Tomarrow Never Die

Search This Blog

Open Interest

August 23, 2022

Get link
Facebook
X
Pinterest
Email
Other Apps

Get link
Facebook
X
Pinterest
Email
Other Apps

Comments

Risk Measure and Beta ratio

What is the risk of holding a company’s share? That you would lose money, or earn lesser returns than you expected to. Measures of risk: The basic premise of capital markets and investing is that all investors are risk averse. All investors prefer to minimize risk and maximise returns. So, let’s assume a hypothetical case where you have two securities in your portfolio: HDFC Bank and Dhanlaxmi Bank. The risk levels of both the securities are the same, but the expected returns for HDFC Bank is 12% whereas for Dhanlaxmi Bank is 8%. Which one would you invest in? Naturally, in HDFC Bank. Now, let’s assume, the risk of investing in HDFC is slightly higher than before, would you be satisfied with the same amount of returns as before – 12%, or would you expected to be rewarded higher for assuming more risk? Yes, any investor would expect a higher return for taking on greater risk. But, how is this risk measured? And is it comparable with another firm from another industry? The total ri

10 mistakes in my 14 years of trading as an option seller 🧵

1. Staying neutral all the time. Majority of the years i have been a neutral option seller. I now realise that having a little sense of direction would have given me an added advantage with better utilisation of capital & also leverage (till the time it was available). 2. Too much importance on adjustments. Initially like most of the new option sellers, i had this notion that i can perfect my adjustment skills for any market conditions. Ofcourse i was wrong. Market is supreme & we need to respect it at times. 3. Not giving importance to greeks. For initial 6 years i didn't even know the existence of greeks. Since i started using them, option selling has become rather less complicated on the contrary of what most people believe. 4. Having too much confidence on the certainty of theta decay. Enough is said about it already. Theta decay is not an edge. 5. Giving equal importance to each day. Nearer to expiry has always been my most profitable days. Have given good share of l

Best retirement Plan – Apply for the post of Indian President

I pankaj kumar, hereby want to challenge the insurance companies in India, do u have any retirement plan like the People are planning for the post of The President. Every one is here is thinking Pranab Dada have work lot for the congress and he should retired in the garden. Congress never shy-up from paying the loyalty bonus. No insurance company will ever match with the loyalty what Congress is providing to its members(leader and worker).As I started with the Retirement plan so I should continue with that topic…just trying to correlate with Indian Polities. There is lot of retirement plan available in market but all plan are generally provided by some insurance company .One thing I would like to advise here ,If u are investing somewhere u want good return in future never invest in insurance company. Insurance company here is to provide insurance but as market demand they have to supply the customer need. So now, They have floated with lots of investment cum insurance plan. I met

Powered by Blogger

Open Interest

Comments

Post a Comment