PLANNING OF LIVE STOCK MARKET

Presented By : Submitted To:

Aniket Choudhury Jay Amin

140320702501(C.E)

INDEX:

Introduction What is stock market What is planning

Planning in live stock market Estimation Scheduling Risk analysis

Conclusion Research paper References

INTRODUCTION

Before we study the

planning of Live stock

market it is important for us to know

what is a stock market.

A stock market or equity market is an

aggregation of buyers and sellers of stocks.

The stock market is one of the most important ways for companies to raise money.

This allows businesses to be publicly traded, and raise additional financial capital for expansion by selling shares of ownership of the company in a public market.

Now lets see what

is planning

?

Planning involves five major activities:

1. Estimation2. Scheduling3. Risk analysis4. Management planning5. Change management planning

Estimation determines how much money, effort, resources, and time it will take to build a specific system or product.

In project management, a schedule is a listing of a project's milestones and activities usually with intended start and finish dates. Those items are often estimated in terms of resource allocation, budget and duration, linked by dependencies and scheduled events.

Risk analysis is a technique used to identify and assess factors that may risk the success of a project or achieving a goal.

In organizations, planning is a management process, it is concerned with defining goals for company's future directions. To meet the goals, managers may develop plans such as a business plan or a marketing plan.

       PLANNING IN LIVE STOCK MARKET

These planning steps can be implemented while dealing with the stock market.

Estimation in Live stock market: Every analyst in this field have their own

models to estimate the price of the stocks. According to which he/she purchases or sells the stock.

For example, an analyst purchases share “A” for 90 and then calculates and estimates the cost of share “A” to be 100 then he/she can sell the share.

If the analyst estimates the price of the share to be Rs 80 after he/she purchased its is for Rs 90 the he/she will not sell the share.

This is how estimation in live stock market works.

SCHEDULING IN LIVE STOCK MARKET:

There are three types of scheduling in stock market: Long term Short term Intra-day

Long term(capital gain): Investment > 1 year

Short term: Investment < 1 year

Intra-day(day trading): Trading is squared up in the same day.

RISK ANALYSIS IN LIVE STOCK MARKET:

Before understanding Risk analysis its important to know about few terms:

Security:In this case security means stocks or share of a company.

Portfolio:It is defined as the collection of one or more security.

Risk analysis in stock market is defined as keeping a portfolio which ensures there is no or minimal loss to the trader.

For example a trader should not invest all his money in the shares of a single company nor should he invest in the stocks of similar investment because if the company does not perform then the trader will loose all his money.

Hence a trader should keep such a portfolio in which the securities should be of different companies, such that if a company fails the security of other might save the trader from loosing his money.

    CONCLUSION

Naïve or experienced one has to do proper planning while he/she is involved in stock market.

Investing in stock markets is subjected to market risk hence it should be planned to avoid loss.

RESEARCH PAPERS

    REFERENCES

http://www.investopedia.com/articles/trading/04/042104.asp

http://www.stock-market-strategy.com

http://en.wikipedia.org/wiki/Project_planning

http://en.wikipedia.org/wiki/Risk_management

http://en.wikipedia.org/wiki/Stock_market

THANK YOU….