: FINANCIAL SECTOR

PRESENTED BY: ANCHAL MEHROTRA (JIM ,

GZB)
BANKING SECTOR:
The banking sector's core is trust.
It is an industry and a section of the economy devoted to the holding
of financial asset for others.
Investing those financial assets as a leveraged way to create more
wealth.
Includes the regulation of banking activities by government agencies,
insurance, mortgages, investor services, and credit cards.
MERITS:
Safety and Security
Fixed and Assured Return
Loan Facility
Easy Liquidity
DEMERITS:
Low returns
No Tax Benefits
Penalties on pre Mature Withdrawl.
REAL ESTATE:
 Real estate is a class of "real property" .
 Includes land and anything permanently attached to it, whether natural
or man-made.
 There are five main categories of real estate: residential, commercial,
industrial, raw land, and special use.
 You can invest in real estate directly by purchasing a home, rental
property or other property, or indirectly through a real estate
investment trust (REIT).
 Payment Plans And Schemes.
MERITS:
Secondary Income
Loan Facility
Inflation Cover
DEMERITS:
Low Returns
Huge Investment required
Blockage of Money/No Liquidity
No Tax Benefits
Commission or brokerage charges
Maintainance charges
Political Charges
 STOCK MARKET:
For stocks, one point equals one dollar.
Earn return on your idle resources.
Generate a specified sum of money for a specific goal in life.
Make a provision for an uncertain future.
These may include securities listed on a public stock exchange.
MERITS:
 High Chances of Return
 Regulated Sector
 Flexible Investment
 Easy Liquidity
 Digitalisation
 Ownership perks
 Variety of options Available
DEMERITS:
 Highly volatile
 Huge Market Knowledge Required
 Necessity Of Demat A/C
 Insider Trading
 Time Consuming
 MUTUAL FUNDS:
 Mutual funds pool money from the investing public and use that money
to buy other securities, usually stocks and bonds.
 A mutual fund is a type of investment vehicle consisting of a portfolio of
stocks, bonds, or other securities.
 Mutual funds charge annual fees (called expense ratios) and, in some
cases, commissions, which can affect their overall returns.
 The overwhelming majority of money in employer-sponsored
retirement plans goes into mutual funds.
MERITS:
 Moderate Return
 Flexible Investments
 Professional Assistance
 Digitalisation
DEMERITS:
 Subject To Market Risks
 No Tax Benefit
 Brokrage and commission charges
 No Loan Facility
 No control over Investment
GOLD:
 Gold is extremely ductile.
 The first Gold coins appeared around 700 BC.
 On the periodic table of elements, Gold's symbol is AU.
 Gold's atomic number is 79, and its atomic mass is 196.96655 amu.
 The melting point of Gold is 1,064.43°C (1,947.97°F).
MERITS:
 Assets For Cultural Beliefs
 Inflation cover
 Protection Against Incertainity
 Loan Facility
 Easy Liquidity
DEMERITS:
 Subject to market Risk
 Storage Isssues
 No Tax Benefits
 Making Charges
 Lesser Resale Value
PPF:
 Interest rate is assured but not fixed.
 Tenure can be extended.
 There is adequate liquidity.
 Don't skip investing or put too much in PPF in a year.
 Interest is calculated before 5th of month.
 Loaded with tax benefits
MERITS:
 Fixed and Assured Return
 Tax Benefits
 Loan Facility
 Flexibility Of Amt.
 Protection against insolvency
DEMERITS:
 Huge Lockage Period
POST OFFICE SAVINGS:
 Deposit scheme provided by the post office throughout India.
 Fixed interest rate on the account balance.
 Helpful scheme for those residing in rural parts of India.
 An adult can open a post offices savings account.
 The adult must be an Indian.
 Large number of unprivileged people have been able to get access to
savings accounts through post offices.
MERITS:
 No hidden Charges
 SMS Alerts
 No Charges for Deposits and Withdrawls
 Nomination Facility
 Joint Accounts
 Very Simple Procedure
GOVT. BONDS:

 Government bonds are issued by governments to raise money to finance

projects or day-to-day operations.
 Government bond represents debt that is issued by a government and
sold to investors to support government spending.
 Anyone can purchase the bond form the market place.
 Individual Investor.
 Working with a financial institution or broker.
MERITS:
 Risk Free
 Good Long Term Returns
 Good Liquidity
 Diversifies your Portfolio
DEMERITS
 Less Int. Rates
 Inversely Proportionate to Inflation
INSURANCE :
 People buy to protect themselves from losing money.
 Insurance is a contract (policy) in which an insurer indemnifies another
against losses from specific contingencies or perils.
 It is a form of risk management.
 There many types of insurance policies. Life, health, homeowners, and
auto are the most common forms of insurance.
 The core components that make up most insurance policies are the
deductible, policy limit, and premium.
MERITS:
 High Return
 Fixed and Assured Return
 Safety and security
 Loan Facility
 Extra Bonus
 Tax Benefits
 Easy Liquidity
 Life Cover
THANK YOU