Kalpataru Multiplier Ltd.

investment

Everybody knows importance of Saving. Saving is a portion of ones income kept separately to meet certain specified and even unspecified purposes such as Construction of a house, Marriage, Higher education of children, Common and serious illness, Happy and worriless old age and retirement, repayment of loans for house building, purchase of Car, tours and travels, Provision for the family leftover after etc.

When this money saved is invested in any one of the various ways(Gold, Landed properties, Storing commodities Promissory notes, Hundi, Bank FD, Post-office Small saving schemes). It generate interest or dividend. One can say investment is to earn money from your idle money or resources.

Difference Between Saving And Investment

Though these two words sound like the same but they are not the same or synonymous. Saving is the money which you keep apart out of your total income before your usual and regular- routine expenditure, where as Investment is to put that saving in some financial instrument like MF or FD, so that amount should grow and earn money for the appreciation of your money saved.

Objectives of Investment

Behind every Investment there are three main objects

Safety
Return
Liquidity

To achieve these goals, the investment depends on certain factors, they are

Income of the investo
Age
Social status and life style
Horizon (Duration of investment)
Appetite ( Necessity )
Risk bearing capacity of the investor. (All of these should be effectively illustrated)

Modes of Investments

Broadly speaking, investment is of two types

Equity shares (Picture of share market)
Interest or dividend based fixed income investment, such as Mf, Bank FD, Post office small saving schemes (Picture and names of various MF, banks- cash window, client filling forms.)

Primary Market

IPO, FPO, Debentures, Convertible Debentures.

Secondary Market

Online buying and selling of equity shares of listed Companies in Stock Exchanges.

Groups of Companies

Cash group or A group; B group, LARGE CAP, MID CAP SMALL CAP

Internet Trading

With the advent of Information Technology, an investor is not required to go to terminal or the work station of the Broker. He can transact / trade/ buy/ sell shares from anywhere he is, i.e. City in India or abroad, house, office, car, train, plain, agricultural field or at his leisure.

Indices

SENSEX (30 ), NIFTY(50 )BSE(100), BSE (200), BSE (500) BSE AUTO,BSE BANKEX,BSE-CAP-GOODS, BSE-CONSU DUREBLES, BSE-FMCG, BSE-HEALTH CARE, BSE- METAL, BSE- OIL & GAS, BSE-PSU, BSE- IT SEC, BSE – REALITY, BSE-TECH, BSE- MID CAP, BSE- SMALL CAP

Indices introduced by ET (Economic Times)

LIFEX , BANKEX, MINDEX, Sectors- Core Sector includes Power, Cement, Steel, Infrastructure- Auto, Automobile, Banking, Beauty Products, Capital goods, Computer Software, Diversified, Chemicals, Electrical, Electrical Equipments, Energy (Thermal & Hydro), Engineering, FMCG., FMCG & Food, Finance (Industrial & Housing), Heavy Engineering, Hospitality& Hotels, IT, Logistics, Metals (Base & Bullion )., Oil & Natural Gas, Optional Energy, Pharmaceutical, Petrol, Power, Real Estates, Readymade Garments, Refineries, Road & Building construction, Shipping, Steel, Tele-communication, Textiles.