October 6, 2022

ISFM
Stock Market

What Is Iron Condor Strategy In Stock Market

Everyone want to earn from stock market but only few people are able to do it.  People are not earning from market not because of sufficient capital but it is consistency required to earn. We can not predict market 100 %, Never it is impossible to predict. Weather a person trading he will earn or not  from stock, it is depend how much he is earning when he is right and what he is losing when wrong. ISFM – Best Stock Market training institute in Gurgaon continuously working to prepare new tool to earn profit irrespective of market conditions. Today we are going to discuss “IRON CONDOR” strategy to earn on daily basis from trading. Market Outlook : Moderate Bullish Volatility : Medium Formation : – Sell ATM Call + Buy OTM Call + Sell ATM Put + Buy OTM Put Risk : Limited Reward :  Limited Underlying Assets :  Nifty 30th Jan 2020 Future Explain with Real Example : – Current Nifty price is 12377 as on Friday closing. We are moderate bullish on Nifty but bearish on Volatility. We think market will go upside up to 12450 level only, so we will sell 12350 call option at 109 rupees and buy 12450 call at 59 Rs. However we save 50 Rs in this spread by doing 2 transactions. Another side we will sell ATM Put option of 12350 @ 83 Rs and We will buy 12250 Put at 49 Rs. to hedge our risk to safeguard from unlimited loss. And in second transaction we are saving 34 Rs. Overall, We are saving 84 Rs. By applying all transactions, that called IRON Condor.

ISFM
Stock Market

Top 10 Stock to buy on Diwali 2020

Diwali a festival of light and enlighten everyone by love, joy and happiness in life. ISFM Best Stock School in Gurgaon wishing you in advance a very happy and prosperous Diwali to you and your family. On the auspicious occasion we want to give a new height to your portfolio by adding to top  10 stock on Diwali 2020. Everyone want to achieve financial freedom in life buy only few people are able to do this who understand money in right way. We must know the passive income concept in life and implement it whatever is possible for us. There are best 3 way for passive income. Rent Income – Possible only when you have have millions in your bank account because of big ticket size and less liquidity. Multilevel Marketing ( MLM – Chain System ) – MLM in India don’t have clear guidelines so that this business is facing regulatory issue in our country. Investors are facing fraudulent issues by so many companies and their belief is changing day by day. Stock Market – A well regulated and growing market but need gem of knowledge and wisdom. You need 3 P formula to earn here. P – Paisa – Without money this market is nothing for you. P – Patience – Patience is great jewels to stay here. P – Preparation or well aware about what is happening around you. Selection of stock is very important because of vast choice in market. A 2 minutes intraday mistake can be a long term investment for you. Trading is full time job but investment is part time, So you need to decide very carefully who are you. Disclaimer : – All the content is only for educational purpose kindly consult with expert before actual investment. ISFM is not responsible for any kind of loss.

stock market investment course
Stock Market

What Is ESG Investing?

ESG stands for Environmental, Social and Governance. ESG Investing (also known as “socially responsible investing,” “impact investing,” and “sustainable investing”) refers to investing which prioritizes optimal environmental, social,  and governance (ESG) factors or outcomes. ESG investing is widely seen as a way of investing “sustainably”—where investments are made with consideration for the environmental and human wellbeing, as well as the economy. It is based  on the assumption that the financial performance of organizations is indirectly affected by environmental and  social factors. Looking at global trends, the United Nations Principles for Responsible Investment (UNPRI) has reported an increase of 26% in ESG assets in 2021, as against 22% in 2019. By March 2021, 601 signatories (asset owners) of the UNPRI group managed more than $121 trillion. The global inflows in sustainable funds have increased by 88%, in which Europe has accounted for almost 80%, followed by the United States, Asia (excluding Japan), Australia/New Zealand, Japan, and Canada. ESG investing in India has been steadily gaining popularity in the last five years, but the efforts made for this purpose are at an amateur stage. It has been estimated that inflows in ESG mutual fund schemes in India have increased by 76% in 2021, increasing from Rs 2,094 crore to Rs 3,686 crore in 2019-20. In addition to this, in 2020, India’s large asset management companies (AMCs) have launched schemes that have a clear focus on ESG aspects. In the stock indices too, the sustainability themed index NIFTY ESG 100 has outperformed the NIFTY 100 between 2020 and 2021. Further, anticipating stable, long-term risk-adjusted returns, pension funds too have started integrating the ESG factor. Why ESG Investing : – The companies that rank high on ESG factor are the ones which are doing well by doing good. The question investors should ask is whether high ranking ESG companies actually make money and whether that translates into creating wealth for shareholders. In other words, any investor who is focusing on ESG investing strategy has to identify if the ESG investing strategy performs better than non-ESG strategies. If we look at performance on bourses for some of the companies such as EKI Energy, which is a pre-eminent brand in the realm of “climate change, carbon credit and sustainability solutions” across the globe aspiring to render strategic solutions for helping businesses and organizations to achieve their climate ambition, it is more than impressive. EKI Energy shares have risen by more than 8300 per cent in just one year and the stock continues to gain in every trading session. The company has a simple objective: To rehabilitate earth to a low carbon and climate resilient global economy. Kotyark Industries is yet another example of a company that tends to benefit from the ESG investing trend and is turning out to be a multibagger. companies that stand to gain from carbon credits will remain robust.  Says Mohit Jangir from Jaipur, an investor and founder of Investing Hut, “From my years of experience of equity investing, I have realized that investor should be focused on three things while identifying market beating companies – 1. Business, 2. Team and 3. Valuations. The trick is always to find a good business with right set of management team and the stocks should be available at reasonable valuations. Once you identify such a company, then it is only a matter of holding on to such stocks with patience and conviction. When it comes to ESG investing, my thoughts are clear. ESG -ve sectors such as oil & gas, metals & mining, and power generation (non- renewable), which contribute significant GHG emissions and have social implications, are more sensitive to the ESG metrics. ESG +ve sectors, companies which are working in sectors such as IT, electric vehicles, clean energy, green chemicals, waste management, etc., can be considered while investing in the ESG framework. Investors should take an optimistic view in the long-term on consumer discretionary, clean energy/green hydrogen, APIs (selective). Manufacturing sector is expected to grow aggressively owing to the government support. Opportunities in Semiconductor Industry : – Semiconductors are manufactured in a fabrication plant (also called a fab or foundry) of a factory. Fabs require machinery which are very expensive. Integrated circuits, transistors, solar cells and other computing materials would not exist without semiconductors. Because of this, semiconductor materials have a significant impact on the computing and electronic industry. Adoption of Artificial Intelligence (AI) and Internet of Things (IoT) will be the major factor to accelerate industrial adoption of semiconductors in use of new technologies.  Opportunities @ Airbag manufacturers  : – The Government of India has made it compulsory for the automobile industry to increase the number of airbags in cars. This has given a push to the airbag manufactures as well as companies supplying raw materials used in production of airbags. The three main companies that manufacture airbags are Bosch, Minda Industries and Rane Madras. The materials used for manufacture of airbags are nylon and sodium azide. The major producers of nylon are Century Enka, Aym Sintex and SRF. The second material needed to produce airbag is sodium azide and the major player in this space is Alkali Metal.  Conclusion  : – Clearly, the investing themes that are emerging for 2022 and beyond are ESG, ethanol, digital AI, semiconductor and EV. For investors, zeroing on opportunities in these growth areas can be a daunting task as the valuations are already stretched for most of the stocks. Also, excessive optimism can play a spoilsport while investing in these new sector stocks. It is possible that poor quality stocks from these trending sectors have already gone up and that can lead to underperformance. Looking at the emerging investment themes, we have handpicked our top bets for 2022. Borosil Renewables Ltd Praj Industries Ltd.    Tata Motors Ltd.   Rane Madras          Disclaimer : –  This post in only for educational purpose, kindly take expert advise before investing real money in to market. ISFM – Best Stock Market School is not responsible for any kind of risk.

ISFM
Stock Market

How to Invest in Overseas Market

Mostly Indian investors happy to investing in domestic markets and avoid to invest in oversea market only few are enthusiasts and know the potential of the global markets, led by the US, surging during the post-pandemic recovery, investors were attracted towards them, both for returns and diversification benefits. During this period, certain domestic mutual funds, led by Parag Parikh Flexi Cap Fund, that maintained a steady international exposure provided superior returns. This also helped increase interest in the Indian investor about overseas investing. There are 3 major way to invest in foreign market for India citizen : – Indian International Mutual Fund Directly with Foreign Brokers GIFT City Way Via International Mutual Funds : – The most convenient route for investing overseas is international mutual funds. These funds helps million of investor to easy entry in foreign stock and provide professional expertise, instant diversification and ease of operation. These funds help investors to gain exposure not just to US equities but also to other geographies, such as Japan, Europe, China, etc. International funds are the best way to invest overseas for a majority of investors. They don’t entail the hassles of direct overseas investing. That means you don’t need a separate account and hence there is no additional paperwork. You can invest in them just like you would invest in any other fund. You invest in Indian rupees only and the currency conversion is taken care of by the AMC. Institutions get better rupee conversion rates than individual investors do, so that’s an added advantage. Further, you don’t have to worry about any LRS limits. There are no transfer charges. Buying and selling is easy, as you would do in any other fund. The only cost involved is the fund’s expense ratio. Via Foreign Brokers : – You can invest in overseas equity by opening an account with a foreign broker, such as Interactive Brokers and Saxo Bank. You can either approach the foreign broker directly or through an Indian broker or fintech firm that has a tie-up with a foreign broker. Indian bro- kers like ICICI Direct, HDFC Securities and Kotak Securities facilitate investing in US stocks. Both ICICI Direct and Kotak Securities have a tie-up with Interactive Brokers. HDFC Securities has a tie-up with Stockal. The web- sites of these Indian brokers answer most of the things that you would like to know about these direct accounts. Via GIFT City : – First of all you have to know What is GIFT City. Gujarat International Finance Tech (GIFT) City is a global financial and IT services hub which is being developed in Gandhinagar, Gujarat, to provide financial services to non-residents and resident Indians. What is GIFT IFSC ? Operationalized in April 2015 by the Indian government, International Financial Services Centre (IFSC) at GIFT City aims to make India a hub of international financial transactions, majority of which currently happen outside India. It plans to do so by providing a liberal tax regime for 10 years and a strong regulatory and legal environment, with an international dispute- resolution mechanism through Singapore International Arbitration Centre. Though the initial objective of GIFT IFSC was to provide a platform for getting investments into India, it has been further extended to facilitate resident Indians to invest overseas. The International Financial Services Centres Authority (IFSCA), established in April 2020 under the IFSCA Act, 2019, is a unified authority for the development and regulation of financial products, services and institutions in IFSCs. NSE IFSC : – NSE IFSC is currently testing out the investment process in an ‘innovation sandbox’ environment, initiated in March 2022, for a duration of nine months with the number of investors limited to 10,000. Rather than owning direct shares, here you invest/trade in NSE IFSC receipts, which are nothing but ‘unsponsored’ depositary receipts (DRs). These DRs are issued in a ratio such that they represent the ownership of one under- lying share of a particular US stock. For example, 50 DRs of Apple are equivalent to holding one share in the company. Thus, through DRs, one can invest in the fraction of a share. These DRs can be traded exclusively on NSE IFSC. HDFC IFSC Banking Unit (IBU), which has been appointed as the custodian in the current sandbox environment, will be creating the DRs. In turn, HDFC IBU has appointed Deutsche Bank AG, New York branch, as the US custodian. Whenever you buy NSE IFSC receipts on the exchange, HDFC IBU will instruct the US custodian to own the underlying shares as underlying assets. The US custodian will maintain a pooled account for holding these underlying shares. It will not maintain separate accounts for each of the receipt holders. NSE IFSC receipts will be traded in US dollars. They will be issued and governed as per the Indian law and will not be registered with, or governed by, the US Securities and Exchange Commission (SEC). However, the US custodian is regulated and authorised to pro- vide custody services to its counterpart HDFC IBU by the SEC and other US-based regulatory mechanisms. What is the Process to invest in overseas market : – All the transactions on the exchange are facilitated by brokers the same way you trans- act in other Indian securities. To get started: 1) Open your trading and demat account with an NSE IFSC registered broker. 2) Transfer funds from your Indian bank account to NSE IFSC registered brokers’ bank account. 3) Once the funds are credited to your broker’s account, you can invest in US stocks through NSE IFSC receipts. 4) The settlement cycle is T+3 (trading day plus three days). This means that receipts bought and held overnight can be sold only after three days and money from the sale will be available for use only after three days. Currently, NSE IFSC has 34 registered brokers. In the sandbox phase, only 50 select US stocks have been permitted for which the DRs can be issued and traded. Since NSE IFSC receipts are new financial instruments,

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