Over-the-counter (OTC) Market

Over-The-Counter Market

Over-The-Counter Market

In contrast to exchange, Over-the-counter (OTC) Market i.e. off-market trading happens electronically. Over-the-counter markets structured in a way as a fundamental component of worldwide money, OTC derivatives have uncommon significance. The more prominent adaptability gave to advertise market participants to modify derivative contracts to all as per the suitability to their risk exposure. (more…)
DEBT SECURITIES VS EQUITY SECURITIES

Debt Securities vs Equity Securities

Debt Securities vs Equity Securities

Debt securities are financial assets that define the terms of a loan between an issuer (the borrower) and an investor (the lender). Equity securities are financial assets that appear to be the shares of a corporation. (more…)
Foreign Exchange Risk

Foreign Exchange Risk – Full Details

What is Foreign Exchange Risk?

Foreign exchange risk refers to the risk that an investment value will change due to change in two different currencies. It is also known as currency risk or exchange rate risk. Exposure to foreign exchange risk is the natural result of the globalization of financial institutions. This risk arises when foreign exchange currency trading and/or foreign asset-liability positions are mismatched in individual currencies. Unexpected volatility could result in significant losses for the firm, which could threaten profitability or even solvency. (more…)
Settlement of Future Contract

Settlement of Futures Contract – Complete Understanding

Settlement of Futures Contract

Derivatives settlement is a business process where the contract is executed on a pre-decided date and at a pre-determined price. On the settlement date, a person having a short position either deliver the actual underlying asset which is called as Physical Delivery for which the derivative contract has been undertaken. The other method is the Cash settlement method in which the cash position is transferred from the buyer to the seller on the settlement date. (more…)
Which one is better, an MBA in finance, or a CFA?

Which one is better, an MBA in finance or a CFA?

Which one is better, an MBA in finance, or a CFA?

Pursuing an MBA in finance or a CFA largely depends upon the area of interest: MBA Master’s in Business Administration gives an introduction to various areas of business like marketing, human resources, operations management, IT, and Finance. The MBA degree works not only in the business sector but in the government sector, public sector, and private businesses too. Pursuing an MBA is about learning various core subjects as they are applicable in various fields. (more…)
Salary After CFA

Salary After CFA

Salary After CFA

In the long term, your salary would depend on how you perform in a particular role. A lot depends on which industry and the role you want to pursue your career as well as where in the world you intend to work. The CFA has a strong reputation for financial knowledge, skill, and determination, stronger than university degrees. (more…)
Are there any benefits of doing CFA after CA?

Are there any benefits of doing CFA after CA?

Are there any benefits of doing CFA after CA?

Yes, there are some undeniable benefits: Companies will hire you based on your double degree because they will assume that you know a lot. There are many people in many different companies who think alike. Your value will increase after you quit because you now have, experience. You can now demand a higher salary. You can also ask for a pay hike once you have experience. (more…)
Is FRM and CFA a good combination?

Is FRM and CFA a good combination?

Is FRM and CFA a good combination?

CFA opens up doors for various financial services and KPO industries. It has subjects such as equity valuation, fixed income, derivative instruments, portfolio management including RISK MANAGEMENT(the core concept of FRM). It gives you a feel of the entire financial world with knowledge of all fields in a consolidated and channelized manner to ensure maximum effectiveness. (more…)

How to Prepare for CFA Level 1?

How to Prepare for CFA Level 1

Once you register CFA Institute provides you with an ebook copy of the entire Curriculum. Generally, the Ebook is of about 3600–4000 Pages where examples along with the topics are provided for better understanding accompanied by practice questions at the end of each Reading. (more…)