Preeti Kapoor

        Bad Bank to be operational in January           Finance Minister Nirmala Sitharaman proposed to set up a bad bank in the recent Union Budget 2021 considering the ARC-AMC model. The purpose is to consolidate stressed assets into a separate entity Operational from January The bad bank provides dress up the balance sheet of the banking industry. They are set to start their business from the 2nd week of January.  What is Bad Bank? A bad bank is a bank that buys the bad loans of another financial institution. It is created to help banks clear their balance sheets by transferring their bad loans. Banks can focus on their core business of taking deposits and lending money. Set-Up India's bad bank is beginning to take shape. The government recently set up the IDRCL (India Debt  Resolution Company Ltd), an AMC (Asset Management Company) that will work in tandem with   NARCL (National Asset Reconstruction Company) to clean up bad loans. Is bad Bank Good? Bad banks would also give an

                                    Snapdeal to Soon File Draft Paper for IPO                                                                        Online marketplace Snapdeal is likely to file papers soon with India’s markets regulator SEBI (Securities and Exchange Board of India) for an initial public offering (IPO) Snapdeal is hoping to raise as. 1,250 crore rupees through primary share sale while the public issue will also have a secondary or OFS component of anywhere between Rs. 400 crore and Rs. 500 crore. Snapdeal has been focusing on segments like fashion, electronic accessories etc. The company was once a challenger to companies like Flipkart and Amazon India. Japanese investor Soft Bank may offload parts of its holding to trim its stake down to below 25%. Snapdeal founders Kunal Bahl and Rohit Bansal are unlikely to sell any shares in the upcoming IPO

                         The National Pension Scheme is a good scheme in terms of retirement planning. It makes your coming years safe. To have a regular source of income after retirement is possible through NPS.  NPS was started in Jan 2004 for government employees. It was opened for all categories of people in 2008. Proper planning is most important if you want regular income even after retirement. One of the best schemes is the NPS. You have to start at the age of 21 years. Your monthly investment will be Rs. 4500 You have to invest for 39 years till the age of 60 years. The amount at maturity will be Rs. 2.59 crore if an average annual return of 10%. You will get a pension of Rs. 51,848 pm. The account can be opened with 1000 rupees Two types of account can be opened under NPS Tier-1 and Tier-2 Tier-1= It is a retirement account Tier-2= It is a voluntary account, in which any salaried person can start investing on his own behalf. The contribution has already been reduced from Rs. 6

  ASM List Securities and Exchange Board of India and exchanges are taking various steps to protect the investors’ money. They review the situation and had come up with measures known as Additional Surveillance Additional Surveillance Measure ASM stands for Additional Surveillance Measures. ASM is the list of securities that are currently under surveillance due to price volatility, volume variation etc. It is an initiative by the Securities and Exchange Board of India. To check market manipulation SEBI put high-risk stocks under ASM List. It mainly focuses on enhancing market integrity and focuses on investors' security. High-risk stocks are placed under the ASM list. ASM Framework ASM list is released by BSE and NSE as per SEBI’s guideline under the ASM framework. The main objective of the ASM list is: ·          *      To be cautious the investors when they are dealing in the stock exchange ·          *      To advise participants to take reasonable steps while dealing in these s

  Financial Planning Thumb Rule   These thumb rules are very basic they only provide a general direction and may not necessarily give you the exact picture. These are broad guidelines and you may need to adjust them as per your requirement. The thumb rules for financial planning:   First rule The first rule of personal finance is “Pay yourself first”, i.e., your goals. It means that out of your monthly income save a certain percentage of amount for your goals.   Equity Allocation Many factors determine asset allocation. But the most common rule of thumb is used in the investment says equity percentage in the portfolio should be equal to 100 minus your age. So for a 40year old, 40 percent of your investments are in debt and 60 percent (100-40) in equity.   Emergency Fund An emergency fund is a must for any household. There’s no fixed rule on how much emergency cash one would need. Ideally, 3-6months of household expenses should be one’s emergency fund. Retire

 Investing in Indian Stock Market  Steps that help you to invest in the Indian stock market: Screening and filtering the right stocks using financials - Stock screening involves searching for companies that meet specific financial criteria. Value investors will not buy stocks of even the biggest of companies till their financial health is acceptable Select the companies that you understand - It is important that you invest in companies that you understand. Spend time studying the company and its sector. Look for companies with sustainable Moat - In business Moat means companies that have a competitive advantage. Companies with moats are sort of monopolies and it's difficult to compete with them. For example- Maggi has a strong brand name. Find low debt level companies - Debt-free businesses have numerous advantages and are a solid investment option. Debt-free businesses are unaffected by a slowing economy. These companies can provide superior returns. Financial ratios - Two financi

 RBI Retail Direct Gilt Account RBI Retail Direct Gilt Account allows retail investors to buy and sell government securities through the online portal. This scheme facilitates investment in government securities by an individual by opening a gilt securities account with the RBI. The account opened will be called Retail Direct Gilt (RDG) Account. RDG Account Under the scheme, investors would have to open and maintain the Retail Direct Gilt Account (RDG) with RBI. It allows individuals to buy government securities directly in the primary market as well as a secondary market. The online portal will offer an account statement showing transaction history and balance position of securities holding in the Retail Direct Gilt Account. Benefits It provides an offer for the long term. Government securities are risk-free. Retail investors can now easily participate. It helps in portfolio diversification. Retail Direct Account is completely free of charge. Investors can pick and choose specific bon