FAQ – SHARE MARKET

What is a share? In finance a
In simple Words, a
By owning a share you can earn a portion and
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. 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. 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. 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. Quick Facts on Stocks and Shares  Owning a stock or a share means you are a partial owner of the company, and you get voting rights in certain company issues  Over the long run, stocks have historically averaged about 10% annual returns However, stocks offer no guarantee of any returns and can lose value, even in the long run  Investments in stocks can generate returns through dividends, even if the price What are active Shares ?
Shares
market analysts would define
What is a Demat Account? active shares as those which are bought and sold at least three times a week. Easy to buy or sell. The term Demat, in India, refers to a dematerialised account. For individual Indian citizens to trade in listed stocks or debentures the Securities Exchange Board of India (SEBI) requires the investor to maintain a Demat account. In a demat account shares and securities are held in electronic form instead of taking actual possession of certificates. A Demat Account is opened by the investor while registering with an investment broker (or sub broker). The Demat account number which is quoted for all transactions to enable electronic settlements of trades to take place. Advantages of Demat The demat account reduces brokerage charges, makes pledging/hypothecation of shares easier, enables quick ownership of securities on settlement resulting in increased liquidity, avoids confusion in the ownership title of securities, and provides easy receipt of public issue allotments.
It also helps you avoid bad deliveries caused by signature mismatch, postal delays and loss of certificates in transit. Further, it eliminates risks associated with forgery, counterfeiting and loss due to fire, theft or mutilation. WHAT IS NET ASSET VALUE ? The Term
The value of a collective investment fund based on the market price of securities held in its portfolio. Units in open ended funds are valued using this measure. Closed ended investment trusts have a net asset value but have a separate market value.
Value or purchase price of a share of stock in a mutual fund.
IPO – Initial Public Offering
An initial public stock offering (IPO) referred to simply as an "offering" or "flotation," is when a company (called the issuer) issues common stock or shares to the public for the first time. They are often issued by smaller, younger companies seeking capital to expand, but can also be done by large privately-owned companies looking to become publicly traded.
Primary and secondary markets
There are two ways for investors to get shares from the
In primary and secondary markets. In primary markets, securities are bought by way of public issue directly from the company. Secondary market share are traded between two investors. PRIMARY MARKETMarket for new issues of securities, as distinguished from the Secondary Market, where previously issued securities are bought and sold. SECONDARY-MARKET
To explain further, it is Trading in previously issued financial instruments. An organized market for used securities. Examples are the New York Stock Exchange (NYSE), Bombay Stock Exchange (BSE),National Stock Exchange NSE, bond markets, over-the-counter markets, residential mortgage loans, governmental guaranteed loans etc. The market where securities are traded after they are initially offered in the primary market. Most trading is done in the secondary market. KAUSHIK BASU NEW CHIEF ECONOMIC ADVISOR Kaushik Basu is the new chief economic advisor in the finance ministry, with the rank of a secretary to the government of India for a two-year term. He will assist Finance Minister Pranab Mukherjee in formulating broad policies for the Indian economy & play important role in Economic Survey for the current fiscal.

INDIA'S SHARE IN GLOBAL FDI IS 2.45% India's share in the global Foreign Direct Investment has almost doubled to 2.45 %

ONGC PICKS UP STAKE IN IRAN GAS FIELD, LNG PLANT  In a major breakthrough, Oil and Natural Gas Corporation (ONGC) on Tuesday signed agreements to pick up stake in a giant gas field and a liquefied natural gas (LNG) plant in Iran, which also awarded the rights to develop a gas discovery it made in the Persian Gulf two years ago.  ONGC Videsh Ltd. (OVL) and the Hinduja Group signed agreements to take 40 per cent interest in the $7.5-billion, Phase 12 of the gigantic South Pars gas field. 

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Mr. Hinduja said in the Iran LNG project his firm would have 10 per cent and the remaining would be shared by ONGC/OVL and Petronet. Also, the two, along with Petronet LNG, would get 20 per cent of Iran LNG’s project that will convert the gas from South Pars Phase-12 (SP-12) into liquefied natural gas for exports. The Indian companies will get up to 6 million tonnes or 60 per cent of the liquefied gas that Iran LNG will produce in return. Net Asset Value (NAV) is used by investment companies to measure net assets. It is calculated by subtracting liabilities from the value of a fund's securities and other items of value and dividing this by the number of outstanding shares. Net asset value is popularly used in newspaper mutual fund tables to designate the price per share for the fund. NAV per share is calculated by dividing this figure by the number of ordinary shares. Investments trusts can trade at net asset value or their price can be at a premium or discount to NAV. NAV is calculated each day by taking the closing market value of all securities owned plus all other assets such as cash, subtracting all liabilities, then dividing the result (total net assets) by the total number of shares outstanding. in which there are frequent and day-to-day dealings, as distinguished from partly active shares in which dealings are not so frequent. Most shares of leading companies would be active, particularly those which are sensitive to economic and political events and are, therefore, subject to sudden price movements. Some