Dividend yield is a reliable indicator of a company’s valuation. A high dividend yielding stock represents good cash flows from business operations, supports higher return on equity, and the management’s commitment towards its shareholders. As a result of higher cash flows, dividend yielding stocks tend to be less volatile and hence, less risky. The current…
India seems to be on the path to recovery and now it remains interesting to see how the Reserve Bank of India (RBI) responds to the GDP growth numbers. It would be too early to say that the economy is out of woods, but -7.5% GDP growth in Q2FY21 is better than expected. Agriculture was…
Franklin Templeton has moved the Supreme Court which it said will ensure an appropriate implementation of the law in the best interest of unitholders. Earlier the Karnataka High Court had ruled that Franklin Templeton (FT) cannot go ahead with the winding up of the schemes without obtaining the consent of a simple majority of the unitholders. It…
A healthy financial sector is an important indicator of economic growth and the backbone of any economy. As India progresses from a developing economy to a developed economy, the financial sector will have a crucial role to play. In India, the penetration across financial products remains very low as compared to other nations, which provides…
When the equity markets was expected to go through a prolonged bear phase amid the pandemic’s impact on the economy, investors witnessed a dramatic turnaround as the markets reached all-time highs. The steady rise in equity market has been backed by vaccine hopes, improvement in consumer sentiments, government stimulus, among other factors. Market movement is…
Behavioural bias such as confirmation bias, optimism bias, loss-aversion bias, and recency bias can affect investment decisions. Due to these biases, investors often deviate from rational decisions. A Rule-based investing sets aside assumptions, sentiments, intuitions, and impulses to avoid pitfalls of behavioural bias as well as minimize ‘Greed’ and ‘Fear’. Quant Fund is a fund…
The dramatic market recovery from the March lows is a pleasant surprise for all investors, including the seasoned institutional investors. The Nifty 500 — an index which represents approximately 95% of the free-float market capitalization of Indian markets — has generated 70.3% returns since its March lows. Graph: Going up from strength to strength Data as…
Do good and good will come to you’ This quote aptly captures the essence of Environmental, Social and Governance (ESG) investing. A company that is responsible towards its environmental, social and governance footprint can be expected to grow sustainably. Nowadays citizens are growing more aware about their responsibility towards environment and society. It is likely…
The equity markets have soared to all-time highs even as the pandemic continues to ravage the economy. Though there is improvement in business and consumer sentiments ever since the economy started to unlock after months of strict lockdown, it could be a while before a total recovery sets in. Notably, there are various stocks/sectors that…
Amidst the on-going coronavirus pandemic, the Indian equity market hit an all-time high (12,938.25 points on Nifty 50 on November 18, 2020). Rise in economic activity after COVID-19 restrictions were eased and the pent-up demand during the festive season, indicatively pushed India’s economy on the road to recovery (after a sharp GDP growth contraction of -23.9%…
