NATIONAL SAVING CERTIFICATE

NATIONAL SAVING CERTIFICATE of India is one the oldest and most popular form of investment in India. As many people in Indian lock their hard earned money in NSC (National Saving Certificate) for long term and lock its interest too.

Earlier their was only one version of the NSC is available in this lock in period was for 6 years and rate of interest is around 8.6% and their is no partial or full payout in available before its maturity. That mean investors will get its principle plus its interest at the time of maturity only. The money was compounding on a half yearly basis. This is totally different kind of investment if we compare it with others like fix deposits , bonds, investing in stock market etc. In that we can take our money whenever we want.

But now Post Office has introduced two version of NSC (National Saving Certificate). So this gives investors wide options to choose as per their requirement and suitability. Once investors understood these two versions then its easy to choose NSC by investors. Here are the two version of NSC and how they are different from each other.

Now their are 5 years instrument and 10 year instrument. Rate of interest on 5 year NSC is 8.6% and for 10 years of NSC rate of interest is 8.9%. As both of the NSC have different lock in period, so the rate of interest is also different as per lock in period , the more the lock in the better the interest will be and min the lock in less the interest will be. So now investors will invest either for 5 years or 10 years. Other options like payment of maturity will be the same as we have discussed on the old version of NSC (6 years).

TAX BENEFIT is the major attraction of NSC (National Saving Certificate) , the amount invested in NSC is allowed as a deduction under section 80C of the income tax and this is part of the overall Rs. 1,00,000/- limit that is present. The amount that is reinvested can be added on the deduction figure which is actually benefit for investors. But the interest earned every year from NSC is actually taxable.

So NSC (National Saving Certificate) is suitable for all those investors who want to block their money for long term and looking for some tax benefits too. 

Some other features of NSC

• Scheme specially designed for Government employees, Businessmen and other salaried classes who are Income Tax assesses.
• No maximum limit for investment.
• No Tax deduction at source.
• Certificates can be kept as collateral security to get loan from banks.
• Investment up to INR 1,00,000/- per annum qualifies for IT Rebate under section 80C of Income Tax Act.
• Trust and HUF cannot invest.

Other article you might interested in reading Tips for Investing in IPO

For Investing in Indian Stock market visit link for share market tips

Importance of Media while investment in stock market.

We should consider a media sector in our research such as news media, TV media, Internet, more.  Media plays a very important role in day trading as well as in any kind of investment in stock markets. Most of the any stock rally's up or down, stock market plays a very important role in that. 

Because media flashes news in such a way that creates interest among investors that actually drives the stocks after all emotion is a driving force of a stock market. We all know that most of the times -ve news becomes +ve and +ve news becomes -ve and stock markets starts reacting in reverse trend and you stuck in your stock day trade position. That all because of media they flash news in such a may that creates interest among investors.

People who are investing their big money such as financial institutions, they have control over media. Media speaks the fat guys language & it is very imp. factor for mass hypnotism to change the trend of stock markets, psychology after all it's a people’s psychology who is working in the stock market. 

So the question is what these financial institutions are doing? First of all they accumulate a particular stock after that they upgrade that stock price and then many investors runs behind that and stock price starts moving upwards., and at that particular stage financial institution starts dumping their holding and then stock starts moving downwards.

It better to do research before to do any stock trading or day trading or even for penny stock investing. Your can visit link for free stock market tips. What does it actually means for investor? Avoid running for such stocks that upgrade or downgrade blindly, do your home work Before to do any kind of investments , do proper research if there is a enough room to go up or down then see is for worth for day trade or even for penny stock investing. 

200 days moving average plays a very important role because it gives as strong support and resistance levels. Financial institutions also sees for 200 MA,  That a reason you should consider looking for 200 MA. 

And always use technical analysis for getting support and resistance levels, that gives an idea where to exit or enter while investing in stock markets.

The media starts giving only the positive news when any institute upgrade any stock. The institution who moves a stock upward they have got good chance to book profit and after booking that profit stock starts moving downward media starts giving negative news and you get struck, and that turns in a big losses. So it better never follow blindly in stock markets, do enough stock research before to do stock trading, We are not saying not to buy that stock, but if you buy that stock book profit before the people and media attack.

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Investing in penny stocks

Investing in penny stocks

Its better to understand the difference between micro-cap stocks, blue-chip and mid-cap , before you start investing in penny stock. Penny stock investment are actually speculative investments, unlike to large cap or blue chip stocks like Reliance Inds, Reliance capital, SBIN or TATA STEEL, MOTORS.

Penny its self means small amount. Instead of large price they value is very call like Rs.1 to Rs.10. The best part of investing in penny stocks some times they do become madcap stocks and all investors who invested in penny stocks become very wealthy. With penny stocks some time they do have high price volatility thus they do give huge returns or losses.

Sometime this volatility in penny stock draws investors attention and they invest with huge volume which they can not invest in large cap due to high price value.Yes their are huge risk involve with penny stocks rather than buying bonds or mutual funds or blue chip stock, but on the other hand returns are very high in it. "NO RISK NO GAIN"

Most of the companies have huge loans due to that they tend to give more losses than giving profits. Their are so many ways one can make money from penny stock investments. Promotional Stocks , These issues may or may not have much actual value. Promoters generally create interest in these types of stock to move the price higher. Promoters generally have huge stake in co. share, so they tend to make more money as long as price is moving up.

 They sell their holding on such price move and generates profits. One they exit all their holding they leave all the investors behind and thus the price starts crashing. Without the help of promoter share price can not be improve. Because of such practice so many investors looses huge amount of their hard earned money. And

such horror stories are added in their life. It is very important to keep an eye on such penny stock before they actually starts moving up and doing so one can earn huge amount of money.

All those investors who ride before such moves by promoters, earned huge amount of money. Technical analysis - Some Investors usually take help from Financial Advisor who uses some technical analysis patterns

and predict such stock before they tend to rise. Moreover such advisors also published daily free share market trading tips , from which investors can take help and can invest in stock markets. Sometimes their are some situations when all technical indicators starts giving positive signals thus stock to trend higher and gives more money on investments.

Fundamental Analysis - It is also profitable to see fundamental of companies, sometimes just clearing of some long loans or some new orders gives huge returns for company and price trend to start moving up.

Instead of of talking only technical analysis help , it is good to take some fundamental analysis which will add some more confidence in investors while investing in penny stocks. Good management means good company and good company means good profits, so investors should look at those stock which have good management.

Sometimes Price of share dramatically. Some times these price decline have nothing to do with fundamentals and more to do with market weakness, interest rate increases e.t.c.Investors can use such situations to invest in these kind of stock because price not falling due to fundamentals. but just because of some overall stock news.

Investing in Penny stocks, sometimes companies change their names very frequently than blue chip companies, In such situations the share will be automatically gets replaces by company and notice will be send to you via mail of SMS. Some times stock exchanges de-list penny stock company. This means you can not sell or buy such shares.

and if the company does not get listed on another exchange then you have 100% loss on such investment.

This is a very rare occurrence,

Tips On Share.

Some tricks how to make money in volatile markets

Most of the investors think that volatile stock market has always been a curse for day trading and investors always looses money in volatile stock market. But their are two main strategies  that can help investors to make good money in Volatile stock market.

All investors in stock market have only one aim is just to make maximum profitable return from their investments.

If the market is showing long term stability, then making making money will take time too, But when market are volatile then prices moves very fast and daily market has new trend , in that investors need to be sit tight in front of screens and have to decide where to sell and where to buy to get maximum return from their investment.

If the market trend in the Indian stock market is bullish and by investing your hard earned money in a
single mutual fund over time you can make profits but this is a long process, and your will loose all short term gains which were done over the time that will boost your money, by playing in volatile markets

Volatile market gives lots of opportunity to make good money by buying and selling The first rule in a volatile stock market is to diversify.  This will reduce your risk. Investors should invest in different shares that can act as protection against other sectors. Its better not to put all you investment in one area/sector.

Invest in blue chip company's that always give good returns. Check the companies listed at Bombay Stock Exchange and National Stock Exchange and invest in such sector that has low risk profile and offers best returns. such sector is BANKS.

BANKS always give long term security, and allow you to cushion the rest of your investment.


Fast changing stocks such as those in the IT, TRAVEL, RAILWAYS, AVIATION sectors gives good return seasonally, but get hammered badly due to some international news or news related to govt. policies.
It is very important to see the long term trends of the markets that indicate short term volatility, and make your position accordingly to make maximum out of it.

e.g, the stock value of travel sector tends to rise in the 3rd quarter  when they have their most profitable seasons due to school holidays, while it will fall in the first, when demand is slack due to school exams.
Therefore, it is advisable to use this as a good stock tip is to use these seasonal variations to buy and sell in such sector.

Trading is stock market is very complex, but if one follows some simple trading rules then it is always
profitable to trade in stock market.

By following FREE share market trading tips , you will be able to make very good return from trading in stock markets

How to multiply Your Investments in the stock Market on Penny Stocks

How to multiply Your Investments in the stock Market on Penny Stocks

Penny Stocks are all time favorite for all kind of investors in stock markets. But to make best of it, There are few things you should consider before you invest in penny stocks If you have some doubts about investing in stock markets it better to clear it off as soon as possible before it too late.. It also better to take some good - advice from financial market advisors

Their are so many ways you can invest in stock market but you have to find and experiment
the best way to invest so that you can make best money out of it. Loosing a money in stock market is out of question... Because loosing means loosing lot of cash from your pocket. So in order to make best out of it you should know How The Stock Market Works

By this you be about to know how to multiply your investment from stock markets. Once you learn how to multiply your investment then you do not need to worry about your investments or holdings in stock markets.
There might be some times when you find that you have lost money in the stock market. Its better not to invest in stock market without knowing its consequences. If you think that now you can understand stock market very well then their is no problem investing in stock markets

It is also better to understand the mode of your investment... either it is short term or long term. If you think short term investment is good for you than you can go for short term or if you feel long term is beneficial then go for long term. Their are so many investors who try to get rid of such types of investments and prefer intraday trading.

Do you know the reason ? because such type of trading involves high risk of loosing money, so they try to
avoid such type of trading. Its better to study and research well to do such type of trading. so that you know what are the levels of risk in it. one should not be careless and efforts should be made to know the different types of  stocks that would make some good money in stock markets or you have be sorry for your mistakes later. Investor should learn to be patient ... You will see or might have seen many investors
who have lost so many money just because they can not patient when market is sharp up or
down move.

They always get influenced by their friends who are already ignorant about the market. Better avoid such type of practice to avoid loosing money in markets. You will be very happy to make good profits even from min investment Better try to be patient while investing in the stock market so that you can get
 hold of the right ones for you. You will be happy that you have taken the best step of holding right stock that gives profitable return to you

You can invest in market online, for that you better know the full concept of online investing
, if you do not know then better learn it to get maximum use of it. By putting the best foot at right time , You would be able to multiply your amount of money invested in  the stock market, if you take right step and that too at the best time possible. By watching business news channel where you can get to know all the stock market updates. It is best if you can know all the working and functioning of the share market.

So make sure that you try to know how to multiply your investments in the market on cheap penny stocks.

How to diversify investment in stock market?

How to diversify investment in stock market?

It is very imp. to to keep few thing in mind before you think of investing in stock market rather than being confident. Its very important to look at the market condition either its bullish or bearish , how much you want to invest in stock market and on which sector you want to invest in it.Its very easy to get your queries clear by finding answers of you query by doing some little research. It is also important that market conditions should be favorable so that investors get good return from a specific time frame he decides.

If you find that market conditions are good and expecting to be good then investors should invest some money in markets and get profits and exit.Investors also can get good knowledge by watching some business channels and business newspaper.Investors should be patient while investing in stock market, impatient investors generally loose more money in stock markets. Every sector requires different knowledge and different tact and conditions to invest, so its better to have good knowledge on it.

It is next to impossible to get good stock for investment without doing proper research on it.It better to take some time and see how market is behaving and you think conditions are favorable then you can go for some long/short term investments.Its always to understand the risk involve in every kind of investment either its intraday, short term , long term or positional. Its a simple rule in very kind of investments... "no risk no gain" if you can not take risk in market then it is very difficult to make money in stock markets.

You have to understand each and every concepts and also try to get the answer to the question, “How to diversify investment in stock market?” Its important to find the right source of investment .. their are so many places to get right source ... its actually important to find right financial advisor. No one want to loose money in share market while investing in shares. No investors can make money in share market if looses money by mistake.

Their are so many website which provides free share market tips on Indian stock market , from those markets you can get some trading tips which will help in your investment making decision. This will make you confident in stock market while investing in it. If you can able to find right advisor, then its really easy for you to find right stock for investment which automatically turns your investment in to money.

Online trading is the best option to invest in markets that actually make sense and save lot of time and money and trading makes for professional. Do not predict the market just because you want to and you have no knowledge , that will actually leads to losses only. Getting latest information from newspaper is not an bad idea , its a best source to gather info regarding stock market. By this you can get an idea when to invest in stock market or when to exit from it.

It better to make sure that you have right information from right source and avoid getting advice from friends because most of the time they turn in to losses only. Mistakes should be avoided at any cost as this would cost you a lot.

Thus you have now come to know “How can I diversify my investment in the market?”