i am planning to start investment in stock market. as i am aware of capital market and future market not hardcore but some level. i have one simple question but need proper answer.
If we have limited amount to invest in the stock market trading is futures is good or advisable ?
2007-08-06 04:31:29 · 10 answers · asked by mw_7009 1 in Business & Finance ➔ Investing
No - DO NOT INVEST IN FUTURES. These, and other "derivative" securities are extremely risky and complex.
They are not intended for person investors, primarily corporations and institutional funds buy futures to hedge some pre-existing risk.
You are much better off putting your money in a mutual fund or exchange traded fund (ETF). This provides you with diversification, for less than it would cost if you selected securities on your own.
Keep this in mind, 90% of returns are determined by asset class, versus individual securities.
Bottom line - You want to go with an equity fund.
2007-08-06 04:40:21 · answer #1 · answered by dmaniscool21 2 · 1⤊ 0⤋
derivatives are best hedge against volatility of the market ,which is now became the phenomena of market in recent time.investing in future or option first you should understand the underlying risk and reward of the particular segments.derivatives require only margin/premium of the underlying securities or benchmark indexes trading on the floor of the stock exchanges.these marging/premium to be paid are less campare to purchasing individual stock in cash segment,thats means intial capital requirement is less,but there is chances of losing entire money or more whatever you have invested as derivatives prices declines.for more information you have to read a good book on future and option trading.
2007-08-07 17:10:16 · answer #2 · answered by abrar383 1 · 0⤊ 0⤋
See investing in shares is good but more than that if you invest in Land it would reap you more and more profits since day to day the land value is increasing more and more so i suggest you to invest in land for details contact me if necessary i can show you land at a very very cheaper rate.
2007-08-08 06:49:35 · answer #3 · answered by Anonymous · 0⤊ 0⤋
No!
Only 10% is advisable to invest in futures.
Source
http://finance.tipz.in
2007-08-09 12:25:04 · answer #4 · answered by ak_pathik 3 · 0⤊ 0⤋
Hi
If u r not so much aware bout stocks then avoid it .
Itz not necessory to take risk directly................
Go for MF >>>>>>>>>>>
I think u r aware bout the MF . Their is an option /quality that ur invested money will go to stock but get diversified .....
Due to this risk lowers down ......................
U r seems to be lill bit concious, wel as u want to 9 is it worthy or not ........ I think it is worthy in future as wel , But it needs a master mind & awareness tooooo.........
Now its upto u , Where u want to go ..................
Thanks & Regards
Tanisha
2007-08-07 00:52:55 · answer #5 · answered by Tanisha 2 · 0⤊ 0⤋
Go for Mutual Fund,it is safer with good return.
2007-08-06 13:23:35 · answer #6 · answered by AnuRemi 3 · 0⤊ 0⤋
y
trade with chart & stoploss
gold & nifty future is more safe
more on my blog
2007-08-07 03:52:40 · answer #7 · answered by dinu_pawar 5 · 0⤊ 0⤋
Of course not.
2007-08-06 12:04:09 · answer #8 · answered by Anonymous · 0⤊ 0⤋
Why not surely it is worth
2007-08-06 11:35:13 · answer #9 · answered by Anonymous · 0⤊ 0⤋
can't say
2007-08-06 11:40:30 · answer #10 · answered by Rana 7 · 0⤊ 0⤋