To understand Strategic Asset Allocation, let us know what is Asset Allocation, first. In simple words, it is a process of distributing the investor’s savings among the various asset classes.

So, by definition Asset Allocation is allocating funds to different asset classes based on the risk appetite of an investor.

The two main principles are :

Let's discuss in-depth Strategic Asset Allocation. To read, the go-to link : https://www.elearnmarkets.com/blog/strategic-asset-allocation/

“DON’T PUT ALL YOUR EGGS IN ONE BASKET” – It means not to put all your efforts in one particular area because you may lose everything. This is a piece of common advice that is given to us at various phases of life, be it career choices, or when you start to invest. Here comes the concept of investing in dynamic asset allocation funds. We are always told to take a diversified decision. So when it comes to investment decision-making, we wish to invest in those funds which mitigate our risk with diversification and considerable returns.

Keeping this in mind, we will discuss one of the important portfolio management strategies i.e Dynamic Asset Allocation, which blends diversification and risk management strategy.

Farm loans are loans taken from the banks by the farmers for agriculture requisites and production. In a farm loan waiver scheme, the Centre or the state Government repays the loan to the banks on behalf of the farmers, simply by using public money collected in the form of taxes.

When there is a poor monsoon or natural calamity, farmers cannot repay their loans. The political party uses this problem during election time and promises loan waiver in their manifesto.

So, whenever there is a lethal combination of Drought, farmer suicides, and political uncertainty in India the topic of Farm loan waiver becomes the battlefield between opposition as 60% of the Indian population mostly bank on farming Income.

A loan waiver benefits individual farmers but on the other hand, it can gobble India’s growing economy and banking sector. Let's discuss Farm Loan Waiver – A temporary solution to a permanent problem.

The immediate impact of corporate actions is seen in the share prices.

So it is very important for us to understand the Corporate actions – Meaning and their calculations to help us in making investment decisions.

In our previous blog on How do Corporate Actions affect the Share Market, we discussed what are corporate actions and the purposes of corporate actions.

Also, we discussed the various types of corporate actions briefly. To read, go to link : https://www.elearnmarkets.com/blog/corporate-actions-on-financial-ratios/

The cyclical Industry is an industry that is sensitive to the business cycle of an economy. The revenues from the industry are generally higher in periods of economic prosperity and expansion.

So a cyclical industry is highly correlated to economic activity. Let's discuss the factors that drive cyclical industry.

The banking business is different from other businesses. So, we need to look at different parameters to perform basic banking stock analysis.

But, the basics will remain the same i.e., we will study the quality of the business through its numbers and other non-number parameters.

Banks’ primary business is to give out loans to different customers and charge interest on the loans.

Banks also have other fee-based businesses like credit card and debit card services, transferring money, insurance, mutual funds, etc.

One out of the many ways to generate revenue from the stock market is through day trading and thus finding the right trade becomes more crucial.

Day trading is a specific trading technique where a trader buys and/or sells a financial instrument multiple times over the course of the day with a motive to profit from small price fluctuations. However, day trading is essentially a high-risk investment strategy that requires a great deal of knowledge, a large number of funds, expertise, proper risk management, discipline, and technique to select the right trade that can generate profit.

One of the most pressing issues faced by traders is to find the right trade among thousands of stocks.

Let's discuss the points that may help traders to find potential right trades for the day. To read, go to link: https://www.elearnmarkets.com/blog/6-ways-to-find-the-right-trades/

Fundamental Analysis is the study by which we can determine stocks’ actual value by focussing on certain parameters which can affect a company’s business and its future growth prospects.

It teaches us how to evaluate a company based on its financial statements and what can you interpret from the same. The financial statements help to find the path to examine a company’s longevity and the factors affecting it. It involves a study of different factors which affect the economy, industry and company.

An investor is often confused in terms of which financial statements should be used to make investment decisions i.e. to analyze standalone vs consolidated financial statements or both.

Let us understand what is the difference between both and which should an investor analyze or are both equally relevant.

Investing in Life insurance companies may appear risky as these businesses consist of long-term products and services, and also require high initial acquisition costs.

Therefore, a financial statement that provides the current year’s realized income, with the entire acquisition cost charged upfront, provides an incomplete picture of value creation and profitability is what one should look at on investing in these companies.

So, we will discuss some key financial parameters that you can use to analyze Life Insurance (LIC) companies before investing in them.