Way to Finance Education fees

Ways to Pay Education Fees from Borrowed Funds:- 

1. Education loan, 
2. Personal loan 
3. Credit card. 


Interest rates

Be Aware of Money Frauds ans Scams

Check that your money goes directly to investment

When using a financial adviser to invest your money, you must be sure that the investment you choose – such as a unit trust or money market fund – is recognised by the Security Exchange Board of India  and that your money goes directly into your chosen fund and not into your adviser’s bank account.

Check your Credit Card Statements regularly

Recent widespread scams have involved small, unauthorized charges on credit cards that are easily overlooked by cardholders.“Scammers hope that consumers will overlook the small charge on their monthly statements or not review the statements at all,

Consumers should closely review their monthly credit card statements. If you find an unauthorized charge on your statement, immediately contact your financial provider (using the number on the back of the credit card) to report the fraud and to request a new card.

Save your Money from Ponzi Schemes

“People often compare a Ponzi scheme to building a house of cards. It must collapse eventually. “

 Charles Ponzi was an early 20th century Italian immigrant to the United States. Ponzi invited people to invest in International Postal Reply Coupons. He promised extremely high returns. All he really did was take investors' money and deal out small payments to earlier investors. All told, Ponzi cheated his victims of $10 million

Unknown Tips before Investment in Shares

Investing is serious business. You should take it seriously. After all market favour the intelligent.

Do’s

Invest in Knowledge:

Why do we need financial literacy ?

Financial literacy is the process by which investors improve their understanding of financial markets, products, concepts and risks. Through information and objective advice, they develop the skills and confidence to become more aware of financial risks and opportunities and make informed choices to improve their financial position.
Financial education primarily relates to personal finance, which enables individuals to take effective action to improve overall well-being and avoid distress in financial matters.
Financial literacy goes beyond the provision of financial information and advice. It is the ability to know, monitor, and effectively use financial resources to enhance the well-being and economic security of oneself, one’s family, and one’s business.

Before Investing Know All About Provident Fund

Provident Fund benefits

Purpose: To provide a lump sum amount to the employee at the time of retirement or permanent disability.

•       The contribution which shall be paid by the employer to the Fund shall be 12% of the basic wages and dearness allowance.

•       The employee’s contribution shall be equal to the contribution payable by the employer in respect of him and may, if any employee so desires, be an amount exceeding 12% of his basic wages and  dearness allowance

•       The employer shall not be under an obligation to pay any contribution over and above his contribution payable.  

Dos and Don't of Investment

ISSUE OF SECURITIES

DOS
Read the Prospectus/ Abridged Prospectus and carefully note:

1. Risk factors pertaining to the issue.
2. Outstanding litigations and defaults, if any.
3. Financials of the issuer.
4. Object of the issue.
5. Company history.
6. Background of promoters.
7. Instructions before making application.

Learn Accounts : e - Study Material of Accounts

Following e- Study Material is available for Sale   (Soft Form) to learn Accounts:-

Please send your e mail to  casatbirgill@gmail.com for the study material to learn accounts.

1. Accounting -An Introduction
2. Accounting Concepts
3. Accounting Conventions and Standards

To read the Topics Click the Topic

How to Evaluate Corporate Finance Project

Before Investing in the Company or before evaluating a Financial Project one must do his home Work

Here are the certain questions for which answer must be sought before putting your valuable asset i.e money into any New/ existing brown field project.

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Techniques of Financial Statement Analysis

Business

It is an interrelated system of financial resources movement that is activated by the management decisions.

Management                                                          

It is the art of asking significance questions. The process management is a series of economic choices that activates movement of financial resources connected with business.

To Read More Click heading:

Franchising

Franchising

 A marketing system revolving around a two-party agreement, whereby the franchisee conducts business according to the terms specified by the franchisor 

 Franchisee

   An entrepreneur whose power is limited by a contractual agreement with a franchisor

Franchisor

The party in the franchise contract that specifies the methods to be followed and the terms to be met by the other party 

The 20 Fastest-Growing Franchises in 2003

To read more Click Heading

How can I do business on the web?

How can I do business on the web?

Essentially, doing business on the Web can be broken down into five main requirements.

• On-Line Store

The obvious requirement is an on-line store, or commerce-enabled Web site where goods or services can be described and selected.

• Payment Processing

While it is possible to run an on-line store without accepting on-line payments, this is cumbersome and rarely successful. Accepting on-line payments is therefore essential - and at the moment this means credit cards.

To Read more Click Heading:-

Success Quotes

What counts is not the number of hours you put in, but how much you put in the hours.
— Unknown wise person

After my spectacular failures, I could not be satisfied with an ordinary success.
— Mason Cooley

To Read more Click the Heading " Success Quotes"

Personal Finance Tips

Savings

There are different reasons to save, and different approaches depending on what you are trying to achieve. One overall savings goal is to put money away for a rainy day; anything from health related problems, for repairs to a house or car, or an interruption to employment. Most experts say to put three months salary away to cushion life's little emergencies.

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GOLDEN RULES OF MONEY MANAGEMENT

> Put a broad limit to regular expenses so that they do not go out of control.
> Look at various payment options such as zero-interest EMI while buying a valuable item.
> Do not hesitate to ask for discounts and complementary services.

Most Common Money Mistakes

Passing Up Tax Breaks

Small investors often look only at the return an instrument is giving them, and overlook how taxes take a bite out of those returns. Morningstar figures that over the 74-year period ending in 2010, investors who did not manage investments in a tax-sensitive manner gave up between one and two percentage points of their annual returns to taxes.

What to do:  Click on the Heading

Deflation

Term of the Day - deflation
A decline in general price levels, often caused by a reduction in the supply of money or credit. Deflation can also be brought about by direct contractions in spending, either in the form of a reduction in government spending, personal spending or investment spending. Deflation has often had the side effect of increasing unemployment in an economy, since the process often leads to a lower level of demand in the economy. opposite of inflation.

Overseas securities

Overseas securities pricing gets easier
Publication:Economic Times Delhi;
Date:Nov 28, 2008;
Section:EFM;
Page Number:7

Our Bureau NEW DELHI THE government on Thursday loosened rules covering the pricing of securities issued overseas by Indian companies in a move which is seen helping corporates and underwriters in difficult stock market conditions. The finance ministry said it has changed the rules so that companies can price their overseas securities to reflect the most recent value of their shares in the local market: it will now be at least an average of the highest and lowest price of the share in the two weeks preceding the decision to raise capital abroad. Earlier, it was the average share price covering the preceding two months or six months, with the higher of the two prices being the floor price for the overseas issue. The new regulation covers shares issued by Indian companies in the US and Europe as well as convertible bonds denominated in a foreign currency. Overseas investors have pulled out a record $13.5 billion from Indian stocks so far this year, causing the benchmark Sensex index on the Bombay Stock Exchange to drop by 56%. This contrasts with the sharp rise in stock prices last year, when foreign investors bought a record $17.2 billion. Introducing more market-driven rules will help generate greater interest among underwriters, besides helping the companies, the head of the Indian unit of top European bank said. Underwriters pay the share issuer in advance and assume the risk of selling the securities to investors for a profit. Another rule which required share issuers to not count the 30 days preceding the decision to raise capital has been scrapped. Aimed mainly to prevent price manipulation in the domestic market, the rule is seen as not relevant in a bearish market

Commercial paper’s back

Commercial paper’s back after Oct break
24 Nov 2008, 0000 hrs IST, Gayatri Nayak, ET Bureau

MUMBAI: With more liquidity released into the system on account of lower cash reserves (CRR), banks’ treasury desks have become more active and
investments have come into focus again. Besides buying government bonds, banks, for the first time, after the liquidity crunch in October, have invested over Rs 7,000 crore in commercial papers (CPs), mutual funds (MFs), bonds and stocks. Ever since the central bank has adopted an accommodative stance by reducing CRR — the portion of cash banks need to compulsorily park with the Reserve Bank of India — in early-October, non-statutory liquidity ratio investments, which are generally guided by commercial consideration, have risen by over Rs 7,000 crore since early-October, from Rs 91,120 crore as on October 10 to Rs 98,170 crore a fortnight back. Since the beginning of 2008-09 until mid-July, banks were actually offloading CPs, corporate bonds, MF schemes and stocks to generate liquidity. Though they have gradually hiked their exposure in these assets since mid-July, investments rose sharply only in the latest two fortnights, particularly in CPs and MF schemes. While they picked up CPs worth Rs 6,034 crore, their MF investments rose by Rs 7,535 crore in the latest fortnights. Data suggests that banks are totally shunning corporate bonds and are going slow on stocks. Though there is no clear cut explanation for this trend, a section of the market says that banks have promised to pick up CPs from cash-starved MFs in order to provide them an additional window of liquidity support. MFs are among the biggest subscribers to CPs that are issued by corporates and NBFCs for a tenure ranging from seven days to up to a year at the prevailing market rates. These are tradable and a bulk of the investments, which are believed to be secondary market purchases by banks. While primary issuances are said to have slowed in the past few weeks. On the other hand, banks, flush with funds after the central bank cut the CRR by about 300 basis points until November 7, 2008 as they now have to park less with the central bank, are now said to be investing their surplus funds in liquid MF schemes, waiting for attractive lending opportunities. Bank investments in government bonds (25% of the deposits mobilised) need to be mandatorily parked with the central bank as SLR, which had dipped to around Rs 10,000 crore a fortnight between August 1 and October 10, have gone up to nearly Rs 45,000 crore a fortnight between October 10 and November 7, 2008.

risk premium

Term of the Day

Investing: (1) Difference between a risk-free return (such as from government bonds) and the total return from a risky investment (such as equity stock). (2) Additional return or rate of interest (above the market interest rate) an investor requires for investing in a proposition or venture. Also called price of risk.