What is equity share . what is right public issue?
Answers: In finance a share is a unit of account for various financial instruments including stocks, mutual funds, limited partnerships, and REIT's. In British English, the usage of the word share alone to refer solely to stocks is so common that it almost replaces the word stock itself.
In simple Words, a share or stock is a document issued by a company, which entitles its holder to be one of the owners of the company. A share is issued by a company or can be purchased from the stock market.
By owning a share you can earn a portion and selling shares you get capital gain. So, your return is the dividend plus the capital gain. However, you also run a risk of making a capital loss if you have sold the share at a price below your buying price.
A company's stock price reflects what investors think about the stock, not necessarily what the company is "worth." For example, companies that are growing quickly often trade at a higher price than the company might currently be "worth." Stock prices are also affected by all forms of company and market news. Publicly traded companies are required to report quarterly on their financial status and earnings. Market forces and general investor opinions can also affect share price.
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IPO – Initial Public Offering
Public issues can be classified into Initial Public offerings and further public offerings. In a public offering, the issuer makes an offer for new investors to enter its shareholding family. The issuer company makes detailed disclosures as per the DIP guidelines in its offer document and offers it for subscription. Initial Public Offering (IPO ) is when an unlisted company makes either a fresh issue of securities or an offer for sale of its existing securities or both for the first time to the public. This paves way for listing and trading of the issuer’s securities.
IPO is New shares Offered to the public in the Primary Market .The first time the company is traded on the stock exchange. A prospectus is issued to read about its risk before investing. IPO is A company's first sale of stock to the public. Securities offered in an IPO are often, but not always, those of young, small companies seeking outside equity capital and a public market for their stock. Investors purchasing stock in IPOs generally must be prepared to accept very large risks for the possibility of large gains. Sometimes, Just before the IPO is launched, Existing share Holders get a very liberal bonus issues as a reward for their faith in risking money when the project was new
How to apply to a public issue ?
When a company floats a public issue or IPO, it prints forms for application to be filled by the investors. Public issues are open for a few days only. As per law, any public issue should be kept open for a minimum of 3days and a maximum of 21 days. For issues, which are underwritten by financial institutions, the offer should be kept open for a minimum of 3 days and a maximum of 21 days. For issues, which are underwritten by all India financial institutions, the offer should be kept open for a maximum of 10 days. Generally, issues are kept open for only 3 to 4 days. The duly complete application from, accompanied by cash, cheque, DD or stock invest should be deposited before the closing date as per the instruction on the from. IPO's by investment companies (closed end funds) usually contain underwriting fees which represent a load to buyers.
All the best :)
equity shares are the shares which carry voting rights...They do not carry a fixed rate of dividend...their dividend depends upon the volume of profits available for distribution..They get high dividend when the company makes good profits but they do not get anything when the profits are inadequate.They do not get their dividend or refund of share capital before preference share holders are paid....
I dont have much idea about Public Issue...
public issue means to offer the general public shares so dat they cn subscribe fer it
there r wo kinds of shares preference and equity shares
both are considered company's share capital and provide basis fer ownership
preference share holders always get dividends whereas equity share holders mite or mite nt gt it!
How to make money from share market?
Answers: If you are actively involved in share market and have constant access to change in prices, you can invest directly else I suggest go for Mutual Funds instead which employ experts for your job.
invest in index
last year 1 lakh invested has given 1.5 lakhs.
this year you can expect atleast 1.3 lakhs.
don't be day trader.
You must try this sites:
http://broker-valas.blogspot.com/
http://youbet-on-market.blogspot.com/
many methods depends on ur risk, target & capital
more on my blog
You can learn a lot about investing in the stock market by doing some research online. Here are a few sites to get you started.
trade2win.com
traderuniverse.info
investopedia.com
Be aware that most traders loose money starting out, use caution an start out small.
Also have a look at the Stock Trading Robot here
http://ebookdirectory.com/stocks
i work in bpo sector apart from work i study,i am really interested to invest money in share market ,but didnt know when ,where and how? so i need a brief about the market information and develop more opportunities as an individual
What are the charges that are imposed by banks to open a DMAT acc.?...do a unused DMAT acc. charged?
Answers: The charges vary from bank to bank. It can be from 500 Rs to 2000. The best thing would be to contact the bank for more info. Reliance nowadays is offering free demat accounts.
Demat account is for free. There is no charge for it. But all brokerage houses have trading account (through which you place order) which is chargeable by brokerage firms.
The fee is different for different firms. Few are listed below.
ICICIDirect => 700
IndiaBulls => 1000
Sharekhan => 200
5paisa => 500
This may not be updated one. Check with the resp firms for exact figures.
Apart from the opening charges, brokerage is also applicable on each transaction you do.
There is no charges to open a DEMAT a/c in banks like ICICI
bank , HDFC bank,. ...etc, but required you have savings account with them.
To open Demat a/c : Free
Annual Charges : Rs.500/-
Unused demat a/c will also charge.
If dont want annual charges, u can open account with Stock brokers like India infoline, Networh. There no annual charges. Just pay charges for Transactions.
If want first u directly contact with them.
ICICI BANK:
http://www.icicibank.com/pfsuser/demat/d...
HDFC BANK :
http://www.hdfcbank.com/personal/account...
http://www.hdfcbank.com/personal/account...
you have to pay opening fees ranging from rs 250 to rs 700 depending upon the dmat provider.
After that u pay annual maintence charges. these are normally rs 200 to rs 250 depending on the service provider. the charges are the same for people who use the account or for those keep the account with zero balance of shares.