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good.
in india small investor invest in mutual fund in open ended fund is best
Structured Products well explained to the understanding of layman. Can you extend this to Nifty 50 PR 2 x leveraged / inverse products ?
This is a nice article. Can you briefly explain the taxation with regards to Structured Products post the Interim budget announced on 10th August 2014, by the FM. Will the long term clause of 3 years will apply to listed debentures?
Our experience & feedback from clients leads us to believe that barring a handful of structures that have delivered +ve returns, most have merely returned their capital. If charges, inflation & opportunity cost were considered, they have actually delivered -ve returns!! Anyone tracking this segment would have noticed that most of these products are launched during periods of market excesses when option premiums tend to get elevated beyond their fair values. Further, in India, LEAPS (long term options) are not a very actively traded security, implying that buyers are often at behest of sellers who quote arbitrary prices to facilitate trade. The above factors, in our opinion, not only lowers the probability of gaining on the investment but also limits the potential gains. As such, we suggest that anyone planning to recommend these products should acquire at least a basic understanding of derivatives to enable them to evaluate these products and advise their clients better.
Good one this. It enhanced our delivery skills in this segment. Please publish more of these.
Its really good article
Concept explained with utmost clarify. I got 5/5 marks and I heard the concept for the first time. I shall be interested to promote the product and know the pioneers in this field.
understood the topic better