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Debt Equity Investment

Mutual Funds, Shares, and Derivatives- What is Common, and What is Different.

Whenever, we talk of investments, the most common instruments which come to mind are Mutual Funds, Shares or Derivatives (Options and Futures). Despite all having the same underlying asset, ie Shares, all the three sub classes are unique in their characteristics. And therefore they demand different treatment. It is a great folly when we tend […]

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Debt Equity Investment Retirement Savings

Understand Your “Why?” of Investment, Before Deciding on the “Where?”

There are a couple of golden single word questions which are life’s best teachers. Some of these are What ? When ?, Why ?, Where ?, Who ? and How ?. Today we will discuss the “Why? and Where?” of Investments. We mostly do everything with a purpose and that is same with financial activities. […]

Categories
Debt Equity

Look Before You Leap- Are You measuring Risk before Investing ?

While discussing financial issues we tend to use the two terms, Risk & Return mostly together. This is because we need to base all financial decisions on balancing Risk and Return. While we understand and measure return easily, we tend to presume the understanding of Risk without making much effort towards measuring it. Further we […]