Bouncing of Cheques
Where any cheque drawn by a person on an account maintained by him with a banker for payment of any amount of money to another person from out of that […]
Shares: Kinds
A share in the share capital of the company, including stock, is the definition of the term ‘Share’. This is in accordance with Section 2(84) of the Companies Act, 2013. In […]
Allotment and Transfer of Share
PRIVATE PLACEMENT (SECTION: 42) CONDITIONS: (i) A private placement offer cannot be made to more than 200 people in aggregate in a financial year excluding “qualified institutional buyers” and employees […]
Essentials conditions for a Valid Meeting
1. Proper Authority: The authority to call a general meeting is the board of directors of the company. The notice of the meeting should be issued under their authority, granted […]
Directors and Remuneration
‘Remuneration’ means any money or its equivalent given to any person for services rendered by him and includes the perquisites mentioned in the Income-tax Act, 1961. Managerial remuneration in simple […]
Prevention of Oppression and Mismanagement
Chapter XVI of the Companies Act, 2013 deals with the provisions relating to prevention of oppression and mismanagement of a company. Oppression and mismanagement of a company mean that the […]
Single Person Company
The Companies Act, 2013 completely revolutionized corporate laws in India by introducing several new concepts that did not exist previously. On such game-changer was the introduction of One Person Company […]
Important changes from the Previous Companies Act 1956
S.No Scope Companies Act, 2013 Companies Act, 1956 Comments 1. Definition of “Charge” Section 2(16): “charge” means an interest or lien created on the property or assets of a company or […]
Transfer of ownership in goods including sale by non-owners
A sale by non-owner in business law occurs when goods are sold by a person who is not the owner without the owner’s permission. A sale by non-owner in business […]
Contract of Bailment & Pledge
Bailment and Pledge are two special contracts that are often confused. Every pledge is a bailment but every bailment is not pledge. Bailment means a delivery of goods from one […]
Portfolio Selection
The objective of every rational investor is to maximize his returns and minimize the risk. Diversification is the method adopted for reducing risk. It essentially results in the construction of […]
Portfolio Theories: Markowitz Model
Harry M. Markowitz is credited with introducing new concepts of risk measurement and their application to the selection of portfolios. He started with the idea of risk aversion of average […]
Portfolio Theories: Sharp Optimization Model
Markowitz Model had serious practical limitations due to the rigours involved in compiling the expected returns, standard deviation, variance, covariance of each security to every other security in the portfolio. […]
Constructing an optimal Portfolio
The idea of an “optimal portfolio” comes from the modern portfolio theory. Among other things, this theory assumes that investors focus their efforts on minimizing risk while also striving to attain […]
Portfolio Revision
A combination of various investment products like bonds, shares, securities, mutual funds and so on is called a portfolio. In the current scenario, individuals hire well trained and experienced portfolio […]
Performance Evaluation Managed Portfolio: Sharp Ratio, Treynor Ratio
Sharpe Ratio The Sharpe ratio (Sharpe, 1966) computes the risk premium of the investment portfolio per unit of total risk of the portfolio. The risk premium, also known as excess return, […]
