Ipo and Stock Market

Primary Market
Initial public offering (IPO)
A future public offering (FPO)
Right issue (RI)
A private placement
A qualified institution placement
Offer document
Draft offer document
Red herring prospectus
Abridged prospectus
Letter of offer
Abridged letter of offer
Period" lock
Promoter of a company:
Fixed price offer:
Book building

THE KEY CONCEPT OF SHARE MARKET

1. Learn share broker track record and services.
   
2. Only deal with registered share brokers
   
3. Instead of cash transaction do banking transaction only.
   
4. Insist to take contract note.
   
5. Listen to tips but don't follow them blindly.
   
6. Don't think that it one of your friend or relative has earned very well in share market so you are also suppose to each good
   
7. Understand the fundamentals of the company before the purchasing any shares.
   
8. If you will think shares market is a gambling game, than it will make you a gambler only, but if you think it's a systematic investment & wealth creation will make you a success investor.
   
9. Share market is sensitive understand the sensitivity risk property.
   
10. Investment is an art. If you don't understand it, take the help of professionals but along with it keep expand in your understanding.
    

NEVER PUT ALL OF YOUR EGGS IN ONE BASKET

• The most important rule of investing properly is not lose the money that you've started with! This might seen obvious, but it is amazing how many people's trading strategies don't look at managing risks.
• There is some form of risk involved in every kind of investment. Risk management means taking active that will significantly reduce the likelihood that you could lose the money you have invested.
• One of the first things that you can do to reduce your risk diversify. You may be familiar with the term "diversification". When talking about investment, this really means spreading the risk.
• If you have all of your money in one stock you have more possibility of losing it all, imagine if that one stock unexpectedly goes down. Even before you could sell the shares you own, you may have lost a major portion of your investment.
• On the other hand if you had taken the same amount of money and spread it over four different stock, it is unlikely that all four shares will fall dramatically at the same time. This is especially true if you make sure that the stock are in different industries.
• So how can you put this idea into practice? By creating a simple first rule in your trading plan that you will risk in any one investment.

For example, if you have Rs.10,000 to invest, then you may wish to create a rule whereby you never put more than 10% into any one shares. This means that you would not invest any more than Rs.1,000 that way if a particular stock goes bad, the most you lose is Rs.1,000.

Whether you know it or not, you have just introduced the concept of "money management" into your trading plan. "money management" means using rules to protect your money regardless of whether the stock market goes up or down. We'll learn more about money management but for now we can summaries by repeating our first step.

Investment holding Power is the key to Massive Income from Stock market across the Globe.