IPOs-Some Most Important Things to know about

WHEN ITS HOT AND FIREY!IPOs only and only come in hot and bull market. Why? So that they can obtain the highest price. MERCHANT BANKERS AIN’T YOUR FRIENDInvestors forget that Merchant Bankers are selling agents of the issuers. And many times they are also given extra fee for performance selling over and above fixed fee.Merchant/Investment banking is a cream business. So many are in race to get mandates for IPOs from issuer companies. They will do...

COMMON AND MUST TO KNOW TRADING RULES

Always have a trading plan. Never trade without a trading plan (a trading plan consists of a trading system which is made of few components) Never trade without a StopLoss (Repeat 10 times). Never ever hold on to a losing position. Never average/add to a losing position. (Repeat 10 times). Let your profits growing. Add to your winning trades. Trade on Rumors and Exit at news. But be care ful while following this strategy. Never...

HOusing Finance Counters: Update on Recommendation given on Behavioral Finance principles

Behavioral finance has just evolved in earlier part of this decade.Understanding of behavioral finance can help tremendously in investing; and so in trading and speculation as well.On 13 May, we reported in brief about the application of rule of behavioral finance in housing finance sector stocks. We talked about the ‘representative’ and ‘leadership’ bias. How small companies tend to follow the sector leader. We covered a sector with fewer listed...