Let's dive into Markets. Markets are actually the places where the original transactions occur. Financial markets enables to borrow based on the ability to earn in the future. Interest rates determine every value of the market. When there is a change in interest rates there will be change in everything. Interest rates were determined by the central banks. Central bank charges the other banks of the nation with a interest rate called as Bank Rate, this is often calculated on basis percentage points. Increased interest rates decreases the borrowing capcaity and in turn it decreases the net spending ability of the individual or a company. Whereas the negative interest rates takes money out of the system. Central bank should carefully devise the perfect plan for maintaining a balance in the interest rates. Government introduc...
A famous man once said " Money is the sixth sense that can buy you the remaining five ". The best definition for finance can be said as follows: 'Finance is allocation of money for its most productive use'. The more we get used to the financial related terms the more we get the confidence in working with the finances. We feel more and more comfortable to discuss about these concepts with friends, family and community people. Let's talk Money. When dealing with money in a financially awaken manner we get more confidence on how to use it, how to spend it, how to invest it, how to reinvest it and how to manage it. It is needed by an individual as a core quality to be succesfull in his life. Every theory needs to be concretised with the practice. "An ounce of practice worth more than a tonn of theory". We can enhance basic problem solving skills relating to finance with these 3 simp...
STOCKS: Stock is a group of a shares of any company. The listed company raises capital through the public offerings of the shares. The profits that the company gets will be distributed at a ratio to the shareholders. The price they get for their shares is dividend. Company can pay dividend at a time or interim.
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