Articles

Many new investors get confused between NAV (Net Asset Value) and the share price. However, these terms have different connotations, and to get a better understanding of the idea, let’s first know what NAV is in mutual funds.

The primary purpose of distinguishing between the coupon rate and yield to maturity is to clear the terms for people having limited experience in the financial sector. These two terms are considered major for managing and operating bonds.

Squaring off of positions is a salient feature of the derivatives market where the buy and sell positions are liquidated with an opposite trade i.e., sell and buy positions respectively. However, this feature is a little different in the commodity market from the stock market.

After the merger of FMC with SEBI, one can use the same account for trading in all asset classes namely stocks, commodities and currencies. So, to begin trading in Commodities, one can enable Commodity segment in the existing trading account or a new account can be created with a registered trading member or broker.

Crude oil—Black Gold֫—is also considered the mother of the financial market because of its diverse usage from fuel to petrochemicals to cosmetics

An introduction of options on commodities futures is another feather in the history of the commodity derivatives market of India. For traders and investors in commodities in India, commodity options are a blessing in disguise. Although commodities options and stock options are similar, there are three key differences between both of them: