Highlights: 1. Market to be choppy. 2. Book profit at regular intervals.
Yahoo! ID - sharegyan
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What is a Prospectus?
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1. INVESTMENT BASICS
2. SECURITIES
3. PRIMARY MARKET
3.1 ISSUE OF SHARES
3.2 FOREIGN CAPITAL ISSUANCE
4. SECONDARY MARKET
5. DERIVATIVES
6. DEPOSITORY
7. MUTUAL FUNDS
8. MISCELLANEOUS
9. CONCEPTS & MODES OF ANALYSIS
10. RATIO ANALYSIS |
A large number of new companies float public issues. While a large number
of these companies are genuine, quite a few may want to exploit the
investors. Therefore, it is very important that an investor before applying for
any issue identifies future potential of a company. A part of the guidelines
issued by SEBI (Securities and Exchange Board of India) is the disclosure of
information to the public. This disclosure includes information like the reason
for raising the money, the way money is proposed to be spent, the return
expected on the money etc. This information is in the form of 'Prospectus'
which also includes information regarding the size of the issue, the current
status of the company, its equity capital, its current and past performance,
the promoters, the project, cost of the project, means of financing, product
and capacity etc. It also contains lot of mandatory information regarding
underwriting and statutory compliances. This helps investors to evaluate
short term and long term prospects of the company.
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