Debt Definition
What is debt in simple words? The definition of debt is 'an obligation that requires the debtor to pay the money to their creditor.' Debt is nothing but the amount of money one borrows. In other words, it is the...
Corporate Bonds
How does a corporate bond work? A corporate bond is a type of fixed income security issued by corporations or companies to raise money from investors. The company issuing the bond gets the capital they need, and in return, they...
Compound Interest Formula
Which is better compounded daily or annually? Compounding means earning interest on interest. It doesn't matter when the investor receives the interest. However, the number of compounding periods do make a difference. The more the number of compounding periods, the...
Blue Chip
What is meant by blue chip companies? Blue chip companies are well established and mature companies. These companies have made their mark in their industry or sector. People often consider them as pillars of the industry. The term blue chip...
Alternative Investment Funds
How does an AIF work? Alternative Investment Funds (AIF) are privately pooled investments that collect money from sophisticated private investors. AIFs invest the money pooled from private investors according to the investment policy. They invest the money in start-ups, private...
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Absolute Return: Meaning, Formula and Calculation
What is the difference between Absolute and Annualised return? Absolute return measures the performance of investment regardless of the time period. It is expressed in terms of percentage and INR. On the other hand, the annualised return is the average...
Aadhar
How can I check my Aadhar card details? One can check their Aadhar card details online by visiting the website https://uidai.gov.in. Unique Identification Authority of India (UIDAI) provides the service to check the details online. An individual can check Aadhar...
What is a Dividend Distribution Tax? When is DDT levied and by whom?
A dividend is nothing but a distribution of a portion of a company’s earnings. A dividend distributions tax is nothing but a tax levied on the profits distributed by Indian Companies to its investors or shareholders. As per the provisions...