This is the archive of all articles and analysis related to the nature of stock market risk and reward
As per Finance Bill FY 2020-2021, a person who receives dividend income from stocks and mutual funds must add it to total income and pay tax as per slab. Does this mean investors should stop buying dividend stocks since a portion of it would be lost to tax?
Continue reading →The S&P MERVAL index has registered some astounding returns. Its 10-year SIP return is 36.68% (yes, that is annualized!) a 15-year SIP return of 30.25% and a 5-year SIP return of 30.06%. If you have wondered why the Indian and US stock markets have been moving up in spite of the pandemic, these returns from…
Continue reading →Readers may recall that the Nifty/Sensex moved up since Feb 2018 (until the crash this year) while the rest of the market moved down. We had reported that this market imbalance/inhomogeneity lead to an all-time high return difference between Nifty 50 vs Nifty 50 Equal-weight indices in Dec 2019 and also pointed out that Market crash…
Continue reading →The NSE has made several changes to its indices in its late-June portfolio reset. Notable are fives changes in Nifty Next 50, twelve from Nifty Midcap 100 and twenty-five from Nifty 500. Here is a selected listing.
Continue reading →If we look at the fall in Nifty from its early Feb 2020 levels it certainly feels like a crash. After all, we witnessed the biggest intraday fall that sent the 10-year Nifty SIP Return to 2.3%; 14-year SIP Return to 5% and we also saw the biggest intraday gain after 10Y and then a…
Continue reading →A 19% monthly return from the stock market without any background or context would seem something to cheer about. However with India at least weeks away from flattening the curve, the worst for stock investors is yet to come.
Continue reading →Many taxpayers trade in stock and commodity markets, both in intra-day as well as Futures & Options (F&O). In this article, we will discuss the various taxation related aspects of such trading including head under which the income is to be reflected, audit requirements, the applicability of Section 44AD etc.
Continue reading →We compare long term lump sum and SIP returns of Stocks vs Gold vs Bonds to find that 20-year Sensex Returns are now lower than Gold (perhaps for the first time)
Continue reading →The Sensex moved up the most today (7th April) after almost 11 years. However, this does not mean the crisis is over! An analysis.
Continue reading →How a two-year-long inhomogeneity among market segments was blown away in five weeks when stocks crashed!
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