान ने अपनी ब्याज दरों में कोई बदलाव नहीं करने के साथ अपनी मुद्रा के अवमूल्यन को रोकने के कदम उठाए है। सोने के लिए निकट-अवधि में तेज़ी का दृष्टिकोण, अमेरिकी ब्याज दरों में वृद्धि की संभावना से बाधित है, जिसने डॉलर को बढ़ावा दिया और इस साल बुलियन की कीमतों को रिकॉर्ड ऊंचाई से नीचे गिरा दिया है। फेड द्वारा कठोर नीति में ढील देना 2024 से शुरू किया जायेगा जबकि निकट अवधि में आक्रामक मौद्रिक नीति से आर्थिक मंदी का खतरा बना हुआ है, जो सोने की सुरक्षित आश्रय की उपाधि को बनाये रखेगा।
इस सप्ताह कीमती धातुओं में भारतीय त्यौहारो के चलते निचले स्तरों पर सपोर्ट रहने की सम्भावना है। अक्टूबर वायदा सोने की कीमतों में 48400 रुपये पर सपोर्ट है और 50300 रुपये पर प्रतिरोध है। दिसंबर वायदा चांदी में 54000 रुपये पर सपोर्ट और 58500 रुपये पर प्रतिरोध है।
The board of directors of Bajaj Finserv Ltd has approved and announced a 5:1 stock split and 1:1 bonus shares. Following the stock split, the company's authorized share capital would increase to 1 billion equity shares with a face value of Rs. 1 each. The number of fully paid and subscribed shares will grow to 9.64 crores at the same face value. The authorized capital will eventually increase to 2 billion equity shares with a face value of Re 1 following the issuing of bonus shares. A total of 1.59 billion Re 1 share will be added to the total paid-up and subscribed capital.
A corporation may decide to split its shares into a number of new ones in a stock split. Split shares do not diminish the shareholders' ownership position or create any new value for them. However, what they actually do is increase the number of shares of the company. Meanwhile, the face value of the shares is reduced during a split. However, the investment's overall worth stays constant.
The major advantage of a stock split is that it makes the share price more affordable for retail investors. This indicates positive sentiment of the share. Since shares are now more readily available to regular investors, there will likely be a greater demand for them, which will enhance the amount of liquidity on the market.
The company's business has expanded substantially over the years, and this is reflected in the share price. Bajaj Finserv's share price reached Rs 19,325 in October 2021. 98% of the total number of its shareholders are retail investors. The company signaled that it would become more challenging for retail investors to buy even a single share if the price rose from its current levels. In order to make shares more affordable to retail investors, the company is splitting shares.
An offer of free extra shares to existing shareholders is known as a bonus issue, often referred to as a scrip issue or a capitalization issue. As an alternative to increasing the dividend payout, a firm may elect to distribute more shares. Bajaj Finserv for instance provides one bonus share for one share owned.
Investors who owned Bajaj Finserv prior to the record date are eligible for the stock split and bonus shares.
But what if you buy a share on 12 Sep? Since our system follows a t+2 settlement cycle you can get shares in your portfolio through a demat account by September 14, making you eligible for the bonus and the split.
1. The company has had a ROA of 11.56% during the past three years.
2.The company's operating income increased considerably during the last three years, with a CAGR of 13.82%.
3.Promoters own 60.76% of the stock.
4. The consolidated net profit of Bajaj Finserv for the three months ending in June 2022 increased by 57% to Rs 13.1 billion.
5. The Bajaj Group firm reported a profit of Rs. 8.3 billion last year.
6. The reviewed quarter's revenues totaled Rs 158.9 bn, an increase of 145 year-on-year growth (YoY).
7. Its subsidiary Bajaj Alliance's gross written premium climbed by 255 to Rs 31.2 billion during the quarter.
The share price of the stocks reached a 52-week high of Rs. 19325 a share in October 2021. On June 30, 2022, the 52-week low was Rs. 10727. Bajaj Finserv delivered has delivered, a 5-year return of about 204 percent. Moreover, it delivered returns of more than 2600 percent from the original stock price of Rs. 500 to Rs. 1790.
Inox Green Energy Services, a subsidiary of Inox Wind, intends to raise Rs 740 crore through an initial public offering (IPO) by October of this year.
On February 7, 2022, IGESL stated that it has filed a draft red herring prospectus with the Securities and Exchange Board of India, but withdrew it in April for unclear reasons. Inox Green Energy submitted its second draft red herring prospectus in June.
The proposed Offer comprises a Fresh Issue of Equity Shares worth up to Rs. 370 crores. and an offer to sell Equity Shares worth up to Rs. 370 crores.
The company received the observation letter on September 13. Before bringing an IPO, it is necessary for any company to get an observation letter. The company may also consider pre-IPO placements. If such placement is completed, the size of the new issue will be reduced.
After establishing itself in the Indian industry, the company intends to expand into the international market whether in South East Asia, the Gulf, or Africa.
Inox Wind will be debt-free following its Rs 740-crore initial public offering.
Inox Green Energy Services provides long-term Operation and Maintenance (O&M) services for wind farm projects, especially for Wind Turbine Generators (WTGs) and common infrastructure facilities on wind farms that facilitate power evacuation from such WTGs.
Inox Green Energy Services is now growing at a rate of 30-40% every year. Today, the volume for Inox Green Services is close to Rs 160 crore, and it is expected to reach Rs 400-500 crore in the next 3-4 years.
It has borrowed Rs 300 crore for the Nani Virani project, which is now being constructed by Inox Wind. It has also got an advance payment of Rs 850 crore from its important customer, a group firm.
The business would also sell its stake in the Rs 350-crore SPV before the IPO, with net proceeds of Rs 100 crore from the transaction. Aside from that, it will receive little more than Rs 200 crore from the conversion of previously issued warrants.
Meanwhile, Inox Wind said that at its next Annual General Meeting (AGM) on September 28, it will seek shareholder permission to fund up to Rs 200 crore through the issuing of 20 crore preference shares to its holding and promoter business Inox Leasing and Finance for cash.
According to the company's notice for the AGM, the board of directors approved the issuance of up to 20 crore 0.01 percent non-convertible, non-cumulative, participating, redeemable preference shares with a face value of Rs 10 each for an aggregate value not exceeding Rs 200 crore to Inox Leasing and Finance Ltd at its meeting on August 30, 2022.
It further stated that the business intends to enhance its authorized share capital from Rs 110, 11, 00,000 to Rs 310, 11, 00,000 to facilitate the issuing of preference shares.
बढ़ती हुई महंगाई को नियंत्रित करने के लिए यूरोपियन सेंट्रल बैंक द्वारा पिछले सप्ताह ब्याज दरों में 0.75 प्रतिशत की बढ़ोतरी कर दी गई जिससे यूरो सप्ताह में 1.5 प्रतिशत तेज़ हुआ और अमेरिकी डॉलर इंडेक्स, जिसमे यूरो का वेट 57.6 प्रतिशत है, सप्ताह में 1 प्रतिशत टूट गया। डॉलर में 20 साल की उचाई से गिरावट के कारण सोने और चांदी के भाव में तेज़ी रही। यूरोपीय सेंट्रल बैंक द्वारा अपेक्षा से अधिक दर में वृद्धि के बाद यूरो के दबाव के बावजूद, फेड प्रमुख पॉवेल की टिप्पणियों ने डॉलर को 20 साल के उच्च स्तर के करीब रखा जिसके कारण सोने की तेज़ी सीमित रही। एमसीएक्स में पिछले सप्ताह सोने के भाव 0.60 प्रतिशत जबकि चांदी 5 प्रतिशत तक तेज़ हुई है। केटो इंस्टीट्यूट के वार्षिक मौद्रिक सम्मेलन के एक संबोधन के दौरान फेड चेयर जेरोम पॉवेल द्वारा केंद्रीय बैंक के कठोर रुख को दोहराया और पॉवेल ने शपथ ली है कि जब तक मुद्रास्फीति अपने 2 प्रतिशत लक्ष्य के भीतर नहीं हो जाती, फेड आक्रामक रूप से नीति को सख्त बनाए रखेगा। फेड द्वारा मौद्रिक नीति पर सख्ती, आने वाले कुछ समय के लिए कीमती धातुओं की तेज़ी को सीमित रख सकता है। हालांकि, भारतीय बाज़ारो में त्यौहार का सीजन शुरू होने वाला जिससे सोने और चांदी की मांग में बढ़ोतरी होने के आसार है। त्योहारों के बीच कीमती धातुओं के सस्ते भाव कीमतों में बढ़ोतरी कर सकते है।
इस सप्ताह कीमती धातुए सीमित दायरे में रहने की सम्भवना है। अक्टूबर वायदा सोने की कीमतों में 50000 रुपये पर सपोर्ट है और 51100 रुपये पर प्रतिरोध है। दिसंबर वायदा चांदी में 54000 रुपये पर सपोर्ट और 56000 रुपये पर प्रतिरोध है।
Rakesh Jhunjhunwala started his trading career almost three decades ago with five thousand rupees. This was a time when the Sensex's score was only 150 points. According to the data available on NSE, Rakesh Jhunjhunwala's portfolio includes shares of 33 companies, whose current value is Rs 25,842 crore.
According to Trendline, his portfolio includes Titan, Tata Motors, Star Health and Allied Insurance Company, Metro Brands, Nazara Technology, Federal Bank, DB Realty, Tata Communications along with many more.
Below is the list of Rakesh Jhunjhunwala’s holdings as of the quarter ending.
Stock NameHoldings (%)Holding value (Rs cr.)Aptech Ltd23.38 %274.3Star Health and Allied Insurance Company Ltd17.51 %6,607.44Metro Brands Ltd14.43 %2,068.09NCC Ltd12.84 %501.72Nazara Technologies Ltd10.10 %409.4Rallis India Ltd9.81 %391.47Bilcare Ltd8.48 %13.92Agro Tech Foods Ltd8.22 %163.27Va Tech Wabag Ltd8.04 %125.23Geojit Financial Services Ltd7.55 %96.68Delta Corp Ltd7.48 %455.8Jubilant Pharmova Ltd6.76 %442.75Crisil Ltd5.48 %1,496.88Titan Company Ltd5.05 %9,718.08Jubilant Ingrevia Ltd4.72 %344.15Autoline Industries Ltd4.62 %10.43Karur Vysya Bank Ltd4.50 %154.91Fortis Healthcare Ltd4.23 %767.92Federal Bank Ltd3.65 %651.96Anant Raj Ltd3.39 %58.65Dishman Carbogen Amcis Ltd3.18 %60.88Indian Hotels Company Ltd2.12 %680.78Wockhardt Ltd2.08 %84.98D B Realty Ltd2.06 %34.8Prozone Intu Properties Ltd2.06 %7.42Canara Bank1.96 %701.45Edelweiss Financial Services Ltd1.60 %85.23National Aluminium Company Ltd1.36 %244.25Indiabulls Housing Finance Ltd1.28 %73.26Orient Cement Ltd1.22 %29.53Man Infraconstruction Ltd1.21 %41.67Tata Motors Ltd1.18 %1,629.46TV18 Broadcast Ltd1.17 %84.3Indiabulls Real Estate Ltd1.10 %38.58Tata Communications Ltd1.08 %302.82
Source: Tickertape
Take note of the fact that he is investing in India's financial, healthcare, construction, and real estate investment.
Now let’s understand why this wise decision was. As The population of India is increasing. People would seek better housing and healthcare as the level of life rose. This indicates that borrowing will rise at both the individual and business levels. All of this indicates that there will always be a demand for such stocks.
As of March 31, 2021, Rakesh Jhunjhunwala holds 37 stocks in the market. He is extremely bullish on the banking sector. He was once a bear in the Harshad Mehta days and made a lot of money by shorting stocks post the securities scam in 1992.
The portfolio of Rakesh Jhunjhunwala demonstrates that fluctuations are a natural element of business and cannot be separated from the corporate environment. If we examine his portfolio, we can observe that his holdings have changed since the previous quarter, with eight firms showing a decline in the proportion of their holdings and five companies showing an increase.
Trading is focused on price and trend rather than opinion. As a result, if you buy stocks for Rs. 100 and the price drops to Rs. 90, you may cut your losses and square off your position.
The Tata group is renowned for having very excellent corporate ethics. According to Rakesh Jhunjhunwala, one should concentrate on buying the company rather than the stock. As a result, don't focus too much on the stock's purchase price. In the overall scheme of things, it won't really matter that much. Instead, concentrate on the company you are purchasing. Paying a little bit more for a company with solid fundamentals is not harmful.
Investor Rakesh Jhunjhunwala has no qualms about funding small-cap firms. This is a result of his extraordinarily aggressive investing style. Rakesh Jhunjhunwala's portfolio contains 17.75% of stocks having a market valuation of less than Rs 10,000 crore.
Jhunjhunwala had invested in Titan in the year 2002-03 at Rs 3 per share. At this time the company's stock has increased to Rs 2,422. Jhunjhunwala's Titan portfolio has grown to Rs 11,000 crore from this stock itself. More than one-third of the shares in Big bull’s portfolio is owned by Titan.
Jhunjhunwala realized the inherent risks one has to face while investing and put procedure before success. He didn't follow another person. He disapproved of following established trade practices. We must continuously learn from our past investment mistakes as well as take the expertise of seasoned investors.
Rakesh Jhunjhunwala, a veteran investor, stock market expert, and legendary figure of Dalal Street in India, passed away on Sunday, August 14 from a cardiac arrest.
Today as we look at his journey we find that Rakesh Jhunjhunwala was the only man aside from Warren Buffet who has amassed a billion dollars through stock market investing and that too in a developing market.
Rakesh Jhunjhunwala began his stock market journey with Rs. 5,000, which, in the middle of the 1980s, was $500. He converted that amount over the course of the following 35 years to over $4 billion or Rs 30,000 crore. If you look at the compounding ratio, it has been increased in dollar terms by over 50%.
Rakesh Jhunjhunwala was born on July 5, 1960. He was a son of an income tax officer and began experimenting with stocks while still a college student. His father, who was engaged in the stock market and frequently discussed stocks with friends, was a source of inspiration to him. He also picked up his first lesson from his father, who advised him to follow the news and explained that events throughout the world affect prices. The youngster told his father that he planned to invest as he grew more and more captivated by the stock market. He chose to seek a degree in CA after his father advised him to invest his own money rather than borrow from friends and relatives.
He invested under both his own name and that of his wife, Rekha Jhunjhunwala, who is a licensed chartered accountant.
An Interesting Fact about Rakesh Jhunjhunwala was also a movie producer. Movies like "English-Vinglish," "Shamitabh," and "Ki and Ka" were produced by him. He was the chairman of Hungama Digital media entertainment Pvt Ltd.
The investor was seen as a vibrant, forward-thinking, and relentless Indian optimist who will be remembered in the investment community for his trading and investment skills, which helped many people to believe in the India narrative and provided them with many valuable insights.
The prime minister launched the primary international bullion exchange in India at the nearby Gujarat International Finance Tec-City (GIFT City).
According to this arrangement, the NSE-IFSC order matching and trading platform are going to be used for all orders on Nifty derivatives placed by members of Singapore Exchange Limited (SGX).
In addition to accelerating the financialization of gold in India, this exchange would offer effective price discovery with the assurance of ethical sourcing and quality.
Foreign investors who don't want to register and trade in India sometimes buy Nifty contracts on the Singapore Exchange. At its peak, trading on the Nifty made up the maximum amount as 10% of the revenues at the Singapore Stock Exchange. Amid worries that foreign traders may migrate their trading activities to Singapore, India's stock exchanges agreed in early 2018 to cease granting licenses for her indexes to foreign bourses starting in August 2019.
SGX pulled NSE into a legal battle once the contract was terminated. The dispute was ultimately arbitrated. After deciding to sign a connection agreement at Gift City, the exchanges opted to finish the arbitration in September 2020.
India is the second-largest consumer of gold worldwide. the most important importer of precious metals, it brought in 1,069 tonnes of gold in 2021, a rise of 430 tonnes from the year before. the state has strict regulations for gold.
Only organizations and banks that the Federal Reserve Bank of India (RBI) has approved are now allowed to import gold.
The term "bullion" refers to high purity physical sorts of gold and silver that are frequently kept as bars, ingots, or coins. Bullion is usually held by central banks as reserves or owned by institutional investors, and it's even regarded as legal money. The Bullion Spot Delivery Contract and Bullion Depository Receipt (BDR) with underlying Bullion as a Financial Product and related services as Financial Services were announced by the govt in August 2020.
Through authorized banks and organizations, the import of gold was liberalized within the 1990s. then, accredited jewelers in India were for the primary time permitted to import gold directly through IIBX. This conversation is critical in and of itself. Jewelers must be longtime trading member's clients or trade partners in order to qualify for this.
IIBX are going to be led by Ashok Gautama as MD and CEO. before taking over in February 2022, he was employed with IDBI Bank. He formerly had an edge in the State Bank of India (SBI).
This exchange will standardize the financialization of bullion in India, bring transparency to the price-setting mechanism, and work as a standard-setting tool for the bullion's quality (IFSCA).
This would make it possible for authorized jewelers to import gold directly through IIBX, which is governed by the International Financial Services Centres Authority (IFSCA).
NRIs and institutions also will be eligible to participate in the exchange after registering with the International Financial Services Centre Association.
Gold 1 kg with a purity of 995 and gold 100 g with a purity of 999 is going to be traded in the early stages with a settlement period of T+0. The exchange is additionally anticipated to increase the settlement duration to T+2 days.
The establishment of IIBX is anticipated to empower India to require its proper place in the global bullion market and provide services to the global value chain. This affirms the govt of India's commitment to giving India the ability to influence global bullion prices as a major consumer.
कीमती धातुओं के भाव में आक्रामक मौद्रिक नीति के चलते लगातार बिकवाली का दबाव बना हुआ है। पिछले सप्ताह सोने के भाव 50000 प्रति दस ग्राम के भीतर कारोबार करते नज़र आये जबकि प्रति किलो चांदी के भाव 52000 रुपये के निचले स्तरों को छू चुके है। अमेरिकी डॉलर, जो सोने के विपरीत दिशा में चलता है, में फेड प्रमुख जेरोम पॉवेल के बयान के बाद से ही तेज़ी जारी है और यह 110 के स्तरों के करीब पहुंच गया है जिससे सोने के भाव में दबाव बना हुआ है। अमेरिका से जारी होने वाली रोज़गार रिपोर्ट के आंकड़े लगातार बेहतर रहे है जिससे आर्थिक मंदी का डर कम हुआ है और इससे फेड को कठोर नीति कायम रखने में आसानी होगी। फेड श्रम से सम्बंधित आकड़ो पर कड़ी नजर रख रहा है ताकि यह पता लगाया जा सके कि नौकरी बाजार उच्च ब्याज दरों के प्रति कितनी सहनशीलता रखता है। पिछले सप्ताह जारी पैरोल के आकड़ो में नॉन फार्म एम्प्लॉयमेंट चेंज के आंकड़े अनुमान से बेहतर दर्ज किये गए जबकि बेरोज़गारी दर में बढ़ोतरी हुई है, लेकिन यह दर 4 प्रतिशत के नीचे रही जिसको फेड पूर्ण रोज़गार की स्थिति मानता है। अमेरिकी बेंचमार्क ट्रेज़री यील्ड चार साल के ऊपरी स्तरों पर पहुंच चुकी है जिससे डॉलर इंडेक्स को सपोर्ट मिला हुआ है और नॉन यील्डिंग सोने-चांदी की कीमतों में दबाव बन रहा है। ग्लोबल मैन्युफैक्चरिंग आकड़े कमजोर रहने के कारण चांदी के भाव में बिकवाली का दबाव है। इस सप्ताह गुरुवार को यूरोपियन सेंट्रल बैंक की मौद्रिक नीति कीमती धातुओं के लिए महत्वपूर्ण रहेंगी।
इस सप्ताह कीमती धातुए में मंदी रहने की सम्भवना है। अक्टूबर वायदा सोने की कीमतों में 49000 रुपये पर सपोर्ट है और 51000 रुपये पर प्रतिरोध है। दिसंबर वायदा चांदी में 51000 रुपये पर सपोर्ट और 54500 रुपये पर प्रतिरोध है।
Earnings season kicks off a few weeks after each fiscal quarter ends. It spans about a month, during which companies report their financial performance. Here’s a breakdown of the schedule:
Earnings season is when companies publicly disclose their financial performance for the previous quarter. This period is crucial for investors because it provides insights into a company’s profitability, revenue, and overall financial health. These reports help investors make informed decisions about their investments.
How to Use Earnings Information
Earnings season provides insights into various aspects of the economy:
Earnings season can give clues about how different parts of the economy are doing. Strong results from big companies can suggest a healthy economy, but it’s important to remember that the stock market and the economy don’t always move in the same direction.
Earnings season is a valuable period for investors to gain insights into company performance and market trends. By understanding key metrics, analyzing sector trends, and staying informed, you can make more strategic investment decisions. Use earnings reports to guide your investment strategy, whether that means trading stocks, investing in sectors, or making long-term decisions.
Remember, while earnings reports offer important information, they are just one part of a broader investment strategy. Always consider your overall investment goals and risk tolerance when making decisions based on earnings season insights
India was the eleventh-largest economy ten years ago, while the UK was the fifth-largest. Based on data on GDP provided by the International Monetary Fund. India surpass the UK in dollar terms annually this year, only behind the US, China, Japan, and Germany. In the final three months of 2021, India surpassed the UK to become the fifth-largest economy.
The IMF’s World Economic Outlook database shows India overtaking the U.K. in dollar terms on an annual basis this year with a GDP of $3.53 trillion compared to the U.K.’s $3.38 trillion.
According to adjusted figures and the dollar exchange rate on the last day of the relevant quarter, the Indian economy was worth $854.7 billion in nominal cash terms in the three months ending in March. The United Kingdom was $816 billion on the same basis. a country with the highest inflation rate in four decades and growing recession risk, which the Bank of England predicts might persist well into 2024.
According to reports, the UK's ranking decline is the result of the nation's rising cost of living. For the first time since 1982, the nation saw double-digit consumer price inflation last month. With the pound losing 8% versus the rupee this year, sterling has underperformed the dollar relative to the Indian currency. In the second quarter, UK GDP increased by just 1% in real terms; after accounting for inflation, it decreased by 0.1%.
Indian equities have recently had a global-beating recovery, moving their weighting into second place in the MSCI Emerging Markets Index, only behind China's.
official figures revealed that India's gross domestic product (GDP) increased 13.5% in the June 2022 quarter (Q1FY23), as opposed to the 20.1% growth recorded in the first quarter of 2021–2022. According to an official statement, "Real GDP or gross domestic product (GDP) is anticipated to hit a level of Rs 36.85 lakh crore in Q1 2022-23, as against Rs 32.46 lakh crore in Q1 2021-22, indicating a rise of 13.5 percent as opposed to 20.1 percent in Q1 2021-22."According to National Statistical Office (NSO) figures, the country's gross value added (GVA), which is GDP less net product taxes and shows supply growth, increased by 12.7% between April and June 2022.
Reduced corporate taxes, the production-linked incentive (PLI) program, and India as a potential supply chain beneficiary all helped to stimulate and maintain domestic demand, particularly for investments.
India's GDP grew by 13.5% in the first quarter of FY23. India's GDP is probably going to develop the quickest in the current fiscal year at this rate. Nirmala Sitharaman, the Union Finance Minister, has disclosed that India's Gross Domestic Product (GDP) growth will continue to grow at 7.4% in FY 2022–23 and in FY24 as well.
However, economists worry that the prospect of a global recession and rising interest rates might stifle growth in the ensuing quarters.
A variable monsoon is also expected to have an impact on rural demand and agricultural growth. Economists are also said to be concerned about the manufacturing sector's decreasing growth rate of 4.8% and the fact that imports are outpacing exports.
India is expected to benefit in the coming days as China's aspirations for fresh investments slow down.
Despite its great economic progress, the country nonetheless has its share of obstacles. According to the World Bank, access to development and new opportunities has been unequal and varies by area.
Furthermore, India is home to 25% of the world's poor. According to the UN, just 39% of its rural populations have access to sanitary facilities, and nearly half of the population still defecates in the open.
Although India overtook the UK there is a disparity in per capita income between the two countries caused by the size of India's population India has 1.3 billion inhabitants, which is three times the combined populations of the UK, France, Italy, and Brazil, vs the UK which has a population of 068 bn. Thus, our per capita GDP was $2,500 as opposed to $47,000. We still have much to go.
The semiconductor industry was put into the unexpected limelight in 2021 when chip shortages initially forced the shutdown of vehicle production lines. The focus grew when certain high-tech and consumer electronics businesses started to report chip shortages or expressed worries about supply chains.
Everyone can clearly see that we live in a world dominated by semiconductors, the small chips that power several automotive features, including blind-spot detection, seat adjustment, and interior Illumination.
Relations between Washington and Beijing are strained as a result of the rising tensions brought on by the visit of Nancy Pelosi, the speaker of the US House of Representatives.
Some scholars claim that if China conquers Taiwan, the former will gain more independence to expand its strength throughout the western Pacific.
Furthermore, China may put the American military outposts in jeopardy if this takeover occurs, especially those on the island regions.
China, however, disputes any bad intentions and insists that its goals are wholly benign. But President Xi Jinping of China declared that "reunification with Taiwan must be realized" and that if necessary, the force will be used to achieve this goal.
Simply put, the dragon views the island country as a renegade province that the latter seeks to subdue.
Washington has a history of strategic ambiguity, to the point where it might use force to intervene if China invaded Taiwan. The One-China policy, which recognizes only one Chinese government, based in Beijing, and has formal links with Beijing rather than Taipei, is adhered to by this country in its official capacity. It has, however, also promised to give Taiwan protective armaments and emphasized that any invasion by China would be of great concern.
A significant portion of Taiwan's IT sector is made up of the semiconductor industry, which includes IC manufacture, design, and packing. Taiwan plays a significant role in the semiconductor industry's worldwide supply chain.
Additionally, its contract manufacturers represented more than 60% of the entire income generated by semiconductors worldwide in 2021.
Around 20% of the world's semiconductor market, or US$115 billion, was accounted for by Taiwan. Taiwanese businesses control 50% of the global market in some industries, such as foundry operations, with Taiwan Semiconductor Manufacturing Company (TSMC) dominating the foundry industry.
Taiwan manufactures essential semiconductors and electronic equipment and controls 10% of the world's shipping container capacity, holding a crucial role in the global supply chain.
Technology companies from Taiwan control the majority of the world's capacity for producing semiconductors, including cutting-edge and effective chips. The largest contract chip manufacturer in the world, Taiwan Semiconductor Manufacturing Co Ltd (TSMC), is now investing in a new $12 billion facility in Arizona.
India has its own limitations, therefore it won't participate more politically in Taiwan unless the situation is dire. Since the beginning, India has adhered to a "One China" policy; yet, India must recognize that Taiwan is the main center of the American Indo-Pacific strategy. In the bigger picture of limiting China, it does play a significant supporting role.
Our links now extend beyond commerce to include educational possibilities for Indians who wish to learn Chinese and follow Chinese trends.
The COVID-19 epidemic and China's zero-COVID policy have already caused unprecedented amounts of disruption in supply chains throughout the world since 2020.
Due to trade and supply route restrictions brought on by the Russia-Ukraine war, shipping prices have increased.
A blockage or delay in semiconductor chip exports might be one of the numerous effects of a confrontation between China and Taiwan. This would have an impact on several global businesses, including manufacturing, internet communications technology (ICT), and research and development.
The Taiwan Strait is one of the busiest shipping lanes in the world, helping the transport of technology and natural gas supplies to international markets.
A butterfly effect might result in hyperinflation, job losses when factories stop operating, and recessionary economies.
As we observe our nation's 75th Independence Day, let's review how freedom has changed through time.
For India's savings, a route to financial independence has been gradually carved out thanks to the efforts of governments, regulators, and financial institutions. This route capitalizes on the country's economic expansion using share markets, mutual funds, and other investment avenues that let investors reap from it.
Certain reasons have led to a rise in the importance of financial independence. Every middle-class individual should take into consideration this idea because it is no longer optional and almost a necessity.
To become financially free, one must plan ahead and handle their existing finances. It's crucial to organize your expenses and debts since doing so will allow you to start saving and stop depending on a set monthly salary.
The road to financial independence begins there. The sooner you start saving, the longer you save will eventually benefit you in long term. It makes no difference where you start, but it is more crucial that you begin making plans for the future.
Just as important as choosing a financial objective is understanding one's risk tolerance level. One may easily narrow down the most worthwhile investment possibilities if they are aware of their level of risk tolerance. Financial decisions may become murky if one is unable to identify their personal risk tolerance.
Most people will accumulate wealth more reliably by combining tiny sums of money with time and the power of compound interest.
Choosing a variety of investments that are geared toward attaining your goals and objectives at an investment risk level that you are comfortable with is the key to building an investment portfolio. The selection of a particular investment is the second most important component after asset allocation.
Regular and systematic investing is required if you want to get the desired outcomes. A powerful feature for goal planning is a systematic investment plan (SIP). You only need to choose one of the top and most suitable mutual fund programs to SIP into.
Searching for the best mutual funds for a systematic investment plan in India? Fulfill your financial goals now with Swastika.
Equity investments have rewarded investors by increasing their money in a fairly short amount of time when compared to other investment alternatives. By starting early, and making investments in the right stocks, one might strive to save enough money to achieve financial independence at a young age.
You must quit living in debt if you want to become financially independent. Make sure to minimize or settle your outstanding bills as soon as you can. Avoid taking out loans or using credit cards frequently to meet your immediate needs because doing so might harm your financial stability
The "4 percent rule" is a retirement rule of thumb that states that an investor can safely withdraw 4 percent, adjusted for inflation, from a balanced portfolio of stocks and bonds each year and be reasonably certain that the money will continue to grow and won't run out. This is how financially independent people who live off their portfolio income operate.
Having the right mindset is essential to achieve financial freedom. Making secure and wise investments is therefore essential to financial independence since it allows you to gradually increase your wealth. Investors who desire predictable capital growth, however, have had sleepless nights due to fluctuating stock indices and monetary policy changes. Fixed-income assets are therefore ideal for investors looking for guaranteed returns.
भू-राजनितिक तनाव बढ़ने के कारण सोने में सुरक्षित मांग बढ़ने लगी है। पिछले सप्ताह घरेलु वायदा सोना तेज़ रहा और भाव 52500 रुपये प्रति दस ग्राम के स्तरों को छू गए जबकि चांदी की कीमते सीमित दायरे में रहते हुए 58800 रुपये प्रति किलो के ऊपरी स्तरों को छू गए। धीमी होती हुई ग्लोबल अर्थव्यवस्था और अमेरिकी डॉलर इंडेक्स मे दबाव सोने और चांदी के भाव को सपोर्ट कर रहा है। डॉलर की नरमी के चलते औद्योगिक धातुओं के लिए पिछले सप्ताह अच्छा रहा लेकिन चीन और यूरोज़ोन के कमजोर मैन्युफैक्चरिंग आकड़ो से सुस्त मांग के संकेतो से सप्ताह के अंत तक इनमे दबाव बनता दिखा। हालांकि, डॉलर की तुलना में रूपया पिछले दो सप्ताह से मजबूत रहा है जिससे कीमती धातुओं की बढ़त सीमित रही। भारतीय रिज़र्व बैंक द्वारा भी शुक्रवार को ब्याज दरे 0.50 प्रतिशत बढ़ा दी गई है जिससे रूपया मजबूत हुआ है। जबकि कॉमेक्स वायदा में सोना 1800 डॉलर प्रति औंस के स्तरों को पार कर गए। दुनिया भर से निराशाजनक आर्थिक संकेतो की बढ़ती संख्या ने आने वाली मंदी पर चिंताओं को बढ़ा दिया है। हालांकि, अमेरिका से जारी होने वाले पैरोल के आंकड़े मजबूत दर्ज किये गए है जिससे ऊपरी स्तरों पर कीमती धातुओं के भाव में दबाव भी बना है। सेफ हैवन मांग बढ़ने के पीछे चीन और ताईवान के बीच बढ़ रहा तनाव है जिसमे मिलिट्री ड्रिलिंग में मिसाइल दागने के बाद सोने में तेज़ी देखने को मिली है।
कीमती धातुओं के भाव इस सप्ताह तेज़ी में रहने की सम्भावना है। अक्टूबर वायदा सोने की कीमतों में 51300 रुपये पर सपोर्ट है और 52500 रुपये पर प्रतिरोध है। सितम्बर वायदा चांदी में 55500 रुपये पर सपोर्ट और 59500 रुपये पर प्रतिरोध है।
For an investor, investing in such stocks that produce high stock market trading returns is ideal. But, on the other hand, investors look for those stocks that are relatively in demand as per market perspective and trends.
One such trending stock is electric vehicle stock. As the natural energy resources are limited and the usage is twice the availability, we are looking for an alternative. The automobile sector is now shifting towards electric vehicles.
With this adoption of electric vehicles, the stock prices of EV stocks are rising.
So let's see the list of the best electric vehicle stocks to buy in India in 2022.
The electric vehicle sector is so huge that it is not limited to manufacturers only; instead, it is divided into four segments.
Based on four categories of electric vehicles, we are listing the best electric vehicle stocks to buy in India in 2022.
Tata Motors
With the assistance of partners like Tata Chemicals for batteries, Tata Steel for body structures, and Tata ELXSI for software, it is one of the greatest electric vehicle stock businesses in India.
Tata Motors will have a significant amount of room to grow in the near future. Tata Motors' closing price, in the last few months, was around Rs. 400.
Maruti Suzuki
Maruti Suzuki is the top brand for entry-level vehicles that are affordable. The business holds the majority of the market share because it is the oldest one.
The only thing is that other businesses have made huge progress in the EV market in a short span of time, but Maruti Suzuki has not done yet.
Sooner or later, the company will introduce an electric vehicle to the market. In the previous months, the share price reached a close of Rs. 7000 (approx).
Mahindra & Mahindra
Aside from the partnership with Reliance Industries, Mahindra & Mahindra is aiming to increase the number of electric vehicles in its lineup.
The company plans to introduce 16 electrified vehicles by 2027, spanning the SUV and light commercial vehicle classes.
Additionally, it intends to spend nearly Rs 3,000 crore over the next three years on the electric vehicle market. The stock price of this company varies from Rs. 800-850.
Hero MotoCorp Limited
As the market is focused on four wheelers electric vehicles, Hero decided to focus on the two-wheeler electric vehicle segment. Hero already established itself with its two-wheeler edition including pleasure, splendor etc.
So it better understands the two-wheeler market in India as it is affordable for the common man too. Talking about the share price of Hero MotoCorp it ranges between Rs. 2300- 2400.
Tata ELXSI Limited
Tata ELXSI is one of the leading software companies known for its contribution to the automobile industry. The company provide new technology software and design for electric vehicle.
It is also estimated that ELXSI will eventually license this specially created stock software to other auto part manufacturers. The share price of this ELXSI varies between Rs. 8000 - 8700.
Motherson Sumi Systems Limited
One of India's leading suppliers of automotive components is Motherson Sumi. Due to its immense production capacity, the company has previously acquired several small-scale auto parts makers and started producing parts, particularly for electric vehicles.
As electric vehicle parts are different from normal cars, Motherson Sumi is estimated to grow in the near future and provide services to different businesses. The share price for this company is around Rs. 140.
Exide
One of the oldest and leading players in the list of automobile battery manufacturers is Exide.
Exide use to manufacture lead-ion batteries for typical vehicles but planning to shift to lithium-ion-based batteries for the upcoming electric vehicles. The share price of Exide industries varies between Rs. 150-170.
Tata Chemicals
Tata chemicals have a unique vision of developing an ecosystem to generate batteries by collecting all the raw materials required to make batteries.
With this vision, the company want to fabricate the batteries in their manufacturing plants and use the old batteries in the recycling process. The share price of TATA chemicals is nearly Rs. 1050.
Power Grid Corporation of India Limited
Power Grid Corporation is a government-owned firm that provides high-voltage supply and grid management to businesses including telecommunications.
The company is likely to install charging stations around the nation. The corporation going to participate in future government contracts and deals with the label of state control. The share price varies between Rs. 200 - 250.
Tata Power Company Limited
As a provider of consumer energy, TATA Power is a well-established organization. With the rapid growth in the number of EV owners in India, TATA Power and TATA Motors have joined hands to build electric vehicle battery charging and switching stations around the nation.
The company has started installing private charging stations at customers' apartments, registered car service centres, and fast charging stations at numerous public parking spaces like shopping areas.
The share price of TATA Power was estimated to be around Rs. 270.
Here in this list of best electric vehicle stocks to buy in India in 2022 we have covered all the segments of electric vehicle stocks.
So with this proper classification of EV stocks, investors get to know all the sectors of the automobile industry in a very clear way.
When considering investment options, investors often encounter two primary types of stocks: dividend stocks and growth stocks. Each type has distinct characteristics and benefits, catering to different investment goals and strategies. This blog will delve into what dividend and growth stocks are, their key differences, and how each can fit into your investment portfolio.
Dividend Stocks are shares in companies that distribute a portion of their earnings to shareholders as dividends. These payments are typically made quarterly and offer a steady income stream to investors. Dividend stocks are usually associated with well-established, mature companies with a consistent track record of profitability.
What Are Growth Stocks?
Growth Stocks are shares in companies expected to grow at an above-average rate compared to other companies. These companies typically reinvest their earnings into expansion, research and development, or new projects rather than paying dividends.
Interesting Fact: Many investors create a balanced portfolio by combining both dividend and growth stocks. This approach can offer the stability and income from dividends while capturing the growth potential of high-growth stocks.
Both dividend stocks and growth stocks offer unique advantages and cater to different investment strategies. Dividend stocks provide stable income and lower risk, making them suitable for conservative investors or those seeking regular cash flow. Growth stocks, on the other hand, offer the potential for high returns through capital appreciation, attracting investors with a higher risk tolerance.
Investing in the stock market is a quite a challenging job, which can give you a huge amount of money in some cases, but if done improperly, it can lead to a loss of your entire investment.
The stock market requires a lot of learning about the market and how it works.
The stock market has many ups and downs and you need to have patience because even if you have a good idea about the stock, there are other factors that may affect its price.
Hence, many investors put their hard-earned money into penny stocks thinking that it may give them bountiful profits. However, this is not the case.
Now, moving into our topic which is penny stocks vs value stocks, both are risky investments but they are completely different from each other, to know more about the difference. We need to know how value and penny stocks work.
Penny stocks are shares of a company that trade for a very low price. This can be because the market doesn't know the company well enough, or because the company has low enough growth potential to be priced at this level.
Penny stock trading is not necessarily a scam, but it can lead to problems if you're not careful.
A value stock is a stock that has a low price-earnings (P/E) ratio relative to the market value of the company's equity. The lower the P/E ratio, the more attractive it is.
Value investors try to make money by buying shares of undervalued stocks. They do this by analyzing the company's financial statements and comparing them to similar companies' earnings reports.
If there are big differences between what's happening inside a business and what's happening in its stock price, value investors may want to buy those stocks.
Penny stocks are considered to be very risky to invest in because of the low price of these stocks. These stocks do not have any form of stability and they are prone to fluctuations in their prices.
This can make them lose their value very quickly and make you lose your money.
Penny stocks are considered to be high-risk investments as they do not have any form of stability, unlike regular stocks where one can see how the company is doing and if it is going to perform better or worse in future.
This makes penny stocks very risky for investors as they cannot predict what will happen to them in future.
Value stocks are stocks that have low price-to-earnings (P/E) ratios, high book value and low price-to-book value ratios. These stocks are often referred to as growth at a reasonable price (GARP) stocks.
Value investors believe in investing in companies that offer a good return on investment without having to pay too much for it. They believe in buying low and selling high, as opposed to buying high and selling even higher.
Investors try to identify undervalued companies with good growth prospects and sell them before they get overvalued or become too expensive.
Penny stocks are risky and often used in stock market scams. Instead of risking your hard-earned money in penny stocks, invest in value stocks.
Value stocks are those that have a proven track record of delivering good returns. The best value stocks are ones with a proven track record of delivering good returns for their shareholders.
The most important thing about value investing is that you need to invest in companies with strong balance sheets and high-quality assets (such as cash).
These assets will be required to pay off debts and other obligations of the company such as interest payments and tax payments.
Penny stocks have no such requirement and can be traded without any capital requirements. The risk involved in trading penny stocks is very high because the price of these stocks can rise or fall dramatically within seconds or minutes.
This makes it difficult for the average investor to decipher what is fake news and what isn’t because they don’t have enough time to analyze the information before making an investment decision.
यूएस फेड के नरम रुख के कारण कीमती धातुओं में तेजी आई और ब्याज दर को उम्मीदों के अनुरूप रखा गया। फेड मीटिंग के बाद यूएस बेंचमार्क ट्रेजरी यील्ड 2.7 प्रतिशत के करीब फिसल गया।
अमेरिका से जारी अग्रिम जीडीपी डेटा ने अर्थव्यवस्था में मंदी का संकेत दिया क्योंकि डेटा पूर्वानुमान से कमजोर रहा।
गुरुवार को जारी अमेरिकी सकल घरेलू उत्पाद (जीडीपी) दूसरी तिमाही में -0.9 प्रतिशत रहा, जिसने कीमती धातुओं में सेफ हेवेन के चलते तेज़ी देखने को मिली। अमेरिकी फेडरल रिजर्व ने बुधवार को ब्याज दरों को 75 आधार अंकों से बढ़ाकर 2.5 प्रतिशत कर दिया, जैसा कि बाजार को उम्मीद थी।
फेड प्रमुख जेरोम पॉवेल ने अपनी प्रेस कॉन्फ्रेंस में कहा कि सितंबर की बैठक में अंतिम दर वृद्धि का निर्णय आने वाले आर्थिक आंकड़ों द्वारा निर्धारित किया जाएगा।
हालांकि, पॉवेल ने आर्थिक मंदी आने की सम्भवना को मना किया और दर वृद्धि की स्थिति की समीक्षा के लिए जगह छोड़ी है जिससे स्पष्ट होता है की अगले साल ब्याज दरों में बढ़ोतरी नहीं होगी, इससे डॉलर और अमेरिकी ट्रेज़री यील्ड में गिरावट आई है और सोना-चांदी के भाव तेज़ हुए।
यूरोप और एशिया से सोने-चांदी की हाज़िर मांग मजबूत रहने से भी कीमती धातुओं के भाव को सपोर्ट मिला है। डॉलर की तुलना में रुपये में पिछले सप्ताह सुधार दर्ज किया गया है जिससे कीमती धातुओं में ऊपरी स्तरों पर मुनाफा वसूली भी देखि गई। पिछले सप्ताह सोने के भाव 1 प्रतिशत जबकि चांदी के भाव 5 प्रतिशत तक तेज़ हुए है।
कीमती धातुओं के भाव इस सप्ताह सीमित दायरे में रहने की सम्भावना है। अक्टूबर वायदा सोने की कीमतों में 51000 रुपये पर सपोर्ट है और 51800 रुपये पर प्रतिरोध है। सितम्बर वायदा चांदी में 55500 रुपये पर सपोर्ट और 58500 रुपये पर प्रतिरोध है।
With the growing popularity of options trading in India, more people have started to join this exciting world of options trading.
It is a form of derivative contract which gives you an opportunity to buy or sell an underlying asset at a certain price at a set date in the future.
Options can be used as hedges against stock positions or as speculative plays. Options can also be used for income generation by selling short-term option positions with borrowed funds.
To get detailed information about options trading, talk to our experts - 0120 4400700
A bull call spread is an options strategy that consists of purchasing a call option and selling another call option of the same type with a higher strike price.
The difference between the two strikes is the net credit received when selling the options, which is used to purchase more options with a lower strike price.
The maximum profit potential of this strategy occurs when both calls are at or near their respective expiration dates and both expire in the money.
A bull put spread is an options strategy that consists of selling one put option and buying another put option of the same type with a lower strike price.
The difference between these two strikes is the net debit paid when buying the options, which is used to sell more options with a higher strike price.
The maximum profit potential on this strategy occurs when both puts are at or near their respective expiration dates and both expire in the money.
Also Read: What is a lot size in options trading?
The call ratio back spread is a bullish strategy that consists of purchasing a call and selling a put with the same strike price, expiration date and underlying asset.
This strategy can be used to generate a credit in the event that the underlying stock moves higher and moves beyond the breakeven point of the spread.
In this case, if you are long one call and short one put, then you would be making money on both sides of the trade if your goal is to generate a credit.
The synthetic call is another bullish strategy that involves selling a call with one month or less until expiry, while simultaneously buying an option which has no expiration date.
The synthetic call gives you the right to buy the stock at a certain price before it reaches its lowest price during that month. You can use this strategy to generate income while waiting for your stock to reach its lowest price.
A bear call spread is a combination of two options with a strike price that is lower than the underlying stock price and one option that has a higher strike price than the stock.
The difference between the two options is called the vertical spread, and it costs less to buy than it does to sell because both options have the same expiration date.
The call with the lower strike price has greater value if you want to sell your shares early in order to profit from the rally.
The call with the higher strike price has greater value if you want to buy shares at a lower price and then sell them at a higher one.
Also Read - How to Choose Stocks for Options Trading?
A bear put spread is a bullish strategy that involves selling one put, and buying a second put at a lower strike price. It works if the underlying stock falls in price, which would result in the second put becoming worthless.
In most cases, the maximum profit on this strategy is limited to the difference between the two strike prices of your puts. This strategy is most effective when you have a strong opinion on the direction of an asset's price movement.
The strip option is a vertical spread with a short call, short put and long position. The idea behind this strategy is to profit from volatility by selling the underlying asset at a strike price that is lower than the current market price. As a result, you will profit if the underlying asset falls below your strike price.
The strategy is based on the concept of time decay, which states that as time passes, options lose value until they expire worthlessly.
So by selling an option that has a very low strike price, you can generate profits as time goes on until expiration or until you decide to sell your position. You can also use this strategy to increase leverage in your portfolio.
A synthetic put is a combination of a call and put option. The trader buys one put and sells the other or vice versa.
Synthetic puts can be used as bearish options strategies. By selling a put and simultaneously buying another, you are essentially creating an unlimited risk on your long position.
This strategy is best used when the underlying asset has recently depreciated significantly in price, but there is still potential for it to decline even further.
Straddles are a combination of options that have an expiration date far in the future and one that is closer to expiration.
The closest expiration date is known as the straddle strike price, which is the highest price paid for an option contract. The most distant expiration date is known as the straddle exercise price, which is the lowest price paid for an option contract.
Long Straddles are combinations of options with strikes above and below the current stock price. The long straddle strategy involves buying one call and one put with different expiration dates on a single underlying security.
This will give you a credit spread if your stock goes up, or a debit spread if it goes down. You can vary this type of strategy by buying a higher or lower strike call or put.
The long butterfly is a bullish strategy that involves selling one call and buying two puts. It is designed to profit from a rise in the underlying stock's price. The long butterfly must be used with caution because it increases the potential for loss.
The iron condor is a bearish strategy that involves selling one call and buying two puts. It is designed to profit from a decline in the underlying stock's price. The iron condor must be used with caution because it increases the potential for loss. Start Options Trading today.
Options trading strategies are a great way to make money in the markets. While there are many options that can be used for trading, it is important to choose the right strategy for your needs.
Banking sector is one of the most secure, productive, and popular industries to invest in. Bank stocks created a huge market in the last few years but yes there is no denying that it sinks during the pandemic. Again it set a comeback with the rapid growth because without the banking industry's contribution, the economy cannot expand. So if planning for banking equities to invest in soon, then you can check this list of the best bank stocks to buy in 2022:
HDFC is one of the greatest large-cap banking stocks in India in terms of market capitalization. In its sector, HDFC Bank has the highest earnings per share at Rs. 57.9. This bank is at the top of our list of the best bank stocks to purchase because of its excellent performance over the years.
With a market capitalization of $7,59,180.39, HDFC Bank is now the largest bank in India. The stock's closing price was $1,351.10, while its all-time high and low prices were $1,725.00 and 16.36.
HDFC Bank has consistently delivered outstanding results, increasing strongly through numerous economic cycles, and has long been regarded as a gold standard for excellence.
Given the unprecedented effects of the COVID-19 scenario on numerous firms, it is important to take a deeper look at how its unsecured portfolio performance may be affected.
To combat the situation, HDFC Bank adopted a practical strategy and, starting in FY2019–20, moved its attention to the wholesale banking sector, helping to offset the decline in some retail segments brought on by a general slowdown in consumption.
In order to grow regularly in a prudent way, HDFC Bank pursued a cautious strategy by balancing between both business categories corporate and retail.
In addition to this, since the RBI's limits on banks' digital initiatives are no longer in effect, a rise in retail loans might be anticipated, driven by the bank's aggressiveness to make up lost ground.
ICICI is one of the greatest bank stocks to purchase as it is a large-cap banking stock which gives you promising earnings per share.
This bank's market capitalization is listed as 5,07,245.27 crore. The stock's closing price is 720, and its all-time high is 867.00, while its all-time low is 11.41.
Compared to the established companies in the public sector, ICICI bank shows great interest in investment in technology.
In terms of asset size, ICICI Bank is the second largest private sector bank in India and is recognized as one of the D-SIBs (Domestic Systemically Important Banks) in the nation.
As of March 31, 2022, the bank reported a 19.2% Capital Adequacy Ratio (CAR) in accordance with Basel III.
ICICI has consistently maintained a good CASA mix of 45.2 per cent as of March 31, 2021, because of the private lender's strong retail franchise, which helps mobilize low-cost deposits.
Kotak Mahindra Bank Ltd functions fairly well in all areas of banking, including investment banking. Thus, it maintains a strong share for investors year after year.
Kotak Mahindra Bank also came to light as a participant who adopted a sensible and cautious strategy, focusing primarily on well-regarded clients and industries.
This contributed to the bank's historically low levels of bad loan formation (Net NPA at 0.64 per cent). This banking behemoth has grown profits at a CAGR of 19.6% over the course of five years and advances at a CAGR of 7.2% over the course of the same period.
The bank's deposit business is still granular and strong, with good deposit growth and an industry-leading CASA ratio of 60.7 per cent in Q4 FY22.
Axis Bank is one of the best private banks in India with its network of over 4500+ locations.
Axis Bank generates approx. 4 % net interest margin and has a capital adequacy ratio of nearly 19.31 percent.
The private sector participant has consistently kept healthy capitalization levels, showing a solid capacity to raise capital to support growth and maintain a buffer over minimal regulatory requirements, as well as a strong capacity to raise resources through deposits and bonds.
As of March 31, 2022, Axis Bank's total deposits increased by 17.7 per cent. As of March 31, 2021, the bank's CASA deposit base made up a substantial 44.92 per cent of all deposits.
It has been able to control the growth of bad loans as of the quarter that ended on March 31, 2022, and it has reported a Gross NPA ratio of 2.8 per cent and a Net NPA ratio of 0.70 percent.
Axis bank has a 75 per cent provision coverage ratio. Its capital adequacy ratio is an impressive 15.4%.
Axis Bank currently has the biggest exposure, consisting of 37% from home loans, 11% from LAP, and 11% from auto loans. When COVID-19 is in effect, the lender may be in danger due to their exposure to NBFCs and HFCs.
Indusind Bank is a large-cap company with one of the finest banking companies in terms of earnings per share. It is at the top of our list of the finest bank stocks to purchase.
This bank has a market capitalization of 70,801.17 crore rupees. The stock's ending price was 913.20, while its all-time high and low prices, respectively, were 2,038.00 and 8.50.
The Bank is able to advance significantly in the field of car financing because of its strong subject expertise and coverage.
Over years, it has been able to control and reduce its problematic loans while consistently growing its profitability and net interest income by double digits.
Under the leadership of recently appointed MD & CEO Mr Sumant Kathpalia, IndusInd Bank is concentrating on growing retail lending, lowering reliance on huge deposits from governments & corporations, and ensuring sustainable liquidity.
At 41.8 per cent, the bank's CASA ratio ranks among the best among private sector banks in India. As a result of the COVID-19 pandemic, the bank is better able to handle shocks thanks to its provision coverage ratio of 72.3%.
After the Yes Bank scandal, Indusind Bank saw big deposits from governments and corporations move to larger banks.
Despite this, it was still able to attract the migrated amounts back, citing a 15% YoY increase in the deposit base. The bank has been able to keep its NIMs at 4.2 per cent while slowing the rate of NPA generation (i.e. NNPA at 0.64 per cent).
So here we have covered all the best bank stocks to buy in 2022, few facts and figures might not be the same every time. Hence it's advised to do your stock market research about present bank stocks' prices before investing in any bank stocks.
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