Recently Reserve bank of India,deregulate the saving account interest rates.Banks can pay you 6% as well 1% on your money lying in saving account. This post is a small attempt to calculate the effect for different saving rates,with an assumption that Rs.1 Lakh are constantly available in the bank account. Saving Rate: 6% Amount(Rs) Interest…
Interest Compounding Frequency And Its Effect On Maturity:
In general,there is tradition of calculating returns in terms of compounded per annum basis.But there are number of other instruments which offers compounding frequency over monthly,quarterly,half yearly and yearly basis.We will try to evaluate effect of compounding frequency on maturity amount,considering remaining factors to be same. E.g. Mr A want to invest Rs 1 lakh…
Commodities Traded at MCX And NCDEX:
MCX (Multi-commodity Exchange ) and National Commodity & Derivative Exchange (NCDEX) are two important commodity exchanges in India.Important and most traded commodities and their lot sizes are as follows.Unlike stock futures,commodity futures have fixed lot size independent of the price. MCX: Commodity Display Price Unit 1LotEquivalent To Copper Rs/Kg 1000 Kg Nickel Rs/Kg 250 Kg Lead Rs/Kg…