What is Free Cash Flow?
Free Cash Flow (FCF) is the amount of money that a corporation generates after deducting cash outflows for operating expenses and capital asset maintenance. Depending on the audience and the data provided, there are different approaches to calculating FCF. Meaning...
What is Financial Literacy? Why is it important?
Financial literacy is the ability to manage one's money. The goal of financial literacy is to help in understanding financial concepts that will help them to manage their money better. It is a life skill that one must grasp for...
What is Face Value in an IPO?
What is Face Value in an IPO? Face value is the fixed price a company sets for its share before going for an Initial Public Offering (IPO). It is also known as ‘Par Value’. The face value can be any...
Direct Equity Investment
The term direct equity refers to investment in the stock market directly. To directly invest in the stock market, you need a demat and trading account. This account allows investors to buy shares/stock of the company directly from the stock...
What is Demat Account?
Demat account is also known as a Dematerialized account. The primary use of Demat account is to hold shares and securities in an electronic format. It helps you in online trading like buying or selling shares, or converting physical shares...
Practical Insights For Wealth Creation
Our weekly finance newsletter with insights you can use
Your privacy is important to us
What is Capital Market?
A capital market is a financial market where long-term debt or equity-backed securities are bought and sold. Suppliers are people/organisations with the capital to lend or invest. Banks and investors are common examples. Securities Exchange Board of India (SEBI) governs...
Call Option
What is a Call Option? A call option (CE) is a derivative contract where the buyer has the right but not an obligation to purchase the underlying asset at a predetermined price within a specific expiration date. The underlying asset...
What is Bonus Share?
Meaning of Bonus Share Bonus Shares are the shares where the company issues additional number of shares to the existing shareholders of the company without incurring any additional cost. These are the company's cumulative earnings that company converts into free...