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🌍 The Special Rupee Vostro Account (SRVA) lets foreign banks hold INR balances in Indian banks — making cross-border trade easier in Indian rupees. 💱 No more needless currency conversions.

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Special Rupee Vostro Account (SRVA) What is Special Rupee Vostro Account and how does it work? A Special Rupee Vostro Account is a type of b

A Special Rupee Vostro Account is a type of bank account, which helps in the payment and settlement of transactions in INR currency. This type of account is primarily opened by foreign banks, to hold their earnings in INR currency.

The idea behind this framework is that a domestic bank in India offers this type of account to a foreign bank, and not to individuals. Besides holding funds in INR currency, the account can also be used for billing and settlement of transactions in INR currency.

The Special Vostro Account in India would be very beneficial for the foreign entities that have to regularly make and receive payments in India (or in INR currency). The account reduces the transaction costs, because there is no need for frequent currency conversion. A domestic bank has the option to open multiple SRVAs for different banks from one foreign country.

#Rupee #Trade #Finance

🔁 Unlike short-term averages, the 200-day MA isn’t swayed by daily noise — it updates daily, but gives you a smoother, long-term view. 🧭 Here’s why it matters in investing:

200 Day Moving Average What is 200 Day Moving Average and how is it used in trading? The 200 Day Moving Average (200 DMA) is a type of Techn

The 200 Day Moving Average (200 DMA) is a type of Technical Indicator, which is used to highlight the average trading price of the stock in the past 200 days. The average price is calculated on a continuous basis, and the indicator is then displayed as a line on the price charts.

In this case, the number '200' is used because it is a popular choice of traders in the stock market. It is the preferred option to get an idea about the price trend in the long-term. But the market participants are free to use any choice of days for the indicator like 190, 199, 201, 220, 250 etc.

Since this is a Moving Average, the indicator will usually display a new value every day. The prices from the most recent 200 trading days in the past (from the current date), are used for calculating the average trading price on the present day.

#FinancialLiteracy #Charting #LongTermInvesting

🚗 With a Zero Depreciation cover, insurers don’t deduct wear-and-tear when settling claims. That means a higher payout for repair or replacement—even for older parts. 💸

🔧 Read the details:

Zero Dep Insurance What is Zero Dep Insurance and how is it beneficial to the policyholder? A Zero Dep Insurance refers to an insurance clau

A Zero Dep Insurance refers to an insurance clause, in which the value of the insured asset does not depreciate during the tenure of insurance. This ensures that the customer gets the highest possible value of the asset, during an insurance claim/payout.

When depreciating assets are being insured for a long duration, the value of the asset could reduce over the years. So, the coverage amount for such items could decrease over the years. This means that the insurance payout in case of a claim in year 5, will be lower than the payout in case of a similar claim in year 1.

But in case of a Zero Depreciation Insurance, it is assumed that the asset does not lose the value across the years. So, if there is a claim after a few years, the payout will not reduce due to the lower inherent value of the asset.

#MotorInsurance #ZeroDep #SmartCover

📊 A zero-sum game means the net change across players is zero — what one wins, another loses. It’s common in short-term trading, but not so in long-term investing, where value can actually be created.

🔍Learn how:

Zero Sum Game What is Zero Sum Game and how is it relevant in investing? A Zero Sum Game refers to a mathematical situation, in which the ag

A Zero Sum Game refers to a mathematical situation, in which the aggregate profit and loss will be zero for all the involved participants. This means that if one party wins, then one (or more) other parties will have an equivalent loss.

In this type of game, there can be multiple outcomes of wins and losses for different participants. But the net sum of each outcome will be zero. It means that the benefits and drawbacks will be circulated within the game, and no external inflow or outflow will happen.

Zero Sum Games in Finance mostly refer to trading and short-term investment positions, where if one party makes a profit on a trade, then a counter-party loses the money. In this case, no wealth is created or destroyed. There is simply a wealth transfer from one trader to the other.

#Stocks #Economics #InvestorEducation

🧠 “XB” in a stock symbol = Excluding Benefit. It pops up after the ex-date to signal that fresh buyers are not eligible for the bonus or other actions.

🔎 Why it matters:

XB What is XB symbol in stock market and how does it impact stock price? The alphabets XB in front of stock name stand for Ex-Benefit or 'Ex

The alphabets XB in front of stock name stand for Ex-Benefit or 'Excluding Benefit'. This is used to highlight to the traders that the stock is trading in the market, without the benefits that were declared through a Corporate Action.

This is a generic term that can be used to indicate any type of benefit like Rights, Dividends, Warrants etc. The symbol is usually displayed for a few days after the date on which the benefit has been given away.

The presence of symbol XB in share market will make it clear to the traders that if the stock is purchased now, then they will not be eligible for the Benefit declared in the Corporate Action. So, this increases transparency in the market, and reduces the chances of errors in trading.

#FinancialLiteracy #Equity #Trading

🔁 Want to capture medium-term momentum? The 50-day moving average (SMA or EMA) is a go-to for traders: smooths price action & helps spot entry or exit zones.

✅ Dive deeper:

https://finlib.in/library/0-9/50-day-moving-average/

The 50 Day Moving Average (50 DMA) refers to a Technical Indicator, that is used to highlight the average trading price of the stock in the past 50 days. The average price is calculated daily, and the indicator is usually displayed as a continuous line on the price charts.

Since this is a moving average, the value for this indicator will keep on changing every day. So, it gives an idea about the latest price trend, in the short-term. The most recent 50 trading days in the past (from the current date) are used for calculating the average price on the current date.

There is no specific reason for selecting the magic number '50' in this indicator. The traders could might as well use any number of days like 30, 40, 45, 49, 51 etc. for short-term price move. It is just that the 50 Days Moving Average is a popular one in the stock market.

#FinancialLiteracy #Markets #Strategy

🤔 What’s a Rights Issue — and why do some stocks show XR? XR signals “excluding rights” to new buyers. It’s a quick market cue to track corporate actions.

🧠 Learn the concept:

XR What is XR symbol in stock market and how is it related to a Rights Issue? The presence of alphabets XR in front of stock symbol will ind

The presence of alphabets XR in front of stock symbol will indicate that the shares of the company are trading, by assuming that the Rights have been recently issued. This helps the traders to quickly identify that a security is now trading without the benefit of Rights.

The actual process for raising funds through a Rights Issue can take many days, but the list of shareholders who are eligible to participate is finalized earlier. The presence of symbol XR in share market will make it clear to the traders that if they purchase the shares now, they will not be eligible for the Rights.

The XR in stock market stands for Ex-Rights or 'Excluding Rights'. The symbol is usually displayed for a few days after the benefits have been distributed. This increases the transparency in the market, and reduces the chances of errors in trading.

#CorporateAction #Trading #FinancialLiteracy

🔍 Did you know? When you see “XD” next to a stock symbol, it means the dividend has already been paid out — i.e. the share is trading ex-dividend.

💡 Learn more here:

XD What is XD symbol in stock market and how is it related to the Dividend? The alphabets XD in front of stock symbol will indicate that the

The alphabets XD in front of stock symbol will indicate that the shares of the company are trading, by assuming that the Dividend has been paid-out. This helps the traders to quickly identify that a security has recently paid out the Dividend.

The XD symbol is used in different ways by the Stock Exchanges around the world. In some countries, the alphabets X-D stand for Ex-Dividend or 'Excluding Dividend'. While in other regions it refers to Ex-Date. If it is being used to indicate Ex-Date, then it could be applied in case of any type of Corporate Action like Bonus Issue, Rights Issue (sometimes XR symbol is used), Stock Split etc.

The symbol XD in share market will be displayed for a few days after the payout, to indicate that the benefit of the Dividend is already distributed. This increases the transparency in the market, and reduces the chances of errors in trading.

#StockMarket #Investing #Dividend

Your shares = your vote.📌 As a shareholder via your Demat account, you can participate electronically in AGMs/EGMs and cast your vote in proportion to your holdings. Empower yourself as an investor!📥

💪Find how:

What is evoting in stock market and how can it be done online? An important responsibility of the investors is to complete the evoting for s

An important responsibility of the investors is to complete the evoting for stocks that are held in their portfolio. This helps the shareholders to voice their opinion about the various proposals that are being made by the management of the company.

Evoting refers to the process where all the shareholders electronically submit their votes, in relation to the important decisions of the company. The number of votes that an investor gets, is in proportion to the number of shares that are held in the Demat Account of the investor.

On this page, we give a step-by-step guide for the investors to complete the evoting for shares that are owned by them.

#FinancialLiteracy #Equity #VotingRights

Your shares = your vote.📌 As a shareholder via your Demat account, you can participate electronically in AGMs/EGMs and cast your vote in proportion to your holdings. Empower yourself as an investor!📥

💪Find how:

What is evoting in stock market and how can it be done online? An important responsibility of the investors is to complete the evoting for s

An important responsibility of the investors is to complete the evoting for stocks that are held in their portfolio. This helps the shareholders to voice their opinion about the various proposals that are being made by the management of the company.

Evoting refers to the process where all the shareholders electronically submit their votes, in relation to the important decisions of the company. The number of votes that an investor gets, is in proportion to the number of shares that are held in the Demat Account of the investor.

On this page, we give a step-by-step guide for the investors to complete the evoting for shares that are owned by them.

#FinancialLiteracy #Equity #VotingRights

📘 Financing for sustainability takes many forms: loans, bonds, and guidelines all aiming to channel capital into ESG-aligned uses. It’s a shift from “just money” to “money with meaning”. 💰➡️🌱

More at:

Sustainable Finance What is Sustainable Finance and how does it impact the society? The term 'Sustainable Finance' refers to the investment

The term 'Sustainable Finance' refers to the investment and financing decisions, that also take into consideration the ESG factors. This helps in thinking about the long-term and broader consequences, instead of focusing on the short-term profits.

The concept of ESG is made up of 3 main parameters: Environmental aspect (E), Social aspect (S) and Governance aspect (G). Since this type of finance focuses on the ESG and overall sustainability in society, it is also known as ESG finance, or ESG investing.

Sustainability Financing is a broader concept, that goes beyond the traditional idea of lending and borrowing money. The focus is also on providing the guidelines and best practices for usage of the funds, towards the ESG goals. So, it can also help to improve the ESG ratings of all the parties that are involved.

#GreenFinance #Sustainability #CapitalMarkets

📉 Borrowers may secure slightly lower interest rates under Green Debt because lenders accept the “green” premium — they want impact & return.🔍

Dive into the working mechanisms:

Green Debt What is Green Debt and how does it help in sustainability? The Green Debt refers to a special kind of debt, in which the borrowed

The Green Debt refers to a special kind of debt, in which the borrowed funds are primarily used to finance environmentally beneficial projects. So, besides providing a financing option, this debt also creates a positive impact on the society.

The borrower will usually notify the purpose for borrowing the funds, and the timeline for fully utilizing the raised money. The regulatory bodies in the region often prescribe the categories of projects that are considered to be 'Green'.

Just like any other debt, the green labelled debt also involves frequent interest payments from the borrower to the lender. Usually, the interest rate for Green Debt is slightly lower than the interest rate for a normal type of debt, with similar borrowing terms.

#ImpactInvesting #EcoProjects #GreenBorrowing

🌱 Investing in ESG Debt Securities means raising capital for projects that offer environmental, social or governance benefits — while borrowers often enjoy slightly better rates.🔍 Dive into how it works:

ESG Debt Securities What are ESG Debt Securities and how are they different from normal debt? The ESG Debt Securities refer to the financial

The ESG Debt Securities refer to the financial instruments that help in raising capital for sustainability related projects. Since it is a type of Debt, the borrower will make regular interest payments to the lenders.

A major benefit for the borrower is that usually the interest rate for these securities is slightly lower than the interest rate for a normal debt, with similar borrowing terms. This is because the lenders pay a slight premium to be involved in sustainability projects. For example, if the borrower is able to get funds at 9% for normal projects, then it might get funds at 8.80% for sustainability projects.

The main feature about ESG Debt Financing is that the raised funds can be used only for the projects that offer any one (or more) of the following benefits: Environmental, Social, Governance (ESG). So, besides helping to raise capital, these instruments also have a positive impact on society.

#ESGFinance #SustainableDebt #ImpactInvestment

🔗 What are Social Bonds? These are debt instruments issued to raise funds specifically for social projects — from building healthcare and homes to supporting vulnerable communities. 🏥🏠

Discover more:

Social Bonds What are Social Bonds and how do they help in sustainability? The Social Bonds are issued to raise capital, that is specificall

The Social Bonds are issued to raise capital, that is specifically used to finance or Re-Finance Social projects. The funds that are gathered through these special types of Bonds can only be used for the defined causes that are socially beneficial. That is why, the Social Bond is a type of ESG Debt Security, and a type of Sustainable Finance Product.

Besides the obvious benefit of raising capital, these bonds also focus on the Sustainability aspect. Since it is a type of debt, the Bond issuer will pay a regular interest amount to the bond subscriber. So, these bonds generate a return for the investors, and also help to produce social benefits for the target population.

#SocialImpact #SustainableFinance #ESG

💡 Unlike green bonds that fund specific projects, SLBs allow general corporate use of proceeds — the twist? If the issuer misses sustainability performance goals, the cost goes up. ⚠️📊

Explore here:

Sustainability Linked Bonds (SLBs) What are Sustainability Linked Bonds and how are they used? The Sustainability Linked Bonds (SLBs) are sp

The Sustainability Linked Bonds (SLBs) are special debt instruments, in which the borrowing terms are directly connected to the performance of the borrower, on different Sustainability objectives. Since this is a type of debt, the Bond issuer will pay a regular interest amount to the bond subscriber.

When these bonds are issued, some Environment, Social and Governance (ESG) targets and Sustainability Targets are pre-decided. The funds are borrowed on the condition, that the borrower will work towards achieving these targets in a defined time-frame.

However, there is no compulsion that the raised funds have to be directly used for the sustainability goals. Instead, the funds could be used elsewhere, but the final outcome of attaining the sustainability target needs to be met.

#ImpactInvesting #ClimateAction #Finance

🌍 Meet Sustainability Bonds — debt issued to finance projects that deliver both environmental and social impact. 🌱👥 Think solar power + jobs creation.

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