Investoplan

Q1. What is fundamental analysis? Answer: Fundamental analysis is the detail evaluation and analysis of the entity’s financial statement. It provides the information regarding the entity’s operation. With the help of financial analysis tools, one can easily forecast the company’s future. It gives the bird’s eye view of the performance and growth of an organization. Q2. What is a fundamental analysis of the stock? Answer: Apart from the technical analysis as we have discussed earlier, fundamental analysis is the detailed study of both macroeconomic and microeconomic factors that affect the company’s share price in the secondary market (i.e. stock exchanges).  In order to determine the fair value of the shares, we have to calculate the intrinsic value of the shares. Various fundamental analytical tools help an investor to determine the intrinsic value of the stocks. Q3. What are the major components of the fundamental analysis? Answer: Fundam...

Q1. What is the stock market? Answer : In a layman term, Stock market is just similar to any Grocery market. The only difference is: In the Grocery market, you purchase and sell grocery items while on the stock market you transact on equities. Q2. Who regulates the stock market? Answer : Stock markets are regulated by the nation’s various stock exchanges. Further, these stock exchanges are regulated and monitored by a separate regulatory authority. Like in the USA, the regulatory authority is SEC (Securities and Exchange Commission). Q3. What are the instruments that are traded on stock exchanges? Answer : Generally, on most of the stock exchanges the following financial instruments are traded: •    Equities, •    Commodities, and •    Derivatives ·          Options ·          Futures In some stock exch...