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Stock Market Cycle: Design your perfect portfolio

What is stock market cycle? Stock market cycles  is generally a cyclic pattern that is related to the long term price changes in the stock market.These are closely related to the general business cycles.Every trader needs to know about the stock market cycles to predict the price behaviour of various stock while trading. These cycles form the basis of technical analysis that help to form trading strategies for various investments . Learn to build a portfolio A portfolio is a collection of investments owned by the investor.These may be cash and cash equivalents and tradable securities like stocks and bonds.Through a risk return pofile,an investor can develop an asset allocation strategy.  Selecting from various asset classes and investment options, the investor can allocate assets in a way that achieves optimum diversification  while targeting the expected returns. The investor can also assign percentages to various asset classes, including stocks, bonds, cash an...

Why do Stock Markets Exist?

Why do Stock Markets Exist? And Why is it So Important? A stock market is a public market where people can buy and sell shares on the stock exchange. The stocks, also known as equities, represent ownership in the company. Stock markets have existed for centuries.  The oldest stock exchange was started in Belgium back in 1531 . The brokers and moneylenders used to meet there to deal with the businesses. However, they never used actual stocks but traded in promissory notes and bonds. Later, the Amsterdam Stock Exchange was established in 1602 by the Dutch East India Company and regarded as the first real stock exchange. Since its inception, stock markets have served many purposes, the most important being to provide companies with a source to raise capital for investment and expansion. Why do stock markets exist? Stock markets exist to serve the wider economy. It helps individuals earn a profit on their income when they invest in the stock market and allo...

Why You Need to Know The Rule of 15*15*15?

When the newbies enter the world of investing, one of the biggest questions that they may face is ‘how much’ and ‘how long’ should they invest? Enter the rule of 15*15*15. In this post, we are going to discuss what is the rule of 15*15*15 (and the rule of 15*15*30) and how it can help you to make your investment decisions. The rule of 15*15*15 The rule of 15*15*15 says that if you invest Rs 15,000 per month in an investment option which gives a return of 15% (CAGR), for a consistent period of 15 years, you will build a final corpus of Rs 1,00,00,000 (One crore). Here, SIP Amount = Rs 15k per month CAGR =15% Time horizon =15 Yrs Final corpus = Rs 1 Cr (Source:  SIP Calculator) Interestingly, your total invested amount is equal to just Rs 27 lakhs. However, over the time period of 15 years, you will build a total wealth of Rs 1 Crore. Rule of 15*15*30 The rule of 15*15*15 gets even better when we double the ‘time horizon’ keeping all the o...

7 Powerful New Year Resolutions For Equity Investors

A new year always excites everyone. It’s a time for the people to make different personal and professional resolutions like to learn how to swim, join the gym, travel abroad, learn martial arts, create a new blog/youtube channel, learn a new language, maintain a journal etc. Personally, I’ve always loved new years and enjoyed making plans for the next year. This time also I’ve made a few resolutions. On the top of the list is to travel all the 29 states and 7 union territories in India by the end of 2019 (Spoiler alert: I’ve already been to +20 entities). Anyways, stock investors are ordinary people and hence, they also like to make resolutions for their new investing journey. However, if you an equity investor but do not have made resolutions for the new year yet, then we’ve got you covered. In this post, we are going to discuss seven powerful new year resolutions for equity investors. All these resolutions are designed to make you a better investor by the end of the calendar ...