What is a Real Estate Investment Trust (REIT)? Real Estate Investment Trusts are similar to mutual funds. They pool money from multiple investors and use that to buy income-generating real estate properties. REITs manage these assets so that they can...

What is a redeemable security? Redeemable security is the one which can be liquidated into cash by the issuer at investor's request. The most common redeemable security available in the market is the open-ended mutual fund. Any open-ended mutual fund...

What is Red Herring Prospectus? As per the Securities and Exchange Board of India’s (SEBI) mandate, all companies going public (for an initial public offering (IPO)) must disclose certain facts regarding their business, finances, promoters, risks, the objective of IPO...

What is the rate of return mean? Rate of Return means the percentage of gain or loss on an investment compared to the principal amount in the beginning of the investment. It can be related to a specific period of...

What are Puttable Bonds? A puttable bond is a type of bond that provides the bondholders with a right to sell the bond to the issuer before its maturity date. In other words, the bondholders can force the issuer to...

What is Put Call Ratio? A Put Call Ratio or PCR is a derivative indicator used by traders to gauge the overall sentiment of the market. This ratio uses the volume of put and call options on a market index...

What is Public Offering Price? Public offering price is the price at which new stocks are offered to the public by an underwriter. In other words, it is the price at which the company decides to give the stocks to...

What is a Provision Coverage Ratio? Provisions are set aside by businesses in case they are anticipating any losses or unexpected bad loans. It is mandatory for Indian banks to create a provision fund to cover their anticipated bad loans,...