How to invest in global stock market from India

 

Technology is aiding investors like never before. There are markets abroad where you can invest and reap the benefits of other countries’ growth and policies. Today, you can get the information about any company, fund, or any other investment assets on your computer immediately. SEBI has allowed Indian investors to trade in 24 global indices’ derivatives across the world. To get more details of the indices which you can trade in please visit the NSE web site (www.nseindia.com).

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Increase in EMI vs Increase in Tenure of Home Loan

 

 

The consistent hike in interest rates by Reserve Bank of India (RBI) has hit the home borrowers hard. Banks prefer to increase the tenure by a few months or years in order to accommodate the rate hikes than to increase the EMI. Borrowers also like increase in tenure than in EMI as their budget is fixed and any fluctuation in expenses will have wider consequence on their lifestyle. Banks also understand that raising EMI will only hurt them because of possibility of NPA.The recent hike was another blow to the borrowers. The RBI hinted that this could be the last hike.

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Taxation rules for bonus share and stock split

Companies pay dividends to share the earnings. They do it in two ways, either as bonus share (also known as stock dividend) or cash dividend. In case of cash dividend, cash is paid to the shareholders after the companies’ pays dividend distribution tax. However, the tax implication of bonus share is not so clear for many investors. This article will try to explain the tax implication and how it works in bonus share. We will also discuss the tax implication in case of share split.

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Investment in Silver

 

The citizens of the previously known “Golden Bird”, India, always believed in gold and depended on it in difficult times. Gold has found a very auspicious and elevated place in Indians’ psyche. This is the foremost reason why Gold prices usually go up in India. As per recent estimates, India and China are two highest Gold consuming countries in the world. Traditionally,Gold has been an investment asset and a reliable hedge against inflation. Adding Gold to one’s portfolio provides stability in returns that equities and mutual funds do not.

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Dealing with corporate governance issues

 

Corporate Governance issues have marred Indian corporate sector and stock market in recent times. There have been cases where promoters did not reveal the pledging of shares, involved in insider trading, and sometimes, siphoned off money. Pledging of shares and insider trading are relatively common events. Siphoning off money is very rare event.The only good part of such misdeeds is that SEBI comes up with stronger regulations but the bad part is that there will always be cases of bad governance which will hurt the stakeholders of the company; employees, shareholders, and customers.

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Fixed return investment options

 

Fixed rate schemes have regained its charm in last 2 years owing to a volatile stock market and dwindling growth numbers. Fixed rate provides safety of capital as well as returns. This is relatively safer investment than stocks and equity oriented mutual funds. For most of investors, fixed rate scheme means fixed deposits in banks and Government schemes. While banks and Government schemes are almost risk free, there are others which may expose investors to little risk but provide a better return. No scheme is better than the other. Investment always works on risk reward concept.

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