In the last Chapter, we learned the need for diversification, if you have not read it yet, please do so. In this Chapter, we will learn a bit about the technical aspects surrounding diversification. Mutual Funds are inherently the best diversification financial instrument ever invented. MFs pool money from the public and then invest in…
Scheme Information Document is a mandatory “to read” document issued by the AMCs, but the one least read. Usually, people do not like to read but prefer to listen. Things will work out well if you invest through a mutual fund distributor as he is entitled to explain the SID to you. If you are…
Risk: is the maximum loss you can have Reward: is the maximum profits you can get Though it sounds very easy, most traders do not set the risk:reward before entering the trade They get into the trade thinking they can dynamically vary the maximum profits or maximum losses, but it does not work. That is…
