[sujayp100]

Originally Posted by me_warrior

Hi all!!

I am newbie to this site...posting my first thread. Basically joined to have answers to some of my queries related to finance.
Here is the query for the time being:

If the interest rates in some country will rise, will it make that country an interesting prospect for foreign capital?? Please support your view with a reason.

Hii
Rise in Interest rates will channnelise foreign capital to that country especially from countries where interest rates are low.However They will also take into account the exchange rate scenario and other aspects before investing.

[andy_jaan]

Originally Posted by crazyphoton

have you said anything in your post which is NOT obvious. and the mere fact that you chose to put only the obvious in your post indicates that you couldn't comprehend truly what i said. its like you are talking about alpha and beta and somebody starts babbling about a and b

Dear Photon
Honestly I never have bothered anyone earlier on PG atleast ..but your extraordinary participation often demands some reaction..............now just to expose ur personality disorder/blunt hypocracy here's the link to one of ur posts pleaing against something practiced by u so often
http://www.pagalguy.com/forum/your-i...tml#post778598

nebody can compare your responses and judge by himself.

Regards
Andy

[sujayp100]

Hii
Can anyone enlighten me how creation of units and stuff takes place in an Exchange Traded Fund.

Sujay

[the assasin]

Guys I am currently doing a project on " Valuation of a Mutual Fund"....can some of the fin studs hepl me with it...the project is " Basis of valuation of a mutual Fund" eg reliance mutual fund was valued at 1.2 billion dollars....how are valuations usually done /can be done for a mutual fund? ...what data regarding mutual funds should be ideally collected....how are future cash flows determined? ....any thing that seems relevant....i just want broad guidance regarding it...currently am confused......regarding how to go about the entire thing....the most common perspective is tolook at the assets under management ...if the aum for equity is higher then, naturally the valuation for the mutual fund will be higher...hope u guys can help me with this
thanx a lot

[prof_calculus]

Hi

I guess this thread will be very helpful for people like me who intend to learn some finance.

Thanks for the intitiative. I will read the posts regularly.

pc

[sujayp100]

Originally Posted by the assasin

Guys I am currently doing a project on " Valuation of a Mutual Fund"....can some of the fin studs hepl me with it...the project is " Basis of valuation of a mutual Fund" eg reliance mutual fund was valued at 1.2 billion dollars....how are valuations usually done /can be done for a mutual fund? ...what data regarding mutual funds should be ideally collected....how are future cash flows determined? ....any thing that seems relevant....i just want broad guidance regarding it...currently am confused......regarding how to go about the entire thing....the most common perspective is tolook at the assets under management ...if the aum for equity is higher then, naturally the valuation for the mutual fund will be higher...hope u guys can help me with this
thanx a lot

U mean Valuation as in if someone wished to buy a Mutual Fund company right? you are looking at a way to determine what price should a seller quote?

[the assasin]

Originally Posted by sujayp100

U mean Valuation as in if someone wished to buy a Mutual Fund company right? you are looking at a way to determine what price should a seller quote?

I am looking at the price if one wants to acquire a mutualfund ...any assistance will be appreciated...

[sunny8284]

hi
can any1 plzzzzz tell me the diff b/w qualitative finance and risk management..
i am new at this and need to gain some info...
please help!!!

[rps323150]

Well currency appreciation and depreciation depends upon capital account and current account increase or decrease......when relative int rate of suppose India increases..theoritically more foreign investments will take place in India...this will increase inflow of foreign capital ....thus increasing Capital Account Balance.........This will appreciate Indian Rupees......Now as rupee gets appreciated ....another currency suppose Dollar will depreciate with respect to rupess........now this will make the American goods cheap..hence Imports will increase....this increase in imports will make the current Account negative..thus deprecaiting the Indian rupees.....Its a cycle.....Remember....

Capital Ac/Current Ac Increase - Appreciates Domestic Currency

Capital Ac/Current Ac Decrease- Depreciates Domestic Currency

When Capital A/c and Current A/c are acting opposite..Capital A/c effects dominates......

Any eco effect ..just relate it to capital or current acc and then see whther rupee will appreciate or depreciate..........

Hope Im clear....?..If any1 finds any mistake in the logic please clear it...would like to learn more...


cheers

[andy_jaan]

Originally Posted by prof_calculus

Hi

I guess this thread will be very helpful for people like me who intend to learn some finance.

Thanks for the intitiative. I will read the posts regularly.

pc

Lol, Economics Guru turning Finance disciple. Well our priviliege, hope this will attract more chellas to this otherwise slowly creeping thread.

Originally Posted by the assasin

I am looking at the price if one wants to acquire a mutualfund ...any assistance will be appreciated...

Only talking of the mutual fund (I mean excluding company) needs valuation of assets which generaly consists of stocks(thousand of shares of various companies), which obviously (sorry crazy to use obviously?? depends on the method/consideration used by acquirer.

Originally Posted by sunny8284

hi
can any1 plzzzzz tell me the diff b/w qualitative finance and risk management..
i am new at this and need to gain some info...
please help!!!

Broadly speaking qualitative finance works more in direction of increasing profit/margin whereas risk mgmt. is more about understanding and hence reducing risks (read uncertainty). Qualitative finance includes everthing related like understanding of financial statements to various financial instrument whereas risk mgmt. is intensively focused on modeling risk factors i.e. analytics as its background.

Originally Posted by rps323150

Well currency appreciation and depreciation depends upon capital account and current account increase or decrease......when relative int rate of suppose India increases..theoritically more foreign investments will take place in India...this will increase inflow of foreign capital ....thus increasing Capital Account Balance.........This will appreciate Indian Rupees......Now as rupee gets appreciated ....another currency suppose Dollar will depreciate with respect to rupess........now this will make the American goods cheap..hence Imports will increase....this increase in imports will make the current Account negative..thus deprecaiting the Indian rupees.....Its a cycle.....Remember....

Capital Ac/Current Ac Increase - Appreciates Domestic Currency

Capital Ac/Current Ac Decrease- Depreciates Domestic Currency

When Capital A/c and Current A/c are acting opposite..Capital A/c effects dominates......

Any eco effect ..just relate it to capital or current acc and then see whther rupee will appreciate or depreciate..........

Hope Im clear....?..If any1 finds any mistake in the logic please clear it...would like to learn more...


cheers

Just one addition to otherwise a brilliant post of RPS, what if when the borrowing and imoprting countries are not same say India borrowing from Japan and importing from US I guess the beauty of Forex itself lies in many players with different superiorities...........Koi tel hi tel bench deta hai......... to koi khoob saari sand (of course silicon).
Regards
Andy