Groww Digest

2023-05-31 17:40:40 Daily Groww Digest

31 May 2023

Sensex 62,622.24 ▼ 0.55%
Nifty 18,534.40 ▼ 0.53%
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Indian markets closed in the red today.

Oil & Gas and financial services stocks fell the most while realty, healthcare, and consumer durables stocks rose the most.

All other Asian markets closed in the red too – Hong Kong and Japan’s markets fell the most.

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More...

+India's GDP grew by 6.1% in the Jan-March quarter vs 4.4% in the previous quarter. The growth rate for the financial year 2022-23 is estimated to be 7.2%.

+IPO of IKIO Lighting will be open between June 6 and June 8.

+India’s fiscal deficit stood at Rs 17.55 lakh cr in the financial year 2022-23 – 6.4% of the GDP.

+The government has approved a Rs 1 lakh cr program to create the world's largest grain storage capacity in the cooperative sector.

+Growth in the output of India’s 8 core sectors stood at 3.5% in April vs 3.6% in March.

+New banks and locations are being introduced for the testing of Digital Rupee: RBI. The pilot test for the digital currency was launched in Dec 2022.

+The world’s top-selling electric car - Tesla Model Y - recorded 2.67 lakh sales in the first quarter of 2023. Over 94,000 of these cars were sold in China, making it the biggest market.

+The government will invite applications for setting up semiconductor and display fabrication units in India from Thursday: Ministry of Electronics and Information Technology.

+Renault has sold over 9 lakh cars in India in the last 11 years.
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Stocks in the news
Dixon Technologies: Xiaomi is reportedly partnering with Dixon Technologies to assemble its phones in India.

Vedanta: repaid $400 million of its loans, cutting gross debt to $6.4 billion.

Coal India: has increased prices of non-coking coal by 8%.

SBI Card: planning to raise up to Rs 3,000 cr by issuing debentures.

HDFC Life: Mauritius Holdings sold a 1.66% stake of the company to HDFC Bank.

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Word of the Day

Retained Earnings

Whenever a company earns profits (net profit), it uses it in 2 primary ways.

Either the company gives dividends to its shareholders from that profit or keeps the profit within the company for expansion, R&D, etc.

The money can be kept in bank accounts or short-term investments for future use - for building machines, buying other companies, etc.

The money that is kept within the company is called ‘retained earnings’.
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6 Day Course
Theme: dividend

Day 3: Wednesday

It is more common for larger and/or matured companies to give dividends.

Companies that are in their growth phase tend to usually reinvest most of their back money into growing the business further — they retain their earnings.

So there’s very little money left to give as dividends to investors.

Stocks that regularly give dividends are also known as dividend stocks.

Investors invest in such stocks with the aim of earning regular dividends and not just for the stock price increase.

Do note, it is not necessary that stocks that don’t give dividends now will never give dividends.

With time, they may start giving dividends.

The opposite is also possible: existing dividend-giving companies might stop it because of poor performance or losses.
Missed last week's course? You can download the course PDF - click to download: https://bit.ly/3pWW3ll

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Featured Question
"Few stocks with high share price vs more stocks with low share price which is better? Will my returns differ if they can yield the same ROI?"

Few stocks vs higher number of stocks: a stock’s price being high or low doesn’t affect your return.

What matters is how much it grows in percentage.

Example:

-Case 1: you invest Rs 10,000 in a stock costing Rs 1,000. So you get 10 shares.
-Case 2: you invest Rs 10,000 in a stock costing Rs 100. So you get 100 shares.

If both these stocks grow by 10% (which means, both have the same ROI), this is what happens: Buka / Bagaimana

2023-05-30 17:37:59 40% of your money will come from selling stocks of ABC, 30% from selling stocks of XYZ, 20% from selling stocks of MNO, and 10% from the cash part.

When you withdraw, what is effectively happening is, the fund manager is selling a little bit of every asset held, and also taking some cash from the cash pool and giving it to you.

This isn’t exactly what is happening — but this is more or less the concept.

Note: In yesterday’s version of the mail, we mentioned the incorrect stock price of Coal India. We apologize for the inconvenience.
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That's it for now. See you tomorrow!  Buka / Bagaimana

2023-05-30 17:37:59  Daily Groww Digest  
  
30 May 2023

Sensex 62,969.13 ▲ 0.20%
Nifty 18,633.85 ▲ 0.19%
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Indian markets ended in the green today.

Media and FMCG stocks rose the most while metal and consumer durables stocks fell the most.

Except for Taiwan, all Asian markets ended up. US markets were closed on Monday on the account of Memorial Day.
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More...

+India's unemployment rate declined to 6.8% in Jan-March 2023 from the previous quarter (7.2%): Periodic Labour Force Survey.

+The number of currency in circulation rose 4.4% year-on-year to 13,621 cr notes in Financial Year 2022-23. Rs 500, Rs 10, and Rs 100 were the most used notes — in that order.

+Foreign direct equity investments into India in the financial year 2023 fell 21.67% year-on-year to $46.03 billion: DPIIT.

+BlackRock has reduced the fair value of Byju's by 62% to $8.4 billion.

+Meesho’s valuation has been cut by around 10% to $4.4 billion by Fidelity Investments.

+The government has announced the removal of the inter-state transmission system (ISTS) charges on offshore wind, green hydrogen, and ammonia projects for 25 years.

+India has extended its $1 billion credit line to Sri Lanka by another year.

+Investment through participatory notes has increased to Rs 95,911 cr at the end of April vs Rs 88,600 cr in March-end.
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Stocks in the news
NMDC: reduced iron ore lump and fines rates by Rs 300 and Rs 450 per tonne.

Prestige Group: completed acquisition of Prestige (BKC) Realtors Private Ltd and Turf Estate Joint Venture for Rs 1,176 cr.

Reliance: JioCinema recorded over 3.2 cr viewers during the IPL final.

BHEL: recorded a 17% rise in new orders in Financial Year 2023.
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Word of the Day

Greenwashing

Greenwashing refers to the misleading practices employed by companies to present themselves as environmentally friendly or sustainable.

In reality, the company’s actions and practices may not align with their claims.

For example, a company might use eco-friendly labels on their products but may engage in environmentally harmful practices to produce the goods.

Greenwashing can mislead consumers into thinking that they are supporting environmentally responsible businesses.

It is important for consumers to look for third-party certifications and consider the overall track record of a company.
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6 Day Course
Theme: dividend
Day 2: Tuesday
When the dividend is paid, the money is technically leaving the company and becoming the investors' money.

It no longer belongs to the company.

To reflect this change, many stock exchanges reduce the stock price by the dividend amount.

So if the stock price was Rs 45 and the dividend given out is Rs 3, the new stock price will be Rs 42.

The adjustment is done on the ex-dividend date. The ex-dividend date is announced by companies when they announce the dividend amount. 

This reduction in price is many times not noticed because the price of stocks anyway moves up and down when the markets are open.

Investors who buy the shares after the ex-dividend date do not get the dividend for that time.
Missed last week's course? You can download the course PDF - click to download: https://bit.ly/3pWW3ll
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Featured Question
"In Mutual fund - growth option, if the dividend is re-invested based on the discretion of the fund manager and I withdraw my investment before the dividend is reinvested, what happens to my share of the dividend?"

If you look at any mutual fund’s holdings, you will notice it has assets (shares, etc), and some cash.

This cash portion is something every mutual fund maintains — so that they can invest in other stocks when opportunities are good.

The dividend is collected in this cash part.

All of it — the assets, as well as the cash part, belong to investors.

So, say a mutual fund has 40% of all its money invested in stocks of ABC company, 30% in XYZ company, 20% in MNO company, and 10% held as cash.

Let’s say you withdraw your money from the mutual fund. Buka / Bagaimana

2023-05-19 17:05:24 Daily Groww Digest

19 May 2023

Sensex 61,729.68 ▲ 0.48%
Nifty 18,203.40 ▲ 0.41%
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Indian markets ended in the green today.

IT and realty stocks rose the most while pharma and healthcare stocks fell the most.

In the Asia-Pacific region, Australia, Japan, and Taiwan’s markets ended in the green while China and Hong Kong’s markets closed in the red.

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More...

+Air traffic in April rose by 22% to 1.29 cr compared to the same month last year: DGCA data.

+The RBI board approved the transfer of Rs 87,416 cr as surplus to the Central Government. In the Financial Year 2022 (FY22), the RBI had transferred Rs 30,307 cr to the government.

+India’s coal imports rose 22% year-on-year in the Financial Year 2023 (FY23).

+FADA has requested the GST Council to reduce the GST rate on 2-wheelers to 18%. Currently, it is 28%.

+Air India and Air India Express have hired over 3,900 people this year: Airline chief Campbell Wilson.
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Stocks in the news
Tata Elxsi: board recommended a final dividend of Rs 60.60 per share.

IDBI Bank: plea of insolvency against Zee Entertainment was rejected by NCLT.

PNB: announced a dividend of Rs 0.65 per share.

Tata Group: Chairman Chandrasekaran has received France's highest civilian award.

Vedanta: board will meet on Monday to discuss the proposal for a dividend.

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Word of the Day

ESOPs

Employee Stock Ownership Plans (ESOPs) allow employees to own stocks of the company in which they work.

Through ESOPs, employees receive stock options or shares as part of their compensation.

ESOPs offer advantages for both employees and companies.

Employees have the opportunity to share the company's growth and earn when they sell these shares.

It also brings a sense of ownership and commitment.

For companies, it helps attract and retain talented employees and align their interests with the company's performance.

However, ESOPs come with risks and considerations.

The success of an ESOP depends on the company's performance and market conditions.
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6 Day Course
Theme: tax on mutual funds

Day 5: Friday

Last, we come to the taxation of mutual funds that are not equity or debt.

Balanced funds or hybrid funds are taxed exactly like equity funds or debt funds — depending on their holdings.

If a balanced fund invests more in debt, it’ll be taxed like a debt fund. If it invests more in equity, it’ll be taxed like an equity fund.

This is pre-defined — balanced funds invest more in equity and less in debt or vice versa according to their investment philosophy. That is defined at the beginning itself.

So investors will know how the mutual funds’ returns will be taxed before investing.
Missed last week's course? You can download the course PDF - click to download: https://bit.ly/3VGYSD6

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Featured Question
"Do mutual funds distribute exit load amount collected from investors leaving to existing holders of fund? How this amount treated?"


Yes, the exit load collected is added to the AUM of the mutual fund.

AUM and NAV of mutual funds are linked — so when the AUM goes up, the NAV also goes up.

NAV is the price of each unit of mutual fund that an investor buys.

This is how the exit load collected is distributed among investors.

Exit load is in place to discourage investors from investing and withdrawing too soon.

Withdrawing too soon affects the fund manager’s investment plans and therefore causes disruption to other investors.

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That's it for now. See you tomorrow! Buka / Bagaimana

2023-05-18 17:58:08 Daily Groww Digest

18 May 2023

Sensex 61,431.74 ▼ 0.21%
Nifty 18,129.95 ▼ 0.28%
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Indian stock markets closed in the red today.

Realty and PSU Bank stocks fell the most while private bank and financial services stocks were the top gainers.

All other Asian markets ended in the green - Taiwan’s market rose the most.

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Quarterly Results

SBI

Net profit for the Jan-March quarter rose 83% to Rs 16,695 cr.

Net interest income increased 29% to Rs 40,393 cr.

Dividend: Rs 11.30 per share.

ITC

Consolidated net profit rose 23% year-on-year to Rs 5,175 cr.

Revenue from operations increased 7% to Rs 19,058 cr.

Dividend of Rs 6.75 and special dividend of Rs 2.75 per share.

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More...
+Swiggy CEO announced that the company’s food delivery business has turned profitable (excluding ESOP costs).

+AWS (Amazon-owned) is planning to invest over Rs 1 lakh cr on building cloud infrastructure in India by 2030.

+International credit card payments will now be included in the Liberalised Remittance Scheme (LRS). Any remittance beyond $2.5 lakh or its equivalent in foreign currency would require approval from the RBI.

+Odisha’s first Vande Bharat train was launched today. It will connect Puri to Howrah (Kolkata's biggest station).

+US state Montana has signed legislation to ban TikTok.

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Stocks in the news
IndiGo: posted a consolidated net profit of Rs 919 cr for the January-March quarter vs a loss of Rs 1,682 cr in the year-ago period.

HDFC Bank: RBI has given its approval to SBI Funds Management to acquire up to 9.99% stake in HDFC Bank.

Paytm: partnered with SBI Card to launch a new credit card.

Jubilant FoodWorks: Domino’s is reportedly planning to join the ONDC network.

NDTV: planning to launch 9 new regional news channels.

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Word of the Day

Recession

A recession happens when there is a big and long-lasting drop in economic activity.

During a recession, things like businesses, jobs, and spending by people go down.

Businesses struggle because people don't buy as much. Because of lower demand, jobs are cut and therefore the incomes of people also drop.

Different industries are affected differently.

Some like real estate, construction, and manufacturing may take a big hit while others like essential services are more stable.

Technically, if any country records 2 continuous quarters of negative GDP growth, it is said to be in a recession.
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6 Day Course
Theme: tax on mutual funds

Day 4: Thursday

Let’s come to debt mutual fund taxation.

If an investor has invested and withdrawn from a debt mutual fund in less than 3 years, the gains are called short-term capital gains.

In this case, the gains will be added to your annual income, and income tax will be calculated using income tax slabs.

If money is taken out after 3 years of investing, the gains will be called long-term capital gains.

Long-term capital gains tax was recently changed.

According to new rules that are in force from 1st April 2023, long-term capital gains from debt funds will also be taxed based on a person’s income tax slab.

Practically, there is no difference between short-term and long-term debt fund taxation.

Earlier, the tax rate was 20% with indexation benefit — that is not applicable from 1st April 2023 onwards.
Missed last week's course? You can download the course PDF - click to download: https://bit.ly/3VGYSD6

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Featured Question
"While withdrawing MFs by SWP do we have to calculate and pay the tax or is it deducted as TDS?"


Mutual funds don’t have TDS or anything similar.

When you withdraw money from a mutual fund, the responsibility of paying tax is yours.

SWP (Systematic Withdrawal Plan) is just a method of taking out money. It is the exact opposite of starting an SIP.

Whether you take out your money in one go or use SWP, tax is still your responsibility.

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That's it for now. See you tomorrow! Buka / Bagaimana

2023-05-17 17:18:52 Daily Groww Digest

17 May 2023

Sensex 61,560.64 ▼ 0.60%
Nifty 18,181.75 ▼ 0.57%
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The Indian stock markets fell over 0.50% for the 2nd day in a row.

US markets also fell over fears of a US debt ceiling crisis. The US government can borrow only up to a certain limit and they have now crossed that limit.

Votes from both political parties are required to raise this limit and talks about this are currently going on.

If the limit is not raised, the US government will not be able to spend money on its expenses.

Hong and China’s markets also fell for the 2nd straight day.

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More...
+The Indian government has approved a Rs 17,000 cr Production Linked Incentive (PLI) Scheme for the IT hardware segment.

+Crayons Advertising IPO will open on May 22. Price band is Rs 62-65 per share.

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Stocks in the news
Infosys: got a new order from energy company BP.

LIC: will announce quarterly results on May 24.

Adani Ports: handled 120.5 million metric tonnes of rail cargo in Financial Year 2023 (FY23), up 22.2% year-on-year.

BPCL: approved ethylene cracker project at its Bina Refinery with capital expenditure of approx Rs 49,000 cr.
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Word of the Day

DVR Shareholders

Differential Voting Rights (DVR) shares give higher or lower voting rights to the shareholders of the company (unlike common shares).

Higher voting right in the ratio 3:1 means 3 votes per share, whereas lower voting right in the ratio 1:3 means 1 vote for 3 shares.

According to Indian regulations, companies cannot issue shares with higher voting rights.

We only have DVRs with lower voting rights.

DVRs are listed and traded on stock exchanges in the same way as ordinary shares but with a discount rate, due to lower voting rights.

The discount rates can go as high as 30%.
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6 Day Course
Theme: tax on mutual funds

Day 3: Wednesday

Let’s talk about equity mutual fund taxation.

An investor has invested and withdrawn from an equity mutual fund in less than 1 year. The gains from this are called short-term capital gains.

Capital gains tax in this case will be a flat rate of 15% on the gains (profit) — doesn’t matter how much the investor earns from other sources.

If there is a gap of more than 1 year between the investment date and withdrawal date, the gains from this are called long-term capital gains.

In this case, the tax rate is 10% of the gains (profit).

Long-term capital gains tax is paid only if the total long-term capital gains from all equity incomes (gains from equity mutual funds and shares) are greater than Rs 1 lakh in a financial year.

If there are no gains or profit when withdrawing, no tax is to be paid.

You will still need to file your taxes and show these in your returns.
Missed last week's course? You can download the course PDF - click to download: https://bit.ly/3VGYSD6

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Featured Question
"Why is Australia considered as an Asian market?"


Technically, Australia is not in Asia — it is a different continent altogether.

Australia and most of Asia see sunrise around the same time. This means most of the stock markets in Asia and Australia open and close roughly around the same time.

This is in comparison to markets like UK and America which open at very different times — long after the Australian and Asian markets.

This is why when reporting news, many tend to lump the Australian markets together with the Asian markets — it is part of what is called the Asian-Pacific region.

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That's it for now. See you tomorrow! Buka / Bagaimana

2023-05-16 17:55:20 For this amount, you will calculate the short-term capital gains (STCG) and pay tax for that amount.

This is your total tax for this withdrawal: LTCG tax for the Rs 100 part + STCG tax for the Rs 25 part.

This is assuming you invested in an equity fund with very low or no returns. It gets a little more complicated once you add higher returns on investment.

The point remains: tax is calculated separately for different durations of investment.

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That's it for now. See you tomorrow! Buka / Bagaimana

2023-05-16 17:55:20 Daily Groww Digest

16 May 2023

Sensex 62,345.71 ▲ 0.51%
Nifty 18,398.85 ▲ 0.46%
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Indian markets closed in the red today.

All sectors except IT, PSU bank, and consumer durables fell today. Auto and media stocks fell the most.

Similar performance was seen in some other Asian markets as well - China and Hong Kong markets fell.

However, Japan and Taiwan markets ended in the green.

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Quarterly Results

Airtel

Net profit in the Jan-March quarter (Q4) rose 50% year-on-year to Rs 3,006 cr.

Revenue increased 14.3% to Rs 36,009 cr.

Dividend: Rs 4 per share.

Indian Oil

Reported a 52% growth in net profit to Rs 10,841 cr in the Jan-March quarter (Q4).

Revenue rose 10% to Rs 2.30 lakh cr.

Dividend: Rs 3 per share.
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More...
+The Indian government has reduced windfall tax on petroleum crude to Rs 0 from Rs 4,100 per tonne with effect from May 16.

+India's exports to the UAE fell by 22% to $2.23 billion vs $2.86 billion in April: Commerce Ministry.

+A slight delay is expected in the arrival of monsoon in Kerala. It will arrive by June 4: IMD.

+The Indian Telecommunication Bill is expected to be finalized by July: Union Minister Ashwini Vaishnaw.

+Vodafone Group Plc is planning to lay off 11,000 jobs in the next 3 years globally.

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Stocks in the news
Adani Transmission: has asked for shareholders' approval to raise up to Rs 8,500 cr.

PVR Inox: will reportedly close 50 loss-making screens over the next 5 months.

Bank of Baroda: declared dividend of Rs 5.5 per share.

Maruti Suzuki: over 30 lakh units of WagonR have been sold since its launch in 1999.

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Word of the Day

Freebies

Freebies are goods or services provided by the government to individuals for free.

Freebies can take various forms such as products, subsidies, or offers.

On the positive side, freebies can increase consumer spending and boost demand for goods and services.

For example, providing free education or healthcare can improve health and productivity, leading to long-term economic benefits.

However, offering freebies requires a lot of money, which can have an impact on budgets and can lead to deficits.

This may result in higher taxes or increased borrowing.

By carefully managing freebies, governments can support economic development and ensure the well-being of citizens.
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6 Day Course
Theme: tax on mutual funds

Day 2: Tuesday

So far, we’ve spoken about what ‘short-term’ and ‘long-term’ are in the case of equity mutual funds and debt mutual funds.

But what about balanced mutual funds?

For purposes of taxation, balanced funds are treated as equity mutual funds — if they invest a larger portion in equity.

If they invest a larger portion in debt, they are treated as a debt fund.

So conservative balanced funds are treated like debt mutual funds while calculating tax. Aggressive balanced funds are treated like equity mutual funds.

Do note that mutual funds’ investors only need to pay tax when they withdraw and on the amount they withdraw.

You might have invested 10 years ago but that doesn’t mean you have to pay any taxes — until you actually withdraw money.
Missed last week's course? You can download the course PDF - click to download: https://bit.ly/3VGYSD6

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Featured Question
"In a single folio of an AMC, if I invested Rs 100 over a year ago and then another Rs 100 one month back. Now if I withdraw Rs 125 how will the Capital Gain Tax calculated – considering in the same folio my Rs 100 investment is more than 1 year (hence subject to LTCG) and only Rs 25 of the redeemed amount should come under STCG."


The Rs 100 part that was invested over a year ago + whatever returns have been earned on that amount will be treated as a long-term investment.

So you have to calculate long-term capital gains (LTCG) on that amount and pay tax.

The Rs 25 you are withdrawing is coming from the part of your investment that was recently made. Buka / Bagaimana

2023-05-15 17:44:07 Daily Groww Digest

15 May 2023

Sensex 62,345.71 ▲ 0.51%
Nifty 18,398.85 ▲ 0.46%
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Indian markets ended in the green today.

All sectors rose today with realty and media stocks rising the most.

In the Asia region, all markets except Taiwan ended in the green with China and Hong Kong’s markets rising the most.

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More...
+Wholesale inflation (WPI) in India stood at -0.92% in April vs 1.34% in March - it means wholesale prices fell as compared to March. This is the lowest wholesale inflation since August 2020.

+The Geological Survey of India mentioned that reports of large lithium reserves being identified in Rajasthan were not true.

+India's trade deficit stood at a 21-month low in April.

+Nexus Select Trust is expected to list on stock exchanges on Friday, May 19.

+RuPay has introduced CVV (Card Verification Value) free payments for debit, credit, and prepaid cardholders.

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Stocks in the news
Kalyan Jewellers: announced dividend of Rs 0.50 per share.

Vedanta: Sonal Shrivastava has been appointed as the new CFO.

Rail Vikas Nigam: got new orders worth Rs 2,249 cr.

SpiceJet: subsidiary SpiceXpress and Logistics will reportedly receive a $100 million investment from a UK-based group.

Reliance: JioCinema announced its premium plan with a price of Rs 999 per year.

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Word of the Day

Turnover Ratio

Turnover ratio shows how many times a portfolio's assets are bought and sold within a given time period.

It indicates the level of trading activity within a portfolio.

For example, let's consider a mutual fund with a turnover ratio of 50%. This means that, on average, half of the fund's portfolio is bought and sold within a year.

A higher turnover ratio suggests more frequent trading activity, while a lower ratio indicates a more passive investment approach with less trading.

A high turnover ratio may imply higher transaction costs and potential tax implications (capital gains tax).

It's important to note that turnover ratio alone should not be the sole factor for investment decisions.

Other factors such as fund performance, expense ratio, and investment objectives should also be considered when assessing the suitability of an investment.
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6 Day Course
Theme: tax on mutual funds

Day 1: Monday

In this week’s course, we’ll discuss how mutual fund returns are taxed.

The first thing to understand is that different mutual funds are taxed at different rates.

Not just that, the tax also depends on the duration of investment.

There are two types of durations: short term and long term.

In case of equity mutual funds, short term means the investor invested and withdrew money within 1 year. Long term is any period more than 1 year.

In case of debt mutual funds, short term means the investor invested and withdrew money within 3 years. Long term is any period more than 3 years.

This can be a bit confusing. Do read the above explanation again if in doubt.

Likewise, there can be 5Y, 7Y, and 10Y returns.Missed last week's course? You can download the course PDF - click to download: https://bit.ly/3VGYSD6

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Featured Question
"Do we need to pay tax on dividends earned while filing tax returns or company pays as tds and then pay a dividend to shareholders? if yes does the company send tds certificates to each shareholder?"


Yes, investors need to pay tax for the income received via dividends.

Earlier, this tax was deducted by the companies paying the dividend. But that system is no longer in effect.

The rate of taxation varies for person to person — it is different for Indian residents, NRIs, traders, etc.

In case of long term investors, the dividend is treated as any income and added to the annual income. Then the rate of tax simply depends on the tax bracket the person falls in.

Traders have to show it as business income and are taxed accordingly.

Likewise, there are different rules for NRIs. Do read more about it.

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That's it for now. See you tomorrow! Buka / Bagaimana

2023-05-14 14:38:24 If you spend some time going through these, you soon realize, the regrets can be largely categorized into a few buckets.

They’ll mostly be about relationships, careers, experiences, and a few others.

If you dig a bit deeper – watch and read more people’s regrets, you soon realize, there is no clear regret you should be careful about.

There are people who say they should have worked harder in their careers. There are those who say they should have worked less hard and spent more time having fun.

There are those who wished they never had children. There are those who wish they had children or more children.

Some wish they’d earned more money. Some wish they’d ‘wasted’ less time on money and spent more time living in the moment.

Regret is not useless.

But one must realize, they can come pretty easily.

“I wish I’d invested in XYZ stock 5 years ago” – yes but that person didn’t invest.

They acted according to the information they had then.

Regret does not come from only what you did in the past. It also comes from what happens in the future.

Many times we don’t know what the future will bring.

So many students choose a college stream based on what they think will land them a safe or secure job. And then they go on to take a job that has nothing to do with their education.

You might think a certain industry or sector has good future prospects so the stocks from that sector will be good investments. And then something else happens.

It’s easy to fall into the trap of regret.

Many times, regret is not justified.

6-Day-Course
Theme of the week: time periods used in finance

Day 6 - Sunday

We’ve reached the end of this week’s course that started on Monday.

Here’s a test you should take. Get pen and paper!

Question 1:
On which date does the Indian financial year start?

-1st Jan
-1st April
-1st Oct

Question 2:
Which period is Q1 FY 22-23 referring to (in India)?

-Jan-Feb-March 2023
-July-Aug-Sept 2022
-April-May-June 2022

Question 3:
Which of the following does not compare two time periods?

-DoD
-WoW
-QoQ
-All Above
-None

Question 4:
In 3Y returns, the returns are expressed as:

-CAGR
-Absolute returns

Question 5:
‘Year ago period’ is useful when comparing:

-Two years
-Two periods inside two different years
-Two periods inside the same year



Answers:
Q1: 1st April
Q2: April-May-June 2022
Q3: None
Q4: CAGR
Q5: Two periods inside two different year
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There's more:

-Quick takes from the week
-How Sensex, Nifty, gold, silver, Dow Jones, and Nasdaq changed over the week

And more!

Visit our Weekly Groww Digest page to read it all:

https://groww.in/digest Buka / Bagaimana