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Blog by PriyaSahu

What is the role of sustainability-linked KPIs in mutual fund investments?

By PriyaSahu - Comment(s)

Sustainability-linked KPIs (Key Performance Indicators) in mutual fund investments help measure how well a company or fund is performing in terms of sustainability goals like reducing pollution, using clean energy, or improving social impact. These KPIs help investors know if a company is ...

What is the role of swap rates in forex trading?

By PriyaSahu - Comment(s)

Swap rates in forex trading are the interest rate differences between the two currencies in a currency pair. When you keep a forex trade open overnight, you either earn or pay a swap based on this rate. Swap rates play an important role in deciding the cost or profit of holding a trade ove...

What is the role of swap rates in forex?

By PriyaSahu - Comment(s)

Swap rates in forex represent the interest rate difference between two currencies in a currency pair. When traders hold a position overnight, they either pay or receive swap charges based on this rate. Swap rates help manage costs, risks, and carry trade opportunities in forex tr...

What is the role of swaptions in institutional portfolio management?

By PriyaSahu - Comment(s)

Swaptions are used in institutional portfolio management to manage interest rate risks. They give the option, but not the obligation, to enter into an interest rate swap. This helps institutions like banks, mutual funds, and pension funds to protect their portfolios from sudden rate change...

What is the role of synthetic long and short positions in derivatives trading?

By PriyaSahu - Comment(s)

Synthetic long and short positions help traders in derivatives trading to mimic buying or selling an asset without actually owning it. These positions are created using a mix of options and futures contracts. They allow traders to benefit from price movements and manage risks more smartly.

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What is the role of tape reading in short-term trading?

By PriyaSahu - Comment(s)

Tape reading is used in short-term trading to watch real-time price movements, volumes, and order flows to understand market direction. Traders use this technique to make quick decisions about buying or selling stocks based on how prices behave in the moment.


What is the role of tax-loss harvesting in investment strategies?

By PriyaSahu - Comment(s)

Tax-loss harvesting is a smart way to reduce your tax bill by selling investments that are making a loss. These losses can be used to offset profits you made on other investments. It helps lower your overall taxable income, and you can reinvest the money into similar assets to stay investe...

What is the role of TDS (Tax Deducted at Source) in mutual fund withdrawals?

By PriyaSahu - Comment(s)

TDS (Tax Deducted at Source) is applicable on mutual fund withdrawals only in some specific cases. From April 1, 2023, if you withdraw money from a mutual fund where dividends are paid or if it's a non-PAN linked account, TDS may be deducted. For capital gains, TDS is not deducted for resi...

What is the role of technical analysis in day trading?

By PriyaSahu - Comment(s)

Technical analysis plays a key role in day trading as it helps traders make quick decisions based on price charts, patterns, and indicators. It helps identify entry and exit points by studying the stock's short-term movements. Day traders rely on these tools to earn profits within a single...

What is the role of technical analysis in determining when to buy or sell stocks?

By PriyaSahu - Comment(s)

Technical analysis helps traders and investors decide the right time to buy or sell a stock by studying its past price movements and volume. It uses charts and indicators to identify trends, support-resistance levels, and market signals. This helps in making smarter decisions instead of gu...

What is the role of technical analysis in mutual fund investing?

By PriyaSahu - Comment(s)

Technical analysis in mutual fund investing helps investors understand price trends and entry or exit points by studying charts and patterns. While mutual funds are usually long-term investments, technical analysis can help investors choose the right time to invest, switch, or redeem based...

What is the role of the 200-day moving average in stock trading decisions?

By PriyaSahu - Comment(s)

The 200-day moving average is a popular indicator used by traders to understand the long-term trend of a stock. If the stock is trading above the 200-day average, it signals a strong and positive trend. If it is below the 200-day average, it shows weakness. It helps traders decide when to ...

What is the role of the Accumulation/Distribution Line in trading?

By PriyaSahu - Comment(s)

The Accumulation/Distribution Line (A/D Line) helps traders understand if a stock is being accumulated (bought) or distributed (sold). It combines both price and volume to show the real market direction. If the A/D Line is going up, it means strong buying pressure. If it’s falling, it mean...

What is the role of the Arms Index (TRIN) in market sentiment analysis?

By PriyaSahu - Comment(s)

The Arms Index, also known as TRIN (Trader’s Index), is used to measure overall market sentiment. It compares advancing and declining stocks along with their trading volumes. A TRIN value below 1 indicates bullish sentiment, while a value above 1 shows bearish sentiment. It helps traders u...

What is the role of the Aroon indicator in identifying market trends?

By PriyaSahu - Comment(s)

The Aroon indicator helps traders identify the beginning of a new trend and the strength of an existing trend in the market. It shows how recently the highest high or lowest low occurred in a given period. This helps traders understand if the market is trending upward, downward, or moving ...

What is the role of the Association of Mutual Funds in India (AMFI) in compliance?

By PriyaSahu - Comment(s)

The Association of Mutual Funds in India (AMFI) plays a key role in ensuring mutual fund companies follow all rules and regulations set by SEBI. AMFI promotes ethical practices, protects investors' interests, and makes sure the mutual fund industry in India works in a fair, transparent, an...

What is the role of the Average Directional Index (ADX)?

By PriyaSahu - Comment(s)

The Average Directional Index (ADX) is a technical indicator used to measure the strength of a market trend. It does not show whether the trend is upward or downward—it only shows how strong the trend is. Traders use the ADX to decide whether to follow a trend or stay out of the market dur...

What is the role of the Baltic Dry Index in commodities trading?

By PriyaSahu - Comment(s)

The Baltic Dry Index (BDI) helps traders and investors understand the cost of shipping raw materials like coal, iron ore, and grains across the world. It is a key indicator in commodities trading because it reflects demand and supply for shipping, which is closely linked to the movement of...

What is the role of the Bank for International Settlements (BIS) in forex?

By PriyaSahu - Comment(s)

The Bank for International Settlements (BIS) plays an important role in the global forex market by acting as a central bank for central banks. It helps in maintaining financial stability, supports international monetary cooperation, and provides important data and analysis on the forex mar...

What is the role of the binomial options pricing model?

By PriyaSahu - Comment(s)

The binomial options pricing model is used to calculate the fair price of an options contract. It works by breaking the time to expiry into small intervals and simulating possible future prices of the underlying asset. This model helps traders understand the potential value of an option in...

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