Equity represents ownership in a company acquired through contribution of capital,
which is required to set up or run a business. This capital is raised through issue
of shares to the public or a group of private persons, where each share represents
a proportion of the stake on the assets and profits of the company. These shares
are either bought directly from the company through an offer, or traded (bought
and sold) on the stock exchanges.
For the investor, equity offers numerous benefits such as:
to company’s profits: The holder of a company’s equity or shares is entitled to
a share of profit in the company. This share of profit is received through dividends.
- UProfit through
value enhancement: A shareholder can also make profits by selling the shares on
the stock exchange at a price higher than the purchase price.
- UHigh Returns:
Even though equity is a risky asset, returns on investments in equity are known
to beat inflation in the long-term, and thus help in wealth creation.
- UTax Benefits:
Investment in equities offers several tax benefits. For example, Long Term Capital
Gain from Equity is exempt from taxation. Also, the dividend received by an investor
through equity shares is exempt in the hands of the investor
An investment vehicle that is made up of a pool of funds collected from many investors
for the purpose of investing in securities such as stocks, bonds, money market instruments
and similar assets. Mutual funds are operated by money managers, who invest the
fund's capital and attempt to produce capital gains and income for the fund's investors.
A mutual fund's portfolio is structured and maintained to match the investment objectives
stated in its prospectus.
WHY SHOULD I CHOOSE MUTUAL FUND AS AN NVESTMENT OPTION?
- UAccess to
Professionally Managed Portfolios
benefit- General rule of investment for both large & small investors.
of Scale – Mutual Funds are able to take advantage of their buying & selling
size & thereby reduce transaction cost.
Ability to get in & out with relative ease.
Option to invest as low as Rs.500-1000/-pm.
- UTax Benefits.
Cost Averaging-Systematic Investment Plan (SIP) gives investors an advantage
of averaging their cost of investment.
- USEBI Regulated-
All the Mutual Funds are registered with SEBI & functions with the provisions &
regulations that protect the interest of investors.
Initial public offering (IPO) or stock market launch is a type of public offering
in which shares of a company usually are sold to institutional investors that in
turn, sell to the general public, on a securities exchange, for the first time.
Through this process, a privately held company transforms into a public company.
Initial public offerings are mostly used by companies to raise the expansion of
capital, possibly to monetize the investments of early private investors, and to
become publicly traded enterprises.
A company selling shares is never required to repay the capital to its public investors.
After the IPO, when shares trade freely in the open market, money passes between
public investors. Although IPO offers many advantages, there are also significant
disadvantages, chief among these are the costs associated with the process and the
requirement to disclose certain information that could prove helpful to competitors.
The IPO process is colloquially known as going public.
Futures & Options
In finance, a futures contract (more colloquially, futures) is a standardizedforward
contract which can be easily traded between parties other than the two initial parties
to the contract. The parties initially agree to buy and sell an assetfor a price
agreed upon today (the forward price) with delivery and payment occurring at a future
point, the delivery date. Because it is a function of an underlying asset, a futures
contract is a derivative product.
Contracts are negotiated at futures exchanges, which act as a marketplace between
buyers and sellers. The buyer of a contract is said to be long position holder,
and the selling party is said to be short position holder. As both parties risk
their counterparty walking away if the price goes against them, the contract may
involve both parties lodging a margin of the value of the contract with a mutually
trusted third party. For example, in gold futures trading, the margin varies between
2% and 20% depending on the volatility of the spot market.
The first futures contracts were negotiated for agricultural commodities, and later
for natural resources such as oil. Financial futures were introduced in 1972, and
in recent decades, currency futures, interest rate futures and stock market index
futures have played an increasingly large role in the overall futures markets.
The original use of futures contracts was to mitigate the risk of price or exchange
rate movements by allowing parties to fix prices or rates in advance for future
transactions. This could be advantageous when (for example) a party expects to receive
payment in foreign currency in the future, and wishes to guard against an unfavorable
movement of the currency in the interval before payment is received.
All Resident Corporates, Individuals are now permitted to participate in the currency
future market. As an established player in financial services industry, we have
added one more service in our continued effort to provide all the possible investment
avenues for our clients. We have recently launched trading platform for currency
future with NSE.
Now our clients can stay update on live quotes of currency futures as well as start
trading from our currency future trading desk. Our dedicated currency trading desk
provides regular updates for trading as well as arbitrage opportunity.
How Currency future trading helps?
- UIt provides
a different trading platform where one can hedge & trade FX exposure.
- UThis market
provides better transparency & pricing.
- UOne can hedge
& mitigate FX risk while trading in commodity market.
- UA new Asset
class which was not earlier permitted for trading to all Indian residents
CCPL’s Depository Services offer dematerialization services to individual and corporate
investors as a Depository Participant with the National Securities Depository Limited
(NSDL). With a highly experienced team of professionals, backed with sophisticated
technical support, and a national network of franchisees, we ensure quality and
convenience in our service. CCPL’s online depository service offers you a paperless
and cost effective way to hold your investments, not to forget the elimination of
handling physical documents. We understand that security is of utmost importance
and therefore we have invested in various safety measures and protocols that ensure
your demat account is secure and every transaction is executed only after its authenticity
THE VARIOUS SERVICES PROVIDED BY CCPL ARE:
Dematerialization of Shares
Rematerialization of Shares
Maintenance of beneficial Holdings
Electronic Credit against Corporate Actions
SMS alerts on all transactions