LEARNING


Moneylife Digital Team 02 June 2014
Followed by Modi wave, Indian stock markets surged up in last few weeks, as usual the business channels has spread the 'noise' by bombarding 'free expert advices.' Know the truth behind the noise, says Ajit Dayal of Quantum! Over the past few weeks since Narendra Modi lead Bhartiya Janta...

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ETFs do provide safety, diversification and an enviable track record. However, besides cost and diversification, investors have to be careful as to exactly what asset classes and strategies the ETF represents One of the world’s most celebrated investors doesn't seem all that optimistic...

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Moneylife Digital Team 04 February 2014
A recent research paper, based on a survey of chief financial officers (CFOs), shows how widespread the practice of misrepresenting earnings is Window-dressing of accounts is a common practice in the corporate world nowadays. With the pressure to report improved earnings every quarter,...

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Dr Nupur Pavan Bang  and   Prof Vikram Kuriyan 28 January 2014
Risk management models used by professional investors often assume that securities can be traded infinitely. When liquidity dries up, especially in a systemic way during periods of crisis, it becomes very expensive to trade "When there is rain, umbrellas become expensive. But when there...

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Moneylife Digital Team 23 January 2014
Connections with top officials help firms earn excess returns It is an old secret that being connected to a powerful politician or a bureaucrat can be beneficial. But it has now been established, empirically, through  a piece of economic research by the department of economics of the...

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Moneylife Digital Team 23 January 2014
Frequent mention about stocks leads to higher volume and positive returns, finds a new study With the proliferation of the financial media, both televised and print, questions abound about how financial news affects stock prices. Many have assumed that financial news plays a big role in...

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Moneylife Digital Team 08 January 2014
Not one among the market experts could forecast the sizzling US stock rally of 2013. All were way off the mark, including Goldman Sachs, Merill Lynch, HSBC and Morgan Stanley All ‘market strategists’ got their year-end forecasts for the New Year wrong in 2013. But human beings will...

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Since commodities are cyclical in nature, one must aim to buy these stocks at, or below, replacement cost which gives us some margin of safety While choosing to invest in companies that manufacture commodities, like cement, steel, paper, sugar, chemicals, etc, not much effort is needed....

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Moneylife Digital Team 28 November 2013
Investing in Lego toys, a new sub-culture, has given impressive returns. Should you invest in Lego? Many people devote considerable free time to pursuing hobbies. Several devote time to collecting things like stamps, coins, maps, etc. Some of these pursuits turn out to be serious hobbies...

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Moneylife Digital Team 28 November 2013
Increased frauds lead to dwindling investors, as pointed in past by Moneylife. New academic research underscores this The increased frequency of frauds, mis-selling and frequent lapses in regulation have caused the number of retail investors in India plummet to just over 800,000....

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Does India’s retail sector offer great opportunities or is it too much of a hype? “India is a consumption story.” “The organised retail market will grow beyond imagination.” “A country with over 120 crore people is catered to only by around 10% of ‘organised’ retail.” These are the...

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Investors depend on financial data but there are distortions of information throughout the financial world.  Numbers, like anything else, can lie Any investor invariably becomes a ravenous consumer of financial information. Much of that information comes in the form of numbers. Hundreds...

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Moneylife Digital Team 14 November 2013
An academic paper has given further evidence that timing matters in investing though it doesn't say much about investing styles Time and place of investment have a significant impact on investment performance. This is especially true for Indians because several investment products...

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Akshay Gupta 06 November 2013
Major expenses are mostly pre-planned. If they are unplanned, they may cause a deeper hole in our pocket that may be difficult to stitch quickly unless you follow simple and basic principles of investing throughout A major expense may not only set us back financially but also...

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Moneylife Digital Team 30 October 2013
According to a groundbreaking research, it is nearly impossible to impart financial literacy the traditional and make it stick. What then is the right way? The importance of financial education is obvious. We spend most of our lives doing something that will fetch us money. It makes...

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Shareholders today are no more enlightened than they were earlier about a set of accounts if the management really intends to cook the books to make them untrue and unfair Financial Technologies, National Spot Exchange Ltd (NSEL) and MCX Ltd are three names that are in the news for...

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Moneylife Digital Team 16 October 2013
Financial Planning is crucial in order to save enough for retirement. However, a survey reveals that most investors are optimistic despite not having any financial plan or goals The purpose of financial planning is not just to keep expenses in check and improve financial security but...

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Moneylife Digital Team 03 October 2013
Swedish households pay, on average, one-tenth of what older US households pay for medical and long-term care The whole purpose of retirement planning is to have enough money to live comfortably in retirement and even splurge occasionally. At the same time, after retirement, you’re

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Moneylife Digital Team 03 October 2013
In the US, the concept of ‘fee-only’ advisors who don’t sell products for commissions, has already got corrupted One of the biggest issues for financial consumers is that financial intermediaries do not care much about clients’ interests. Rather, they work for big companies to sell...

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Moneylife Digital Team 23 September 2013
Little do investors and savers know how much of an impact daily expenses make to their retirement kitty. A recent research paper offer profound findings that have otherwise stumped academicians for a long time How do we know how much we will need for various expenses at various stages of...

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