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Category: Share Market

What Is Passive Income Through Stocks and How to Build It?

Posted on by Pranav Lodh

Passive income is a prudent way to generate wealth and build stability amidst uncertain times. Hence, many consider renting out properties or investing in startups to earn it.

But did you know, you can earn passively even with stocks? Yes! Passive income through stocks is gaining momentum as more seek extra income without investing much time or effort.

Hence, many aspirants who inquire about or enroll in our stock market classes in Pune also discuss earning passive income through stocks. They are eager to learn how to earn money passively through stocks that generate income with minimal or no effort. If you are one among them, you’ve come to the right place. Whether you are a professional, student, or housewife, if you are actively looking to earn passive income, here is a blog that explains how you can do it through stocks.

What is Passive Income Through Stocks?

Passive income is money that flows in regularly without requiring an ongoing active effort. As for stocks, it often refers to income streams generated from stock market investments. Such stock investments don’t require you to trade actively or indulge in daily stock buying and selling. So, in a way, such stocks are a ‘set it and forget it’ kind of thing. Nevertheless, you must remember, passive income isn’t a get-rich-quick program. Careful analysis and informed choice play as important a role as they do while choosing other stocks you would trade regularly. 

This is where share market classes in Pune play a role! But before you enroll for a share market course, here is an overview of some options that can help you generate passive income via the stock market.

How to Earn Passive Income Through Stock – 5 Popular Options

From dividends to growth stocks, here are five stock market options for passive income.

1. Dividend Stocks

This is the most popular option. Dividends are a portion of profits that companies share with their shareholders periodically. Shareholders receive a dividend per share. Thus, the more shares you own, the more dividends you receive.

Earning dividends requires investing in established companies with a dividend payment history. Accordingly, look for companies with increased dividend payouts for 25+ years. Now, instead of using the payout income, you can also reinvest it and buy more shares with your dividends. This will help you compound your earnings over a period.

2. Stock Lending

Some brokerage firms let you temporarily lend out fully paid shares of select stocks you own to other investors or institutions, usually for short-selling. It helps you earn interest on the shares you lend. But lending stocks requires a brokerage firm that finds borrowers and manages the loan. Any risks? Yes – Borrower defaulting! However, reliable brokerage firms generally have measures to mitigate the risk. Hence, the choice of the firm matters.

3. Index Funds and ETFs

There are collections of stocks to track the performance of market indices like the Nifty 500. These indexes don’t pay dividends directly to the investor. But they help you diversify and leverage long-term potential growth with a relatively low fee.

How do you build this investment? Select a broad-market index fund or ETF in line with your risk tolerance and investment goals. Some funds focus on high-dividend stocks through which you can earn income over time.

From dividends to REITs the opportunities are waiting, Let FinEarn guide you to build smart passive income.

4. REITs (Real Estate Investment Trusts)

Passive income through property renting or leasing is a proven option. However, not everyone has a spare property at their disposal. 

So, does that close the real estate option? No! Instead, REITs open it. These are investment options that help you invest in diverse real estate assets, including commercial properties that produce rental income.

You can invest in Indian REITs listed on the stock exchange, making this option liquid and easily accessible for Indian investors. Besides, while investing in REITs, look for those with high rental yields and long-term growth opportunities. REITs usually offer quarterly distributions based on rental income from properties.

5. Bonds and Fixed Income Stocks

Bonds are another traditional choice. Some options include government bonds, corporate bonds, or debenture stocks that companies from various sectors issue in the market. Many of these instruments provide regular coupon payments (interest) that you can use as passive income.

While choosing bonds, you must look for high-quality bonds from reputable companies. Besides, look for interest rates, maturity periods, and credit ratings to reduce risk.

Want to Unlock the Path to Passive Income? Join Fin Earn Share Market Academy!

One of the best share market classes in Pune, FinEarn Share Market Academy offers comprehensive courses that offer in-depth technical and strategic understanding of various stock market topics. So, whether you are an active trader or someone looking to build passive income, we cover you with our learning programs. Call us at +91 95618 61818 to speak with our experts and learn more about our courses.

What Is Nifty 50 & Sensex? India’s Benchmark Indices Explained

Posted on by Pranav Lodh

As an aspiring stock trader, you must have often come across the terms, the Sensex crossed 80,000 or Nifty fell by X points today! Ever wondered what these terms mean? 

Joining stock trading classes in pune will help you acquaint yourself with them.However, before you begin your journey, learning the basics about the benchmark indices will help you make a more prepared and informed entry into the share market space.

What is Nifty 50?

Nifty means National Stock Exchange Fifty. It is the equity benchmark index of the National Stock Exchange (NSE). The difference between Nifty 50 and Sensex is the number of stocks each has. Nifty 50 comprises stocks from the top 50 of approximately 1600 companies that trade actively in NSE across 24 sectors.While the number may seem small, these 50 stocks constitute about 65% of the total free-float market capitalization of the index.

What is Sensex?

This is the market index of the Bombay Stock Exchange (BSE). The BSE introduced Sensex in 1986, a period when it followed the weighted market capitalization method.Then, in 2003, Sensex moved to the free-float market capitalization method. Sensex has a base value of 100 for calculation.

A significant difference between Sensex and Nifty is that of the base year used for calculation. Thus, the base year for calculation is 1978-79.

How Do You Calculate Nifty?

Nifty 50 uses a methodology weighted based on the free-float market capitalization. This refers to determining the weight of the stock in the index by its market capitalization. However, you must note that only shares publicly available for trade are considered. So, to calculate the Nifty, you must first derive the market capitalization of the constituents by multiplying the number of shares with their prices.

The formula is Market Capitalization = Outstanding Shares x Price

Next, to determine the free-float market capitalization, you must multiply the Investable Weight Factor with the original market capitalization. The Investable Weight Factor signifies the share proportion investors can freely trade in the stock market. So, in other words, it is the percentage of shares that a company’s directors or promoters don’t hold.

Free-float Market Capitalization = Market Capitalization x Investable Weight Factor

Eventually, you must calculate the index value by dividing the current market value by the base market value and later by multiplying it by the base index value (1000).

Index Value = (Current Market Value / Base Market Capital) x 1000

The index indicates the returns an investor can earn if they invest in a particular portfolio.

How to Calculate Sensex?

Sensex uses a free-float market capitalization weighted technique. Let’s see how to calculate the Sensex.

  • Market Capitalization: The total value of a company’s publicly traded shares, which is share price X number of shares.
  • Free Float Factor: This factor counts only the shares available for trading. It doesn’t count promoter or locked in shares, thus providing a realistic picture of liquidity.
  • Index Divisor: A number that maintains index stability during dividends or stock splits.

Let’s look at the formula.

Sensex = Sum of Free-float Market Capitalization of 30 companies / Divisor X Base Index Value. Thus, if the combined market cap of these companies is Rs. 20 lakh crores, and the divisor is 1,000, then Sensex will be 20,00,00,00,00,000 / 1,000 X 100 = 10,00,000 points.

Nifty 50 to Sensex secrets Your journey from stock market beginner to confident trader starts here

Who Makes up Nifty 50?

Some of the sectors that constitute Nifty 50 include:

  • Banking and Financial Services
  • Pharmaceuticals
  • Automobile
  • Fast Moving Consumer Goods
  • Metals and Mining
  • Energy and Utilities
  • Information Technology

To be part of Nifty 50, companies must be:

  • Amongst the top 150 companies by market cap on NSE
  • Adequately liquid and have regular trading volumes
  • Meeting domicile and listing rules
  • Consistently performing financially and have a solid market reputation

Additionally, there must be a balanced sector representation to prevent a few industries from dominating the market.

Who Makes up the Sensex?

Sensex tracks 30 blue-chip firms from sectors like:

  • Energy
  • Consumer Goods
  • Banking and Finance
  • Healthcare
  • Industrial
  • Telecommunications

To be part of Sensex, companies must have:

  • High liquidity
  • Robust market reputation 
  • Proven financial track record
  • Significant free float market capitalization
  • Financial stability
  • Sectoral diversity for a balanced representation

Nifty and Sensex  Differences at a Glance

Here’s what makes Nifty 50 and Sensex different.

AspectNifty 50Sensex
Number of Stocks5030
Base Year19651978-79
Base Index Value1000100
Ownership and ExchangeNSEBSE
Market RepresentationWider market exposure with more stocksMore focused on big players

Want to Champion the Concepts of Nifty 50 and Sensex Trading?

Join FinEarn Share Market Academy! We are one of the best share trading classes in Pune with a proven track record and a comprehensive course curriculum, providing practical exposure. Our learning setup comprises seasoned trainers, an active environment and post-course support to help you become an independent and confident share trader.

If you are prepared to do what it takes to transform into a successful trader, call us at +91 95618 61818 and speak with our experts.

Top 5 Fundamental Ratios Every Indian Investor Should Use

Posted on by Pranav Lodh

Are you looking to become a stock market investor? Then, remember, it is more than just picking stocks based on impulses or tips! Instead, it is about making informed decisions based on various techniques. 

Learning fundamental ratios and using them appropriately is integral to stock investment. However, which fundamental ratios should you, as an Indian investor, know and use? 

As providers of one of the top 10 best online share market courses, we consider this a crucial question. So, here is the answer to it.

5 Types of Fundamental Ratios Investors Must Learn and Use

From Price to Earnings to Debt-to-Equity ratio, here are the ratios to consider.

1. Price to Earnings (P/E) Ratio

It is the ratio of the current share price to the earnings of the company per share. 

The ratio tells you if the company is undervalued or overvalued in the market.

For instance, a company’s overall earning is Rs. 3000, and it has 300 shares trading in the market. Thus, its earning per share is Rs. 10.

Next, let’s say the company’s shares are trading at Rs. 300 per share. Thus, the P/E ratio is,

P/E = 300/30 = 10

In simple words, you are paying Rs. 10 for earning Rs. 1 from the company’s earnings. Thus, you can confidently say that establishments with a higher P/E ratio are much overvalued.

Now, what should be the ideal P/E ratio? There’s no specific answer. While calculating the ratio, you must consider the industry benchmarks and assess the valuation.

2. Dividend Yield

This one is crucial if you are looking for regular income. 

It signifies the yearly dividend payout as the current stock price’s percentage.

The formula is annual dividend per share/market price per share X 100. 

It will show you the return you earn through dividends on your investment.

Let’s say you buy a stock at a market price of Rs. 10. A year or two later, you see the stock price hasn’t changed at all. So, are such stocks good to invest in? 

A quick look will reveal they aren’t, as you’ve earned a zero percent return. 

But have you considered the dividend before making a decision?

Usually, you would go for companies with high dividends. However, it might also signify a declining stock price or shaky payout ratio.

The key to making the right choice? Analyzing the company’s dividend history and the ability to maintain future payouts.

Decode P/E, P/B, and D/E Like a Wall Street Analysis – We’ll Teach You How

3. Price-to-Book (P/B) Ratio

This ratio compares a company’s market capitalization to its book value. It helps you determine if you are paying a reasonable price for the company’s net assets.

So, how do you calculate the P/B ratio?

P/B Ratio = Market Price Per Share / Book Value Per Share.

Suppose a company’s value is Rs. 100. It decides to close shop and gets Rs. 100. But out of this amount, it must pay Rs. 50 as a loan repayment. On the other hand, the company has some assets worth Rs. 20. Thus, the company’s total book value is 100-50 + 20 = Rs. 70

Now, let’s say the total number of outstanding shares was 35. 

So, the firm’s book value per share is 70/35 = Rs. 2.

As for the P/B ratio, let’s say the company’s market share price is Rs. 30. Thus, the P/B ratio will be 30/2 = 15. Companies with a low P/B ratio are considered undervalued. Those with a higher one are overvalued.

4. Current Ratio

Although profitable, companies that cannot repay their short-term debts can face financial issues. Hence, calculating the current ratio is crucial. The formula is,

Current Ratio= Current Assets / Current Liabilities

A ratio greater than 1.0 means the company can meet its short-term liabilities with short-term assets. But a ratio above 1.0 might indicate that the company is accumulating money and not using it efficiently. A ratio below 1.0 signifies risk. It indicates that the company might struggle to cover its debts.

5. Debt-to-Equity (D/E) Ratio

Profits are one part. But what about debts?

That’s where the D/E ratio comes into play.

Debt-to-Equity Ratio = Total Debt / Shareholders’ Equity.

Too much debt can pose a risk. 

The ratio shows you how much debt a company is carrying for every rupee of equity. 

A high ratio shows that a company is more leveraged, resulting in a financial risk. 

Want to Master Fundamental Ratios?

Although not the only one, the fundamental ratio is an important technique that helps you make informed investment decisions. But you must champion them with the right training. So, whether you are looking for share trading or futures and options classes in Pune, FinEarn Share Market Academy has got you covered. We are a reputed institute with a proven track record and successful alumni. 

Want to discover more? Call us at +91 95618 61818.

The Rise of Share Market Classes in Pune for Teenagers and Young Investors

Posted on by Pranav Lodh

The picture 20-25 years ago in Pune Discuss the share market among teenagers or older youngsters, and you’d see yawny faces or people excusing you for a call from home or so!

Cut to present – You see teenagers, who barely earn anything or are still learning, and youngsters, perhaps, who’ve recently begun earning, discussing the share market, talking about IPOs, and new shares, guiding each other and so on over a cutting chai! Now, you would wonder how the picture changed so drastically? 

Time? Perhaps, to an extent. But we feel democratization of access to the share market and the rise of share market classes in Pune have been the change makers. Let us focus on the latter in this blog.

The Why – Factors Bringing Younger Players Closer to the Share Market

From quick access to information to the growing lure of passive income, these four factors have been responsible for the popularity of the share market in recent times.

1. Information at Fingertips

Earlier, share market information was restricted to brokers and the television, neither of which appealed to younger investors. However, today, resources like apps and social media resonate with the younger players who find interacting with them much easier. Besides, easy language builds confidence, sparks interest, and encourages them to trade.

2. Urge to Achieve Financial Independence

Today’s youth doesn’t think conventionally. It doesn’t want to wait until 60 to be financially independent. Accordingly, younger investors look beyond traditional income streams. They play it more smartly, investing in sources that help them generate more income than their career does, thus accelerating their journey to early financial freedom.

3. Access to Trading Platforms

Initially, opening a demat account was a hassle. But today, it is remarkably simple, quick, and effortless. A few clicks on the smartphone and you are done! Such easier entry points into the share market also encourage many Gen Z people to begin trading.

4. Passive Income

Teenagers and younger people are intelligent about money. They don’t want to work for money, but make money work for them. The share market is a potentially promising avenue for such people, offering pathways to produce passive income. It is a strategic move, reducing an individual’s dependence on conventional income. 

Early Start, Bigger Returns – Begin Your Investment Journey with Us.

Lessons learned from COVID! Yes, why not? While all of the above is true, one cannot deny the risk involved, and requires strategic thinking, maturity, and decision-making capabilities in the share market. This is where share market classes in Pune step in. Lately, we’ve seen a dramatic increase in the number of younger people inquiring and registering for our share market courses. Here are some reasons that have brought this noteworthy and positive change.

5 Ways Youngsters Benefit from Share Market Classes in Pune

From decoding the share market to developing unparalleled capabilities, here’s how share market courses in Pune are driving the transformation.

1. Demystifying the Market

Share market classes break down intricate aspects into simpler concepts. Thus, from explaining what a share is to learning various markets, share market courses and classes cover everything essential in a language comprehensible to the youth.

2. Learning Share Market Technicalities

From analyzing fundamentals to technical analysis, professional classes help learn technicalities through practice and not just theory. Such an approach helps learners learn how to make informed decisions and avoid relying on tips or guesswork!

3. Managing Risk

Risk is an integral element of the share market. The courses involve learning how to manage risks through various risk management strategies. The idea is not to eliminate risk but to mitigate its impact and minimize losses to the best possible extent. 

4. Developing Emotional Discipline and a Long-Term Approach

It is very obvious for young blood to get excited and get carried away by emotions. But emotional discipline is one of the cornerstones of share market success. Classes help develop it through experience, practice, and data-based decision-making. Besides, they emphasize developing a long-term approach without falling for fleeting sags or surges.

5. Identifying Opportunities

The share market is full of opportunities, but only for those who can see them. Stock market courses help identify them by analyzing stocks, market trends, company reports, industry performance, and much more. They empower young aspirants to identify opportunities not through impulses or guesses but through an educated viewpoint.

Eager to Begin Your Journey? Join Fin Earn Share Market Academy!

FinEarn Share Market Academy (erstwhile EMS) is one of the leading stock market training institutes with years of experience and a proven track record. 

Our courses are designed for success through capability building and informed decision-making. Based on that, we’ve trained thousands who’ve become successful traders and investors. We applaud your decision to join the stock market at a young age and would love to see you become part of our successful alumni.

So, why wait and think when you can act and do what it takes to accomplish your financial goals? Call us at +91 95618 61818 and begin your journey.

How Share Market Classes Can Help You Build Long-Term Wealth?

Posted on by Pranav Lodh

Looking to build long-term wealth? Then, the share market is amongst the topmost choices! But honestly, dealing with the share market is no joke. It is as complex as intimidating. Charts, patterns, upheavals, and most importantly, risk. It’s all there. Every moment challenges you, makes you ponder, and urges you to make the right decision.

Now, while that’s true, let us tell you something. Particularly, when it comes to building in the long run, you don’t have to be a financial genius or have a large investment capital. All you need is the right knowledge and the ability to make informed decisions. That’s precisely where formal training through the top share market classes in Pune comes into play.

Now, before you ask the next question – what exactly do share market classes teach you? Or, how do they contribute to your endeavors to build sustainable wealth? Let us answer it and explore the ways through which stock market classes make you a visionary investor.

5 Ways the Top Share Market Classes in Pune Help You Build Wealth in the Long Run

From building a robust foundation based on knowledge and practice to helping you begin a purposeful journey in the stock market; here’s how share market classes contribute to your long-term financial objectives.

1. Building a Solid Foundation – Understanding the Fundamentals

The stock market has its unique language, terms, and terminologies that may sound gibberish if you aren’t trained to decode them. Share market classes help simplify it and lay a strong foundation based on knowledge, extensive practical exposure, and understanding.

The courses help you learn how the stock market works, comprehend the various factors that influence stock prices, explore different types of investment options, and understand the difference between investing and trading. Besides, you learn to decipher opportunities and make educated choices that potentially contribute to your wealth-building journey.

2. Developing the Long-Term Approach

Often, beginners get fascinated by short-term profits and attempt to become rich quickly. However, those looking to build long-term wealth must develop an approach that helps them accomplish their goals. While educating you on the technicalities of the share market, the classes help develop that approach with principles like compounding diversification, value investing, etc.

Consistency and patience are the attributes of many of the world’s successful investors. Share market classes in Pune encourage and train you to develop these characteristics.

3. Avoiding Costly Mistakes

Honestly, mistakes in the share market can be expensive. Some common reasons include emotional decisions, lack of research, absurd choices, and herd mentality.

Share market classes help you learn how to avoid these traps. They emphasize informed decision-making by analyzing companies before investing, understanding risk vs reward, setting realistic expectations, and managing emotions during turbulent market situations.

Of course, you cannot avert risk fully. However, you can at least minimize it and pave the highway to long-term financial growth. Share market classes help you learn how to do it.

Smart Investing Starts with Smart Learning – Begin Your Journey with FinEarn!

4. Staying Updated and Confident

Whether bearish or bullish, markets evolve. New companies, sectors, and industries. And trends rise and fall. Every second of the trading hours is dynamic.

Joining share market classes helps you stay updated. Some of the top share market classes in Pune involve exploring market insights, reading economic news, monitoring trends, etc., to make you part of an active community that keeps up with market changes.

The more you stay updated, the more confident you feel. You understand the what and why of the market and can relate it to your financial goals to make informed choices.

5. Being Purposeful in Your Journey

For the visionary, the share market isn’t merely about buying stocks but building a wealthy future. Share market classes in Pune encourage you to stick to your purpose. They build the roadmap that leads you to your objectives – whether building a home, children’s education, marriage, building retirement funds, etc. Thus, you stay focused and firm throughout.

Prepare to Invest in the Future with Fin Earn Share Market Academy!

Learn to invest smartly, wisely, and confidently with Fin Earn Share Market Academy. Erstwhile EMS, we are one of the top share market classes in Pune that have helped thousands become confident and prudent share market investors. We are delighted that they are on the right track to long-term wealth generation.

However, in a nutshell, here’s why aspirants choose us,

  • Focus on developing a long-term investment-driven approach
  • Comprehensive share market courses with a continuously updated curriculum
  • Seasoned trainers who share knowledge, experience, and wisdom
  • Abundant practical exposure that helps build experience and confidence
  • Emphasis on building data-driven decision-making capabilities

So, why wait and just dream of a financially secure and wealthy future? Join Fin Earn share market classes in Pune and take the first step towards making it a reality. Prepare to make an educated entry into the stock market. Call us at +91 95618 61818 to learn more.

Why Practical Training Matters More Than Theory in Share Market Courses?

Posted on by Pranav Lodh

Usually, when we speak of learning something, we talk about theory. And for us, it is pretty obvious as that’s the conventional approach we’ve been following for years.

However, as the world changes so should our learning methodologies and approaches.

Today, the definition of learning involves more practice than theory. 

In other words, what matters today is how well you put your skills into practice.

This principle applies even to the dynamic share market world.

Share market classes in Pune these days emphasize practical training instead of just theory. 

The top ones conduct extensive practical sessions so that students learn and familiarize themselves with real-world environments.

Nevertheless, the practical learning approach goes beyond just familiarization. It benefits aspirants in various ways, making them confident share market players.

Let’s look at those advantages in this blog.

5 Reasons Practical Training is the Game-Changer in Stock Market

Here’s how practical training is crucial to becoming a successful share market player.

1.Learn Stock Market Technicalities

Theory helps you understand technical concepts. But practice helps you apply them on the field. Practical training involves understanding and simultaneously applying different aspects like technical analysis, indicators, moving averages, chart patterns, trend analysis, price trends, and more. It also involves monitoring the live market situation, and the upheavals of stocks, and applying the technical understanding to make informed decisions.

2.Avoid Emotional Decision-Making

Fundamentally, everyone knows this. However, learning just theory wouldn’t teach how it feels to lose money on a particular trade or the panic that creeps during a sudden market crash. It is your practical experiences that impart such priceless lessons!

That’s because practical training provides exposure to such emotions, yet in a relatively safe environment, usually via simulations or paper trading or in a real environment with a smaller investment. This helps you learn how to manage and control your emotions and focus on data-driven decision-making before you put real or large capital at stake.

Stop Wishing for Financial Freedom – Start Learning! Enroll in Our Proven Stock Market Course in Pune Now!

3.Time the Market Perfectly (Or At Least Begin Learning it)

Theory might tell you when to enter a particular trade and when to exit it, depending on specific signals. However, practical sessions help you decipher real-world situations and decide how long to wait, how much to risk, and when to exit. You cannot memorize these skills. You only champion them with practice and further with experience!

4.Application Builds Confidence

Reading something creates awareness. But it doesn’t necessarily build confidence. It is like reading an English novel to learn how to speak English. It may build an understanding of the language. But you will be able to speak it only when you practice speaking!

Practical stock market training works in a similar way. Trading in the real market lets you watch how stocks move and also helps you observe your decisions play out in real time.

Over a period, these aspects help you build the confidence it takes to make informed decisions, and that too, independently, based on technical analysis and market data.

5.Develop Valuable Experience and Adaptability

Sailors experience and learn from storms only while sailing. Similarly, you can learn from market ups and downs only when you are in the market and trading. Practical experience precisely helps you experience the market’s dynamicity, enabling you to develop experience and adapt to the changing market situation, developing maturity and expertise.

6.Strategy Testing

Theory teaches you what’s right and what’s wrong. However, when it comes to stock market trading what matters is the relevance of a particular strategy in your situation. Practical experience lets you test your strategies and examine the extent to which you succeed or fail. Essentially, it helps you learn what to do and more importantly, what not to while trading successfully and independently in the stock market.

Final Words!

Stock market training without practice is similar to knowing how to swim but unable to stay afloat while in water. Practicing the stock market in a live environment not only helps enhance perfection but also makes you more confident, independent, and rational. It enables you to learn from your mistakes and make more informed decisions, thus helping you go a long way in your stock market journey!

But where exactly do you receive such training? The answer is Finearn Share Market Academy, one of the top share market classes in Pune!

However, weren’t we EMS? Yes. We are happy to announce that we’ve recently changed our name and evolved to become Finearn. Nonetheless, it is only the name that has changed. Our practical-oriented approach, course curriculum, and enthusiasm remain unchanged.

Want to know more about our share market courses, fees, batch schedules, etc., Call us at +91 95618 61818 and allow our experts to navigate everything you need to know about us.

Importance of Risk Management in the Post-COVID Era

Posted on by Pranav Lodh

COVID-19, which was at its peak in 2020-21, was a global nightmare. 

Layoffs, company closures, and uncertainties had gripped us all, leaving us in despair.

But amidst all the bad experiences, the COVID era taught us many lessons.

One of them was the importance of risk management.

The hardships of COVID underlined why managing risks is important to sail through tough times easily, particularly by creating additional sources of income like the share market.

Risk management forms a significant aspect of our stock market courses in Pune. 

But let’s also learn from history to avoid those mistakes and see why risk management is crucial after COVID and how share markets and the best share market courses in Pune help.

Understanding Risk Management – For Individuals as Much as Corporates!

Risk management doesn’t merely apply to corporate companies but also to individuals.

Essentially, managing risks is about anticipating potential setbacks and preparing for them. It is about asking, what could go wrong, and how do I protect myself for tomorrow.

COVID-19 was a massive wake-up call for everyone in the world. It made people realize how harmful relying on a single source of income could be and why you must have an extra layer of financial security to stay afloat.

Why Risk Management Matters More in the Post-COVID Era?

Let’s see why risk management isn’t just good but essential after COVID.

  • Increased Volatility: The world has become more unpredictable and volatile than ever. Rising geopolitical turmoil, economic recessions, and the dynamic landscape make it crucial to be strategically and financially prepared.

  • Changing Job Spectrum: COVID encouraged companies to adopt remote working and automation, making conventional job security history. Many people are exploring the gig market and freelancing opportunities along with their regular jobs.

  • Personal Emergencies: From unforeseen medical bills to making emergency savings, COVID reinforced how quickly life can take a turn. Personal emergencies thus form a significant aspect of managing risks in today’s times.

The above emphasizes the significance of creating an additional income source. With extra money on hand, you can prepare for uncertainties and volatility better. 

So, is investing in the share market an alternative then?

How Can Share Market Trading Contribute to Better Risk Management After COVID?

Adding sources of income refers to diversifying the streams of income. And this is where share market trading and investing step in.

Honestly, during lockdowns, many people reassessed how they earn money. As a result, some of them turned to stock market trading – not to get rich quickly but at least to survive.

And that made sense then as much as it does now! 

When you trade or invest wisely, share markets can help you generate passive income, providing a cushion to the main source, particularly when there’s a disruption.

But here’s the kicker! Investing or trading isn’t devoid of risks. Prices fluctuate. Markets rise and crash. So, is this idea a contradiction to risk management? No. The best share market classes in Pune help you master risk management techniques. Here’s a quick overview.

Don’t Just Hope to Survive Uncertainty — Learn to Thrive! Master Risk Management with Our Share Market Courses in Pune or Online at Finearn Today!

How to Manage Risks in the Share Market – Overview

Share market risk management is an extensive topic. But here are some basic guidelines.

  • Know Your Goals: Establish your financial goals and work towards fulfilling them. Avoid wandering and trading aimlessly. It can lead to abrupt choices. 

  • Knowledge is the Key: Understand how the markets work and the various trading techniques to leverage the right ones at the right time.

  • Make Informed Decisions: Impulsive choices can lead to losses. Analyze stocks, situations, and companies based on your financial goals to make educated decisions.

  • Look at the Bigger Picture: Don’t always chase quick profits. Some stocks are long-term players. Focusing on steady growth and resilience denotes risk-awareness.

  • Control Your Emotions: Markets run on sentiments. But don’t let yours overwhelm you with ups and downs. Stay controlled and focus on your goals.

  • Diversify: This is fundamental to stock market trading and investing. Don’t invest all your capital in a single asset. Diversify as much as possible to reduce risks.

Prepared to Combat Risks Effectively?

EMS is one of the best places to learn how to manage risks and trade in the share market. Our comprehensive share market and future and options trading classes in Pune help you learn how to invest, trade, and earn confidently. 

Important Update!

EMS has now evolved into Finearn Share Market Academy. 

But only the name has changed. Our commitment to excellence and approach are the same. 

We also are happy to expand our offerings to classroom and online learning options. 

As an institute, we are sure this will help strengthen our position in the list of the top 10 best online share market classes in Pune. 

So, join us at Finearn and benefit from our expert guidance that meets modern flexibility. Call us at +91 95618 61818 to know more.

How to Earn Consistent Passive Income with Share Market Knowledge?

Posted on by Pranav Lodh

Ever wondered if you could make money while sipping your favorite mocktail on a beach, or sleeping in on a Monday morning? 

No? But what if we tell you that’s possible? Thanks to something called passive income, and the decisions many intelligent investors make.

But what is passive income, and how can you generate it? While we cover this in detail in our share market classes in Pune, here are some insights to help you get started with Finearn share market academy powered by ems stock market institute.

What is Passive Income in the Share Market?

Passive income refers to the money you generate with minimal effort. 

Think of it as switching revenue generation to autopilot mode.

Instead of trading stocks daily, you set up investments that generate regular returns, enabling you to enjoy financial stability and freedom.

So yes, it is a money sapling that you plant today and bear its fruits regularly!

But how do you earn passive income in the share market? Which avenues can help you potentially generate income without a regular effort? Let’s find out.

5 Ways You Can Earn Passive Income in the Share Market

The beauty of passive income is that you don’t have to sit in front of the television or monitor the stock market as much as you would while trading stocks. Here are some investments that can make it possible.

1. Dividends – The Regular Paycheck!

Earning passive income through dividends is traditional.

Dividends are profit portions that companies share with their investors. Thus, you must look for such companies before investing if you aim for passive income.

Companies usually share dividends quarterly or annually.

Now, how do dividends benefit your passive income endeavors?

First, they provide a predictable income stream, regardless of market fluctuations. So, in a way, you generate steady income. Next, you don’t have to sell your shares to earn income. Your investment grows over a period while paying you.

But that’s not it. You can reinvest your dividends to buy more shares and benefit from the compounding effect. Besides, most dividend-sharing companies are reliable.

2. Real Estate Investment Trusts (REITs)

Who wouldn’t want to generate rental income? We all would! But with that comes property management hassles, calls from tenants, and so many other factors.

But REITs are real estate investments with a difference. They let you earn rental income without the troubles of managing a property.

REITs are firms or establishments that own, run, or fund productive real estate. They are similar to what mutual funds are in the share market.

So, when you invest in an REIT, you own a small piece of a diversified portfolio of commercial properties like shopping malls, warehouses, and buildings.

REITs must usually distribute 90% of their taxable income to shareholders as dividends, thus creating a steady income stream. Besides, unlike physical properties, stock exchanges trade REITs, simplifying buying and selling.

Don’t Just Dream of Passive Income — Build It! Join Our Expert Share Market Training in Pune Today!

3. ETFs and Index Funds

As a passive investor, if you don’t want to invest in individual stocks, you can go for Exchange-Traded Funds (ETFs) and Index Funds. These funds track market indices like Nifty 50 or S&P 500 and spread the risk across various companies.

Now, why are these a beneficial investment? It is because they let you diversify and lower risk. Additionally, they generate consistent returns across a wider time frame.

Need an example? You all must have heard of the Systematic Investment Plan (SIP). So, you can invest in an SIP in index funds and enjoy automatic returns.

4. Peer-to-Peer Lending (P2P Lending)

These platforms enable you to lend money to people or businesses online. So, you earn interest from borrowers, thus creating a source of income.

Now, you may wonder, what if the borrower doesn’t return the money? You have a valid doubt. It comes with risks like low liquidity, minimal regulatory oversight, and potential defaults. However, reliable P2P platforms evaluate a borrower’s creditworthiness and set interest rates. But factors like thorough research and a clear understanding of the potential risks are imperative.

5. Covered Calls

These are an incredible option for adventurous investors with a portfolio of stocks. 

A covered call is a strategy that involves selling call options on shares you own. 

Thus, you essentially agree to sell your shares at a particular price (strike price) by a specific date (expiration date) in exchange for an upfront payment (premium).

Covered calls benefit passive income generation as you earn an instant premium. Besides, when covered, it carries a lower risk. Since you already own the underlying shares, you are at a limited risk if the stock price goes beyond the strike price.

So, ready to earn passive income? Ensure you learn the basics with the EMS share market classes in Pune. We’ll acquaint you with various options and develop the ability to make informed decisions. Call us at +91 95618 61818 for more.

Invest in Yourself and Evolve Your Capabilities with Share Market Courses

Posted on by Pranav Lodh

Are you on a quest for personal growth? Honestly, in this highly dynamic environment, we all are! 

Be it learning new professional skills or building muscle, we never stop – not even for a moment, rather we cannot. However, what does acquiring new skills mean? 

Essentially, it refers to investing in yourself to gain returns across varying time frames. So, while on your journey to self-investment and growth, ever wondered if you could invest in yourself to build wealth? Think! If not, it is time you do it and enroll in the top share market classes in Pune.

But how are learning the stock market and investing in yourself intertwined? Let’s explore and understand with Finearn share market academy powered by ems stock market institute.

Sharpening Your Financial Skills: Why Learning the Share Market Matters?

Venturing into the share market without knowledge is like entering a maze without guidance. You wouldn’t know where to go and what to do unless you have a navigator or guide to direct you.

A comprehensive share market course precisely serves this need. It helps you become an independent share market player, capable of serving yourself as a financial compass that helps navigate the market’s complexities and uncertainties.

So, what exactly do share market courses teach you? In other words, why are share market classes an empowering self-investment?

While the curriculum is usually extensive, top share market classes in Pune teach you the various technical aspects of the stock market, including analysis, reading charts, understanding patterns, using technology, and making informed decisions.

These classes fundamentally strengthen your financial understanding and acumen, enabling you to derive value from insights and make educated choices on your own.

But that’s not it. Share market classes also instill confidence and build values like emotional control, self-discipline, and vision. Thus, you don’t merely make decisions about the market but shape your financial future with your thoughtful choices.

How are Self-Investment and Financial Success Interrelated?

The answer is obvious. But let’s emphasize the importance. 

While enrolling in a stock market course, you don’t pay fees for the technical aspects of the course. Instead, you invest in a mindset that prioritizes what’s necessary to help you achieve your financial objectives.

For instance, if you want to fulfill some urgent financial requirements and need some quick profits, stock market courses acquaint you with various trading strategies and techniques. These help you analyze a stock, time the market, and potentially earn profits through quick trades, let’s say intraday or swing trading.

On the other hand, if you are someone with a long-term vision, share market courses help you build a comprehensive understanding of the various investment options and avenues. They let you focus on what’s more significant from the long-term perspective, build the capabilities to combat short-term fluctuations, stay unperturbed by them, and focus on the bigger picture!

So, whether in a classroom or one of the top 10 best online share market courses, you can learn what matters to your long-term financial growth with share market education.

Share Market Courses Aren’t Just Classes They’re the Smartest Investment You’ll Ever Make! Learn How with Our Expert Led Training in Pune!

Amplifying Your Self-Investment with Continuous Practical Exposure

No matter how well you know concepts, learning share market trading is incomplete without practicing. It is like knowing what to do while swimming, but being unable to do it in practice. However, the top share market classes in Pune ensure maximum practice and minimum theory. Usually, the practice is live during which aspirants see the market in real-time, decipher what’s happening, understand trends, listen to expert opinions, and make decisions based on their real-time analysis.

Now, how does this benefit? Aspirants gain first-hand experience in real-world trading. While observing the market live, they receive vital tips from their faculty members, who help them decode various aspects and teach them how to do it. Students can utilize that experience while trading independently and make decisions based on the skills they’ve acquired during the practical sessions.

Each aspect learned during these sessions helps them identify what’s useful and positive for their financial objectives and vision.

All Set to Invest in Yourself?

Education is an investment that doesn’t fail to pay off. Share market trading classes aren’t just education but empowerment in the long run! So, don’t think. Millions are joining stock market classes and building a promising future. 

You, too, should consider joining the wagon and embarking on your journey to becoming an intelligent and prudent investor. But before that, you must invest in yourself with our top share market classes in Pune!

Want to know more about how we’ve shaped the stock market career of thousands of aspirants and can do yours too? Call us at +91 956-186-1818.

The Significance of Technical Analysis in Stock Market Success

Posted on by Pranav Lodh

The stock market is a pretty complex place. Stocks keep trading. Prices keep rising and tumbling. Some companies hit their highest at a point, while some sink to the bottom.

And this doesn’t happen once in a while but a routine!

Now, as a share market player, you must not look at these as merely events but changes that can affect your investments and profitability. You should be able to analyze what’s happening across your spectrum and make informed forecasts that drive your decisions.

So, how do you do that? Impulses? Of course not! The answer is technical analysis.

Technical analysis forms a crucial aspect of share market classes in Pune.

Comprehensive courses cover it in depth, enabling students to analyze price movements.

However, by overviewing the topic before delving into it, you can prepare for it better and learn related concepts seamlessly. So, why wait then? Let’s see what technical analysis is and what its significance is across the stock market horizon.

What is Technical Analysis?

Technical analysis refers to studying price movements and trading volume with charts and patterns. It is an analysis methodology, which instead of diving into a company’s financials, includes analyzing the behavior of a stock. Thus, the analysis involves spotting trends, market psychology, and momentum.

Technical analysis isn’t a one-time activity but a continuous one. Thus, it is as important for professionals as it is for beginners. However, as the latter, understanding the importance of technical analysis is necessary so that you never miss it.

5 Reasons Technical Analysis Is Critical While Achieving Stock Market Success

From spotting trends to using indicators, here are four factors that make learning technical analysis during share market classes and later using it, significant.

1. Identifying Trends

    Stock prices often follow a particular trend, identifying which helps you make an informed investment decision. It involves understanding whether prices usually move upward (an uptrend), dropping (a downtrend), or moving sideways.

    Recognizing these trends using trendlines (lines that connect the highs or lows on a chart), can increase the chances of making profitable trades. Remember, it is usually more prudent to ride the wave instead of going or betting against it!

    For example, if you see a stock price making higher highs and higher lows on a chart, it indicates an uptrend. Technical analysis would suggest this is a potentially good time to consider buying with the hope that the trend continues.

    2. Recognizing Patterns

      We all follow a particular pattern or routine in life. So, when someone tries to analyze our routines, they will observe specific patterns and draw the required inferences.

      Stock markets are pretty similar. They form recognizable patterns that can provide clues about future price changes or movements. Patterns named Double Top (a bearish reversal pattern), Head and Shoulders, or Triangles (continuation or reversal patterns) signify the psychology of buyers and sellers.

      Mastering the skill of identifying patterns can help you achieve a significant edge in forecasting potential breakouts or price reversals.

      For instance, the head and shoulders indicate a bearish reversal pattern. Identifying this pattern after an upright trend might denote a weakening upward momentum and a downward trend lurking on the horizon, urging you to consider selling the stock.

      3. Identifying Support and Resistance Levels

        Every stock has a support and resistance level. 

        A support level is like a price floor, a level where a stock price historically stops falling and finds buying interest. On the other hand, a resistance level is like a price ceiling, a level after which a stock price has historically stopped rising and experienced selling pressure.

        By identifying these levels with past price action, you can determine the potential entry and exit points for your trades. Thus, buying a stock near a support level and selling it near a resistance level is a fundamental, yet effective strategy.

        However, this is possible only when you learn how to perform technical analysis!

        For example, a stock repeatedly bounces back from Rs. 200 in the past. Thus, you may consider the Rs. 200 support level and look to buy near this level, forecasting another bounce. 

        On the other hand, if the stock couldn’t surpass the Rs. 250 level across multiple instances in history, you may consider Rs. 250 the resistance level – a potential selling point!

        Don’t just invest invest wisely for the future. See how patience pays off!

        4. Using Indicators

          Technical analysis involves mathematical calculations called indicators plotted on price charts. They provide additional insights into the volatility, momentum, and oversold and overbought conditions of a particular stock – just like Moving Average, RSI, and MACD do.

          For example, a Moving Average can iron out price variations and provide a clear view of the underlying trend. The RSI (Relative Strength Index) can help you identify if a stock is potentially oversold or overbought.

          Technical Terms

          • Moving Average: It smooths out price data to identify the direction of a trend over a period. Types include Simple Moving Averages and Exponential Moving Average.

          • MACD: It is a momentum indicator that displays the relationship between two Exponential Moving Averages (EMA)

          • RSI: It is a momentum oscillator that helps measure the pace and change of price movements from 0 to 100.

          5. Prevent Emotional Decision-Making

            Believe it or not, the stock market runs on sentiments! Many of us wouldn’t want to believe it but that’s true, despite advancements in technology and all the good and bad lessons experienced people have had due to emotional decision-making.

            Technical analysis helps you avoid sentimental choices or decision-making. It lets you remove emotions from the stock equations by adopting a purely data-driven approach while making decisions. Thus, you make decisions based on clear signals and patterns rather than trusting your instincts, which may or may not always be right!

            Final Words!

            Mastering technical analysis is essential to become a successful stock market player. It helps you make informed choices and make decisions at potentially the right time based on charts, insights, and patterns. But can you learn this on generic platforms? The answer is a resounding NO! The only place to learn these things formally and effectively with practical experience is share market classes in Pune.

            EMS precisely serves as the place where you can learn the various aspects of the stock market, including technical, strategic, and emotional. Our comprehensive courses cover these dimensions and provide abundant real-time practical exposure so that you step out as a more confident stock market player, capable of playing it independently.

            Want to know more about our courses and classes? Call us at +91 95618 61818 and enroll with us to become a part of our successful alumni.

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