This document provides an overview of financial markets and investment options. It defines investment as using savings to earn a return. Financial markets allow people to buy and sell stocks, bonds, commodities and other securities. The main types of financial markets are the capital market, money market, commodity market, derivatives market, and insurance market. The document outlines various investment options for retail investors including equity, debt, mutual funds, fixed deposits, post office schemes, gold, real estate, and insurance. It concludes that investors should select a balanced mix of assets from the available options based on expected returns and risk tolerance.

1. FINANCIAL MARKET

2. AGENDA
What is investment ?
Why invest ?
Where invest ?
An Introduction to Financial Market
Types of Financial Market
Conclusion

3. What is Investment ?
Money we earn is partly spent and rest saved for meeting future
expenses. Instead of keeping the savings idle we like to use savings in
order to get return on it in the future. This is called Investment.

4. Why Invest ?
Earn Return on idle resources
Generate sum of money for specified goal in life
Make provision for uncertain future
To meet the cost of inflation

5. A Introduction to Financial Market
In economics, a financial market is a mechanism that
allows people to easily buy & sell (trade) financial
securities ( such as stocks & bonds ), commodities
( such as precious metals or agricultural goods ).

6. Types of Financial Market
Financial Market
Capital
market
Money
Market
Commodity
Market
Derivatives
Market
Insurance
Market
Foreign
Exchange
Market

7. Options for Retail Investor
Equity
Debt
Mutual Funds
Fixed Deposits with Banks
Post office schemes
Gold
Real Estate
Insurance

8. Equity Shares
• It commonly referred to as ordinary share
represents the form of fractional ownership in a
business venture.
• Equity shareholders have the right to get
dividends as declared.

9. DEBT
This instrument represents contract whereby one
party lend money to another on pre-determined
terms with regards to rate and periodicity of
interest, repayment of principle amount by the
borrower to the lender.

10. Classification of DEBT
BONDS: Issued by Govt.(Central and State),Public
Sector Organisation
DEBENTURES: Issued by Private Corporate Sector.

11. Mutual Fund
A Mutual fund is a collective investment vehicle that
pools together investor money. This collective pool of
money is invested in accordance to stated objective.
Mutual Funds are :
A large pool of resources
Managed by professionals
Diversified investment for lower risk & better return

12. Fixed Deposits with Banks
It allows an investor to deposit a lump sum of money for a
fixed period ranging from a few weeks to a few year and
earn a pre-determined rate of interest.
Guaranteed Returns depends upon term.
Safe and Secured Investments

13. Post Office Schemes
Offered by Govt. of India
Safe, secure and risk-free Investment
No Tax deduction at source (TDS)
Transferable to any post office in India
Attractive Rate of Interest
Post office monthly income scheme
Kisan Vikas Patra
National Savings certificate
Public Provident Fund

14. GOLD
Physical Gold in the form of bars and coins
Gold accounts in banks where units in the gold a/c in
the banks are backed up by physical gold held in the
bank and bank gives assurance that the investor can
convert the gold back to cash anytime.

15. Real Estate Investment
Financial instrument that invests primarily in the
real estate such as offices, apartments, shopping
centres, hotels etc.
Tend to pay high returns( often as high as 10%)
Attractive investment opportunity when the stock
market is falling.

16. Insurance
A promise of compensation for specific potential
future losses in exchange for a periodic payment.
Now it is considered as a investment tool also:
ULIPs
Traditional Plans

17. Conclusion
Investors looks at superior returns and measured
risk therefore he has to select a dynamically
balanced asset allocation mix consisting of the
different investment options available in the
Financial Market.

18. THANK YOU
For More Information
Visit Our Website …