Market Share

Market share is the portion of a total market that is controlled by a particular company or product. It is commonly used to assess the competitiveness of companies in various industries, such as the telecommunications sector where companies like Reliance Jio and Bharti Airtel compete for market share in the mobile services market.

Microcredit

Microcredit is a facility that offers loans of small amounts to low-income individuals or groups to start a small business. Microcredit comes under microfinance, which is a line of finance that aims to provide financial support. It also includes savings accounts and other banking services.  Institutions that offer microcredit include:  Government Non-Governmental Organisations (NGOs) Microfinance …

Money Laundering

Money laundering is the illegal process of concealing the origins of illegally obtained money or funds by disguising them as legitimate through complex financial transactions. It is a criminal activity that is prohibited in India and other countries to prevent illicit financial activities.

Mortgage

This is a loan that you can get when you use any of your asset or property as collateral or security. For example, a home loan or a loan against property may be used to finance the purchase or renovation of a property. You can also use it to finance other big-ticket expenses such as …

Mutual Funds

What does it mean? A mutual fund pools together the money from investors and invests it on their behalf. The money is usually invested in stocks, bonds, money market instruments and so on.  Mutual funds are a recommended option for individuals who are not too familiar with the concept of  investing.  Points to remember The …

NACH

What does it mean? NACH, commonly known as the National Automated Clearing House, is a centralised electronic payment or transaction processing system by the NPCI (National Payments Corporation of India).  The system was established for banks, governments and financial institutions to easily manage cumbersome interbank payments, utility bills, SIPs, premiums, donations, credit card bills, dividends …

National Stock Exchange (NSE)

What is NSE?  The National Stock Exchange (NSE) is one of India’s largest financial market exchanges, operating from Mumbai (Maharashtra). It offers investors a platform for trading, settlement and clearing services. It is also India’s first stock exchange to offer electronic trading facilities. Points to Remember How does the National Stock Exchange work? The stock …

Net Asset Value

Net asset value or NAV refers to the market value of a fund’s assets less its liabilities per unit. The NAV helps an investor determine whether the fund is undervalued or overvalued. It is calculated at the end of every trading day on the basis of the closing market prices of the investment’s portfolio. Here …

Net Book Value

Net book value is the value of assets on a firm’s balance sheet. It is also called the net asset value and is computed by considering the original cost of the asset minus its depreciation, depletion and amortisation. Net book value is typically used to display an enterprise’s financial health.

Net Cash

You can understand the net cash definition by seeing how it is calculated: Net cash = Total liabilities – Gross cash So, if you are wondering what is net cash, it refers to the cash flow of a company and its ability to meet its obligations once all liabilities are deducted from the total cash it …