Research paper on fundamental analysis of banking sector
The most common method supporting investing on the capital market or making decisions on the real estate market is technical analysis. This article, however, focuses on the less popular fundamental analysis, the importance of which is increasing on internationals markets, especially fully-developed ones. Fundamental analysis is used for long-term predictions of values of future phenomena, based on historical data and any factors likely to affect the level of supply and demand. The final result of its use is an appraisal the true value of the subject of valuation, or so-called fundamental intrinsic value. Using this method to analyze, diagnose and forecast economic phenomena, as well as become familiar with the market in terms of its fundamentals, positively influences the process of taking investment measures and leads to a better understanding of the real estate market.
Equity Research Report on Banking Sector - A project Report
Finance 2nd year course of North Maharashtra University, Jalgaon. To the best of my knowledge any part of this context has not been submitted earlier. Reserve System was created by congress to help stabilize the financial market by acting as the lender of last resort to the banking institutions. By the s, the economy had stabilized again and there was increase in computer analysis, electronic information transfer, increased importance of global markets and deregulation of financial institutions. Active investing — describes an investment strategy that involves frequent buying and selling of securities in an attempt to outperform the market.
This page of the essay has words. Download the full version above. Banking companies in India are one the most favourable investment decisions by shareholders. The Fundamental analysis studies the various parameter influencing the risk and return of stocks.
Fundamental value or intrinsic value is very important in doing an investment. The intrinsic value of the stock does not refer to market value but refers to the natural value of the stock. Through fundamental analysis, we can arrive at the fundamental value of the stock which enhances the understanding of different stock to investors. Fundamental value or intrinsic value is the actual value of the stock which can be derived from fundamental analysis and this value is very important at the time of investment to take a rational decision in investing in a stock. Fundamental analysis of stock also brings in elements like discounting, future projected projects are discounted in relation to the time value of money to find out the actual value of the stock.