Invest In Tax Saving Mutual Funds Online
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The principle is the same: When luck runs against you, good stake management will allow you to stay solvent longer. The number of successive losses required to drive a gambler into bankruptcy is the risk of ruin. This is easy to calculate in a game like blackjack or poker where the gambler is dealing in multiples of a minimum stake. It is up to him not to do something stupid and bet large amounts on losing hands. At trading, the risk of ruin equation is more complicated because the trader has much more control on the quantum of loss. He has to set the minimum stake by setting a stop- loss and, of course, he must be disciplined enough to accept the loss. Assuming you are not a day trader, you will not use mechanical stops because these require resets. Where should a stop- loss be set and what kind should one use? Some traders set a 'money stop'. That is, they are prepared to lose a maximum fixed amount per trade. Others use 'percentage stops' — the stop- loss is set at a fixed percentage away from the entry price. A third set uses stops set with reference to price- chart congestion points. My personal feeling is the three systems, or any other system of stop- losses used, should align to give roughly the same numbers. Otherwise, the contract is probably not worth taking. To manage stakes efficiently, taking risk of ruin into account, the trader must have a money stop. He cannot afford to lose, say, ₹ 10,000 on one contract and ₹ 30,000 on the next, without losing control of risk of ruin. The money stop must be set at a fixed percentage of the trading corpus. It could be one per cent of corpus, or it could be five per cent. That is up to the traders personal risk- appetite. Obviously, the smaller the cut- off, the better the risk of ruin. A highly volatile stock, or ahigh- priced stock with a large lot size, will often see tight stop- losses being triggered even when the trade is right. This leads to unnecessary losses. A stop- loss must be placed at enough distance from the entry price to allow for some volatility. For example, if you are taking a trade in a counter that usually swings four per cent a session, a stop- loss at 0.25 per cent from the entry price will be useless. So, the percentage stop makes sense. Any practical trader also knows price moves often halt when they hit congestion points. So, the chartbased stop also has logic. If the percentage stop or the chart- based stop carry larger losses than the money stop, the contract is simply too 'big' to handle with the given corpus. If the percentage stop and chart- based stop are much less than the money stop, the contract may not offer large enough returns. The ideal contract is one where these all align. | ||
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Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.
Invest Tax Saving Mutual Funds Online
Tax Saving Mutual Funds Online
These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)
Download Tax Saving Mutual Fund Application Forms from all AMCs
Download Tax Saving Mutual Fund Applications
These Application Forms can be used for buying regular mutual funds also
Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds )
- ICICI Prudential Tax Plan Invest Online
- HDFC TaxSaver Invest Online
- DSP BlackRock Tax Saver Fund Invest Online
- Reliance Tax Saver (ELSS) Fund Invest Online
- Birla Sun Life Tax Relief '96 Invest Online
- IDFC Tax Advantage (ELSS) Fund Invest Online
- SBI Magnum Tax Gain Scheme 1993 Invest Online
- Sundaram Tax Saver Invest Online
- Edelweiss ELSS Invest Online
Best Performing Mutual Funds
- Largecap Funds Invest Online
- DSP BlackRock Top 100 Fund
- ICICI Prudential Focused Blue Chip Fund
- Birla Sun Life Front Line Equity Fund
- Large and Midcap Funds Invest Online
- ICICI Prudential Dynamic Plan
- HDFC Top 200 Fund
- UTI Dividend Yield Fund
- Mid and SmallCap Funds Invest Online
- Reliance Equity Opportunities Fund
- DSP BlackRock Small & Midcap Fund
- Sundaram Select Midcap
- IDFC Premier Equity Fund
- Small and MicroCap Funds Invest Online
- DSP BlackRock MicroCap Fund
- Sector Funds Invest Online
- Reliance Banking Fund
- Reliance Banking Fund
- Tax Saver MutualFunds Invest Online
- ICICI Prudential Tax Plan
- HDFC Taxsaver
- DSP BlackRock Tax Saver Fund
- Reliance Tax Saver (ELSS) Fund
- Gold Mutual Funds Invest Online
- Relaince Gold Savings Fund
- ICICI Prudential Regular Gold Savings Fund
- HDFC Gold Fund
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