What is the connection between margin trading, risk, value and Monet? Shreedhar Kanetkar explores

One of these days, someone from your broker’s office is likely to offer you money to buy shares. Margin funding (not to be confused with the money your broker makes available for intra-day trades) is a fast-growing line of business. The money is yours for as long as you hold the shares you buy...

Since 1992, the S&P500 has gained 200%; Dow is up 250% and Nasdaq 280%. In 1992, Starbucks, the coffee chain, made an IPO. Those who invested in it are today sitting on gains of 5,000%. Starbucks began by selling coffee at $3 a cup when Americans were used to coffee in 50-cent Styrofoam cups to be stirred with thin red plastic stick that doubled up as a straw (Indians are very familiar with...

The 15% correction that has happened between 9th February and 16th March 2007 has brought the prices of many stocks down to earth. Overly bullish investors have suddenly turned in their horns. A declining market is the best time to separate the wheat from the chaff. Stocks that hold up in a declining market are those that are worth retaining in your portfolio. We have sifted through our...