What Are the Vital Qualities of a Research Analyst?
The Research analysts require quantitative and qualitative ability. An analyst requires utmost comfort in dealing with numbers to analyze various financial factors, identify trends and see the inter-relationship between different aspects.
Moreover, he needs to be methodical, has a curious mind, and be judicious to know where to find relevant information.
The ability to comprehend business models and competitive dynamics in a business is another important quality an analyst must-have.
Utilizing these skills, a research analyst concludes whether he would be in support of or against investing in a particular industry or company.
Qualities That Are Essential to Being a Good Research Analyst Are:
· Good with numbers
· Good Excel/spreadsheet and other data analytical tools
· Lucidity in financial concepts
· Capability to read and comprehend financial statements and reports
· The knack to ask relevant questions
· Notice details
· Written and Verbal communication skills
What Are Securities And Securities Market?
Securities are financial instruments issued to raise funds. The chief function of the securities market is to enable the flow of capital from those that have it to those that need it.
The securities market helps transfer resources from those with idle or surplus resources to others who have a valuable need for them.
In other words, the securities market provides channels for transferring savings into investments.
Security means the terms of exchange of money linking two parties.
Securities were proceeded by companies, financial institutions, or the government.
They are purchased by investors who are willing to invest. Security ownership permits investors to convert their savings into financial assets, which provide a return.
Security issuance permits borrowers to raise money at a cost. Through Securities Market, a broader universe of savers with excess to invest is available to the issuers of securities. A universe of wider options is available to savers to invest their money in.
Consequently, the objectives of the issuers and the investors are complementary, and the securities market provides a platform to satisfy their goals mutually.
Securities are useful because owners can transfer their interest to others without the issuers being affected by providing liquidity; securities permit issuers to raise capital long-term without locking in investors.
Financial Market consists of:
The Term “Securities” Explained In Section 2(H) Of SCRA- Act, 1956.
The Term ‘Securities’ Includes
1. stocks, bonds, Shares, scrips, debentures, debenture stock, or other marketable securities of a similar nature in or of any consolidated company or other body corporate.
2. Derivative
3. Units or any other instrument proceeded by any cumulative investment scheme to the investors in such scheme’s units.
4. Security receipt as explained in clause (zg) of Section 2 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002
5. Units or any other instrument provided to the investors beneath any mutual fund scheme
6. Any authorization or instrument furnished to an investor by an issuer is a special purpose definite entity which possesses any debt or receivable plus mortgage debt, allocated to such definite and acknowledging beneficial interest of such investor in such debt or receivable plus mortgage debt as the case may be.
7. Government securities
8. Such other securities might be announced by the Central Government to be securities.
9. Rights or interest in securities The investors in the Indian securities market have an extensive choice of financial products to choose from depending upon their risk enthusiasm and return expectations. Financial products can be characterized as equity, debt, and derivative products.
