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Types of Bonds in India

Imagine a situation where you can act like a bank and give credit to the government, corporations or established companies and earn regular interest payments on the credit given, sounds interesting right? This is what happens when you invest in bonds. The Indian market is diverse in terms of bonds as there are different types of bonds available for investing.

Bonds are debt securities issued by governments, companies, or municipalities to obtain financing from the public. The buyer of a bond becomes a creditor to the issuing entity and, in return, the issuer agrees to pay them interest (coupon payments) on the debt and return the face value of the bond upon maturity.

Bonds are among the most secure investment instruments worldwide. They continue to gain momentum in India, as more and more investors seek to go beyond equities and fixed deposits. In this blog, we will discuss different types of bonds, their features, benefits and risks of investing in them.

Types of Bonds in India

Let’s analyze the most notable types of bonds available in Indian financial markets:

1. G-Sec or Government Bonds

Issuer : Central or State Government
Security : Very High, backed by sovereign guarantee
Bond Features : Long tenures (5-40 years), semi-annual coupon payments, bonds are traded on exchanges like NSE & BSE.
Ideal For : Conservative investors who prefer safety and stability.

2. Corporate Bonds

Issuer : Any Private Or Public Limited Companies
Security : Depends on the company’s creditworthiness.
Corporate Bonds Features : Medium To High Yield, Moderate Risk, Credit Ratings like AAA, AA, Etc.
Perfect for : Bond market investors who are willing to take moderate risk can buy these bonds for better returns than government bonds.

3. Tax-Free Bonds

Issuing Companies : Fully owned government subsidiaries like NHAI, PFC, and REC.
Advantages : Interest payout in this is exempted under the Income Tax Act Section 10(15).
Average Duration : With a minimum restriction period of as low as 10 and a maximum of 20 Years.
Perfect for : High earning individuals looking for tax efficient investments

4. Zero-Coupon Bonds

Issuer : Both government entities as well as corporation/companies
Interest Pay-Outs : No coupon payments, only face value is paid at the maturity of the bond
Pricing : Initial buying price is less than the face value of the bond
Perfect for : People hoping to receive a lump sum amount on bond maturity dat e.

5. Floating Rate Bonds

Issuer : Government, corporations or financial institutions
Interest Rate : Changes as per the prevailing policy rate of the central bank.
Volatility : Excellent for protection against expected increase in interest rates.
Ideal for : People who think interest rates will go up.

6. Inflation-Indexed Bonds (IIBs)

Issuer : Generally issued by Government
Purpose : These bonds are structured in a way to save your investments from inflation
Payouts: Inflation – adjusted principal is paid at the maturity of the bond
Perfect for: Pensioners and other investors who wish to protect the value of assets against inflation.

7. Perpetual Bonds

Issuer : Financial Institutions
Average Duration : No fixed maturity date, depends upon the issuers discretion
Payouts : Bonds with no supervising organizational structures pay good interest rates but are riskier compared to conventional corporate bonds.
Perfect for : Sophisticated investors looking for long term investments and impressive yields.

8. Convertible Bonds

These bonds can be converted into equity shares of the company after specific time duration
Flexibility : Guarantees fixed income with chances of capital appreciation by converting bonds into equity
Ideal for : Investors that want a balance between fixed income and capital appreciation

9. Callable and Puttable Bonds

Callable Bonds: Can be redeemed by the issuer before the maturity date.
Puttable Bonds: Can be sold back to the issuer back before the maturity date.

10. Green Bonds

Use: Your money is invested in environmentally sustainable projects.
Popular amongst investors focusing on ESG initiatives.
Ideal for: Investors who are unwilling to profit at the expense of the environment.

Read Also: What is Coupon Bond?

Basics of Bonds

1. Issuer

Following entities issue bonds in India

• Government of India (G-Secs, Treasury Bills)
• State Governments (State Development Loans)
• Public Sector Companies (NHAI, PFC, REC)
• Private Corporates (via Non-Convertible Debentures)
• Municipal Bodies (Municipal Bonds)

2. Terminology

A.) Maturity Period

The term refers to the length of time before the bond’s principal is paid back. This can be:

Short-term (up to 1 year)
Medium-term (1 to 5 years)
Long-term (5 to 30 years)

A few bonds have no maturity date, also known as perpetual bonds, paying interest endlessly without ever paying back the principal.

B.) Coupon Rate

The percentage of the total face value paid out as interest annually. Coupon payments are determined using the coupon rate. Normally these coupon payments are paid out to the bondholder once or twice a year.

Floating rate bonds have fluctuating coupon rate
Fixed-rate bonds have set coupon rate

C.) Face Value

This is also known as par value or principal amount that the issuer needs to pay back to the bondholder once the bond matures.

D.) Market Price

The current market value of the bond in the secondary market. This may differ from the face value of the bond. It can go higher or lower than the face value depending on the interest rate, supply and demand, or creditworthiness of the company.

E.) Credit Rating

Shows the issuer’s creditworthiness and is given from rating companies like CRISIL, ICRA, and CARE.

• AAA: Highest safety • AA/BBB: Moderate risk • BB and below: High risk

Read Also: What are Bond Yields?

Factors To Consider Before Investing In Bonds:

Evaluate how a specific bond fits into your overall investment strategy. Here are important considerations:

1. Investment Timeframe : Invest in bonds that meet your financial milestones. If your milestone is 3 years, a medium-term will suit your investment. Long-term bonds are more appropriate for goals such as retirement.

2. Trends of Interest Rates in The Market : Interest rates and bond prices have an inverse relationship. Existing bonds are of less value when interest rates rise. During a period of rising interest rates, short-term or floating-rate bonds are advisable.

3. Impact of Inflation : High inflation affects the fixed return making them negative in real terms. Inflation-linked or floating-rate bonds protect purchasing power.

4. Liquidity : Not all bonds can be easily sold. Government bonds and corporate bonds are generally easier to trade. Always confirm voluntary exit options before maturity.

5. Tax Impact : The taxation treatment on the income generated by bonds is not uniform.

• Tax-Free Bonds come with exempt interest under section 10(15).
• Bonds under section 54EC offer exemptions for capital gains.
• The interest received on corporate bonds is taxable under the income tax slab applicable to the investor.

6. Credit Risk : Very low risk is associated with government bonds. Corporate bonds have varying levels of risk. Analyze the financials and the rating history of the issuer before investing.

7. Appetite for Risk : For investors with a lower risk tolerance, government bonds or instruments with AAA ratings are suitable. Higher risk can be opted for better returns means BBB rated corporate bonds after thorough analysis.

Benefits of Investing in Bonds

A well-balanced portfolio will include bonds because they help achieve both short- and long-term objectives. Here is how bonds can address the needs of investors:

1. Steady Income : Bonds pay interest at regular intervals and have a fixed income schedule, making them appealing for low-risk investors.

2. Preserving Capital : In most cases, bonds preserve initial capital value when defaults are not made, due to the fact that they return the invested principal when held until maturity.

3. Portfolio Diversification : Adding bonds to a portfolio helps mitigate overall risk because they have a lower correlation with stocks.

4. Tax free Returns: Investing in certain tax-exempt municipal bonds offers attractive post-tax returns.

5. Reduced Volatility Risk : Every security experiences normal daily fluctuations in share price and equities are more affected by these compared to bonds, making the latter more stable.

Risks of Investing in Bonds

Though bonds are safer than other forms of investing, some of the risks associated with investing in bonds are given below:

1. Lower Returns : Unlike bonds which favor safety, equities have greater long-term returns meaning they outperform bonds over an extended period.

2. Interest Rate Changes Risk : Long-term fixed-rate bonds are hit hardest during interest rate changes but any bonds in the long run will suffer due to a decrease in the bonds’ market price.

3. Increased Risk of Inflation : The rising cost of living will reduce real returns regardless of the fixed interest income over time.

4. Credit/Default Risk : One of the risks associated with corporate bonds is the possibility of default due to issuer defaults. Bonds with lower ratings have higher returns and are riskier.

5. Liquidity Constraints : Some bonds are not easily marketable prior to maturity. This can pose an issue when seeking liquidity.

Conclusion

Bonds provide safety, income, and diversification simultaneously. They are best suited for conservative investors. However, they must be selected very carefully as you have to take your financial goals, tax situation, and risk taking willingness into consideration. Bonds can be predictable contrary to equities and are essential during uncertain market conditions. They provide low returns but protect capital. Always confirm the research on the issuer before investment, understand the bond structure, and seek a financial expert if necessary.

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3	Detailed Guide on Bond Investing: Characteristics, Types, and Factors Explained
4	Benefits of Investing in Bonds
5	Stocks vs Bonds: Difference Between Bonds and Stocks

Frequently Asked Questions (FAQs)

What is the minimum amount required to invest in bonds in India?
The Government of India bonds require a minimum of ₹10,000 investment, while the minimum amount required to invest in corporate bonds can vary.
Are bonds safer than stocks?
Yes. Generally, bonds are considered safer than stocks because they provide fixed interest payments and return the principal amount if held to maturity.
Can I sell my bond before maturity?
Yes bonds can be sold in the secondary market. Their selling prices are dictated by current interest rates, demand in the market, and the bond’s credit rating. Some bonds, especially unlisted ones, can be poorly liquidated.
Are returns from bonds taxable?
Bonds do pay certain interests which are payable as income and are divided by slab, but there are some exemptions like tax free municipal bonds or other bonds under section 10 of the income tax act. Also, capital gains from bond trading also is taxable depending on any time in the holding period.
Which type of bond is best for first-time investors?
First time investors can look into starting with Government Securities (G-Secs) or RBI Floating Rate Savings Bonds because of their safety and moderate returns. Tax-free bonds and AAA rated corporate bonds are also good for those looking for stable investment alternatives.

July 25, 2025

Different Types of Trading in the Stock Market

Trading in the stock market sounds good right, but can there be more than one way to trade stocks? Can we earn from trading by making multiple trades during a day? Can profits be earned from trading in minutes? You must be having multiple questions. In this blog we will be learning about different types of trading in the Stock Market.

The Indian stock market features millions of traders using a variety of trading strategies to earn profits. From fast-paced intraday trading to the more patient approaches of swing and positional trading, each method presents its own set of opportunities.

Types of Trading in Indian Stock Markets

Different types of trading in the Indian stock market are given below:

1. Intraday Trading

It is a type of trading in which traders buy and sell stocks within the same trading day, where small price fluctuations are monitored to gain profits.

Key Features:

Traders close out all positions before the market closes. Traders have to monitor the market and make decisions in real-time. The market witnesses very small price changes, these price changes are captured for making profits. It is Ideal for experienced traders who are comfortable with instant changes and extreme risk.

Advantages of Intraday Trading

Opportunity for Rapid Profits: Traders can capitalize on tiny increments in price throughout the day, resulting in rapid gains.
No Risk from After-Hours Events: There is no risk of losing money from news and global market shifts after trading hours, since all positions are closed by day’s end.
Certain Stocks are Highly Liquid : Due to the focus on widely-traded stocks, intraday trading allows a trader to easily buy and sell securities at the desired price.
Access to Leverage : Many brokers provide leverage which allows traders to take larger positions relative to their own capital.

Disadvantages of Intraday Trading

High Levels of Stress and Pressure: The need to keep track and make decisions at a split second can be mentally tiring.
Capital at High Risk: Capital is at high risk due to high market volatility as the trader is bound to square off trades by the end of the day.
Reliance on Technology: Problems with the internet or the trading platforms can cause losses.

2. Swing Trading

In this type of trading, traders aim to earn profits from small to medium term price movements in the financial markets. The trader holds a trading position for several days or even weeks.

Key Features:

In this type of trading, the trader aims to capture profits within a span of several days or weeks. This is ideal for traders who have little time to analyse the market and can hold the position overnight.

Advantages of Swing Trading

Less Demanding of Time: Unlike day trading, swing trading does not require a constant watch and is suitable for those with other commitments.
Exploitation of Short-Term Trends: Traders are able to take advantage of price trends that last for several days or weeks.
Lower Transaction Costs: In swing trading, the overall number of trades is reduced, leading to lower brokerage fees when compared to scalping and intraday trading.

Disadvantages of Swing Trading

Risk After Market Hours: Post market hours come with the risk of news or changes that makes the stocks move unexpectedly.
Precise Entry Timing: Here the trader needs to act exactly at the right moment to gain profits from short-term price movements as losing the right opportunity can reduce potential gains.
Requires Self Control: Traders must be disciplined enough not to act on emotional trades and instead stick to set plans.

3. Positional Trading

This is a trading strategy with a long-term approach where trades are kept open for months or even years.

Key Features:

Positional trades are done based on company fundamentals. It is not as affected by the market volatility in the near term. This is ideal for those traders who want to create wealth over a moderate time period.

Advantages of Positional Trading

Long-Term Strategy for Capital Appreciation: Traders can take advantage of extended bull markets by holding onto stocks for several months or years.
Reduced Trading Activity: Low trading frequency leads to lower costs and less stressful decision making.
Thorough Research: This style of investing is suitable for those looking to build wealth as it often includes comprehensive research.

Disadvantages of Positional Trading

Money Locked Up: Funds are rendered inaccessible for other investments due to being tied up for long periods of time.
Delayed Return on Investment: Does not happen instantly as increases could take months or even up to a year.
Long-Term Macro Risks: Long term positions make one’s investment more vulnerable to economic changes or political shifts.

4. Scalping Trading

This trading approach involves making numerous trades during the day in an effort to earn profits from tiny price movements.

Key Features:

The position is kept for a few seconds to a few minutes. It requires a disciplined stop-loss strategy to avoid a major loss. It is ideal for those traders who are fast decision-makers and have access to high-end trading terminals.

Advantages of Scalping

Numerous Chances to Profit: Traders can make a profit through small shifts in price by executing dozens or hundreds of trades a day.
Low market exposure: Due to their brief duration, trades have a limited exposure to after markets and overnight risks as the trades are closed in trading hours.
Quick Compounding: Capital can be quickly accumulated as numerous small profitable trades can give decent returns.

Disadvantages of Scalping

High transaction fees and charges: As there are a very high number of trades, the total transaction charges increases and reduces potential profits.
Mental Burnout: Prolonged focus and decision making involved in scalping makes it time consuming and stressful for most traders.

Read Also: What is Scalping Trading Strategy?

5. Momentum Trading

This refers to buying and selling securities based on price action. Traders execute purchases based on the positive trend in stock while one may sell the stocks based on the negative trend.

Key Features:

Buying securities which are showing positive price movement while selling those which start to move downwards. These indicators are used for technical analysis to confirm momentum. It is best suited for traders who have the ability to observe and respond to strong movements in the market.

Advantages of Momentum Trading

Advantageous during Trend Changes: Momentum traders will take advantage of strong increases and decreases in stock prices.
Flexibility: The strategy can be used at any time; it can be intraday, swing, or positional.
Heavy Reliance on Technicals: There tend to be rules set on when to enter and exit trades, making them systematic rather than discretionary which is often the case with momentum trading.

Disadvantages of Momentum Trading

Flawed assumptions: Real momentum is hard to identify, sometimes rumors lead to losses
Volatile Environment: Quick market shifts can suddenly turn a profitable and ideal trade into a loss.
Experience Required: It requires a combination of technical analysis, understanding the market and disciplined approach along with risk management.

6. Options Trading

Options trading entails the buying and selling of options contracts. It gives buyers the right, but not the obligation, to exercise their right to buy or sell the underlying asset at the strike price. In India, we have European options, in which the right to exercise is only available at the time of expiry.

Options are utilized for hedging, speculation, or income generation, and provides multiple strategies such as straddle, spreads, etc. for traders across multiple market conditions.

Key Features of Options Trading:

Options contracts define a strike price or exercise price, expiration date, and stipulate a premium payable by the buyer.
Options allow traders to make positions in relatively smaller margins.
Options enable you to generate returns in bullish, bearish, or neutral markets, while helping manage risk.

Advantages of Options Trading

Leverage and Cost Efficiency: Options enable traders to create trading positions with relatively less capital and enhance the potential returns.
Limited Risk for Buyers: For those purchasing options, risk is minimized to the premium paid, in comparison to other leveraged instruments, risk is clearly defined for buyers at least..

Disadvantages of Options Trading

Complicated Learning Curve: Options are complicated when it comes to trading and the distinctive strategies and greeks that come along with it makes it exceptionally difficult for new learners to learn.
Time Decay: Options have expiration dates and their worth diminishes over the course of time, resulting in losses for option buyers. It is an advantage for option sellers though.
Unfavorable Market Conditions: For option buyers, odds are against them. There is very less probability of turning a trade into a profitable one. And for sellers, there is infinite risk, for a very small premium they receive.

Options trading offers unique opportunities for managing risks and realizing profits, but it requires in-depth knowledge, self-control, and risk evaluation.

Read Also: Options Trading Strategies

7. Commodity Trading

Just as stock trading shares of a company, commodity trading has to do with tangible assets. In India, the MCX and NCDEX exchanges facilitate the buying and selling of derivative instruments with underlying assets like gold, crude oil, wheat, etc. It helps in diversification, risk management, and price discovery.

Key Features:

Trading occurs under the guidelines set by SEBI, thus maintaining transparency and price efficiency during trading sessions.
Traders often utilize derivative instruments such as options and futures in the commodities market, which makes it easier for speculators and hedgers.
The market consists of a variety of assets, these include agricultural commodities, base metals, precious metals, and energy resources. This makes it possible to achieve better diversification.

Advantages:

Portfolio Diversification: Trading commodities allows one to diversify their portfolio as these assets tend to move independently of the equities markets. It reduces overall portfolio risk and provides some protection against declines experienced in the equity portfolio.
Inflation & Volatility: Traders can protect themselves against inflation as commodities prices generally surge in value during inflation, and geopolitical and economic uncertainties.
Leverage and High Profit Potential: Derivatives trading require relatively lower capital to create much larger positions, which enhances returns from price fluctuations.

Disadvantages

High Volatility and Risk: Due to geopolitical events, supply and demand imbalances, etc. commodities experience extreme price volatility.
Lack of Experience and Market Insight: A grasp of the market’s drivers, details of contracts, as well as risk management strategies, require a certain level of expertise, which makes commodity trading unsuitable for novices.
Danger of Over-Leveraging: Leverage can help traders increase profits, but also it can increase one’s losses. A little unfavorable price shift can completely eliminate the entire capital.

While commodity trading is a means of diversification with relatively good returns, it is also a source of considerable risk which demands thorough research, discipline, and adequate risk control measures.

Factors to Consider before Trading

Some of the factors to consider before trading are listed below:

1. Understanding Yourself: One should know better which strategy best fits your needs. If you are risk-averse, short-term strategies like intraday trading may not suit you. You may favor long-term strategies like delivery and position trading which tend to be less volatile.

2. Time Commitment: One should know that each style of trading has its own time commitments and delivery trading doesn’t require spending too much time which is the opposite of intraday and scalping which always requires supervision and timely decisions. If you happen to work full time, this approach might not be the best fit for you, and delivery trading might fit your schedule better.

3. Knowledge on the Market: Traders that are involved in short-term trades, such as intraday trades, should have advanced technical analyses knowledge. Ensure to educate yourself sufficiently prior to selecting a strategy.

5. Goals for the Investment: Those seeking quick returns will more likely gravitate towards intraday or scalping strategies. But if long term wealth is the goal, then delivery trading and long-term investing would be more suitable.

6. Emotional Control: Your preferred style of trading might challenge your ability to remain emotionally resilient. For example, fast trading leads to rapid decision making such as loss-cutting and profit-taking. Slower approaches allow for more controlled decision making and can help when dealing with volatile market conditions.

Conclusion

The stock market in India features traders using different trading strategies as per their individual objective, timeline, risk management, and trading horizon. Whether you are a swing trader, positional trader, or a trader pursuing intraday or scalping strategies, you need to know the advantages and disadvantages associated with each trading style. Hence, it is advised to consult a financial advisor before trading.

S.NO.	Check Out These Interesting Posts You Might Enjoy!
1	Top 10 Intraday Trading Strategies & Tips for Beginners
2	Intraday Trading Rules and New SEBI Regulations
3	Commodity Trading Regulations in India: SEBI Guidelines & Impact
4	List of Best Swing Trading Patterns
5	Best Options Trading Chart Patterns

Frequently Asked Questions (FAQs)

What trading style is the most secure for beginners?
In India, delivery trading is more secure because it requires the trader to hold stocks for longer periods of time. This long term holding strategy shields the trader from the effects of short-term market volatility.
Can I use any trading style listed above?
You are free to use any trading style depending on the market state, your level of experience, and financial objectives.
Is a Demat account mandatory for every kind of trading?
Yes, a Demat account is mandatory for storing securities if you are holding onto your trading positions overnight and a trading account is necessary to buy and sell securities irrespective of the type of trading performed in India.
What’s the difference between technical analysis and fundamental analysis?
Technical analysis focuses on price movements and other market indicators while fundamental analysis looks into the company’s financials to see how well it is doing.
Is there a particular regulatory body that governs trading activities in India?
The Securities and Exchange Board of India (SEBI) regulates all trading activities and traders have to follow the associated rules and regulations for trading.

July 25, 2025

Monarch Surveyors & Engineering Consultants IPO Allotment Status: Check Latest GMP, Steps To Verify Status

Monarch Surveyors & Engineering Consultants Ltd. is a civil engineering consultancy company, founded in 1992. The company offers services such as topographic survey, design, engineering, land acquisition and GIS mapping in railway, road, metro, ports and oil and gas sectors. It has 417 employees as of March 2024 and is known for its experienced management, wide client base and efficient project execution. Monarch’s SME book-building IPO is a completely fresh issue valued at ₹93.75 crore. The issue was open from 22 July to 24 July 2025 and is likely to be listed on BSE SME on 29 July.

In this blog you will know what is GMP, how the subscription was, how to check allotment, and when will the shares come in demat.

Monarch Surveyors & Engineering Consultants IPO – Key Details

Particulars	Details
IPO Opening Date	July 22, 2025
IPO Closing Date	July 24, 2025
Price Band	₹237 to ₹250 per share
Total Issue Size	₹93.75 crore (37.5 lakh shares)
Listing Platform	BSE SME
Registrar	Bigshare Services Pvt Ltd

Important Dates for Monarch Surveyors & Engineering ConsultantsIPO Allotment

Event	Date
Allotment Date	July 25, 2025
Initiation of Refunds	July 28, 2025
Credit of Shares to Demat	July 28, 2025
Tentative Listing Date	July 29, 2025

Monarch Surveyors & Engineering Consultants IPO Subscription Status

Investor Category	Shares Offered	Shares Bid For	Subscription
Qualified Institutional Buyers (QIB)	7,08,000	12,67,38,600	179.01x
Non-Institutional Investors (NII)	5,32,800	16,89,22,800	317.05x
Retail Individual Investors (RII)	12,40,800	32,63,44,800	263.01x
Total (Public)	24,81,600	62,20,06,200	250.65x
Anchor Investors	10,61,400	10,61,400	1x
Market Maker	2,07,000	2,07,000	1x

Monarch Surveyors & Engineering Consultants IPO GMP (Grey Market Premium)

GMP i.e. Grey Market Premium shows how much demand there is in the unlisted market for the IPO. This is the price above the issue price at which investors are willing to buy shares.

What is the current GMP of Monarch Surveyors & Engineering Consultants?

According to the InvestorGain website, the Grey Market Premium of Monarch Surveyors IPO currently remains around ₹210. This is a strong indication that the share price can reach above ₹460 at the time of listing, which has greatly increased the expectations of investors.

What does GMP indicate ?

GMP directly reflects market sentiment. If GMP is high, it shows that investors expect listing gains of the company. However, this is an unofficial figure and changes are possible.

Important advice for investors

GMP is definitely a useful indicator, but investment decisions should not be taken only on this basis. It is also important to keep in mind factors like company fundamentals, financial data and sector growth.

How to Check Monarch Surveyors & Engineering Consultants IPO Allotment Status

Monarch Surveyors & Engineering Consultants Ltd is a BSE SME IPO, hence allotment status is not available on NSE website. Investors need to use Registrar or BSE website to check allotment.

Method 1: Via Registrar Website (Bigshare Services Pvt. Ltd.)

The allotment status of Monarch Surveyors IPO is first available on its registrar website. The registrar is Bigshare Services Pvt. Ltd., which manages the allotment process of SME IPO.

Step-by-step process :

Open the website: Click Here
Select “Monarch Surveyors & Engineering Consultants Ltd” from the dropdown.
Enter the details either Application No., PAN or DP ID/Client ID.
Click on the “Search” button.
Your allotment status will be displayed on the screen (Allotted / Not Allotted).

Method 2: Through BSE Website

If you want to check through BSE website, follow the steps given below:

Open the official website of BSE
Select the “Equity” option.
Select “Monarch Surveyors & Engineering Consultants Ltd” in IPO Name (when available).
Enter your PAN number or Application Number.
Click on “Search” and view the allotment status.

What to Do After Allotment?

If shares are allotted :

If you get shares in the Monarch Surveyors IPO, these shares will start appearing in your Demat account by 28 July 2025. After this, you can sell them on the listing day on 29 July 2025 or hold them. There can be a lot of volatility in the price on the day of listing, so before trading, make sure to check the live market trend in your broker app. If GMP (Grey Market Premium) remains strong before listing, then listing gains can be taken advantage of.

If shares are not allotted :

If allotment is not done in your name, then your application amount will be unblocked by 28 July 2025. These funds will be unblocked in the same bank account from which you applied – i.e. account linked with UPI or Net Banking (ASBA).There is no need to fill any form for refund. You should keep checking your bank’s SMS or Email alert.

How to check updates?

You can use these methods to check allotment status, refund status and listing updates :

Login to your account through your stockbroker app and check if the shares are visible.
Check if the refund has been received through the UPI app.
You can check allotment status on the official registrar site Bigshare Services Pvt Ltd or BSE website.

Conclusion

Monarch Surveyors & Engineering Consultants IPO is an SME category issue which will be listed only on the BSE SME platform. If you are allotted shares, they will be credited to your demat account by July 28, 2025 and listing will take place on July 29, 2025. On the other hand, if there is no allotment, your blocked amount will be refunded by July 28. For allotment status and refund updates, you can visit the website of Bigshare Services Pvt Ltd and BSE. Keeping an eye on updates keeps you informed about whether you are allotted shares or not during the IPO process, so that you can make informed investment decisions.

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1	Anchor Investors in IPOs – Meaning, Role & Benefits
2	How to Cancel an IPO Application?
3	Why Invest in anKey Difference Between IPO and FPOIPO and its Benefits?
4	What is Face What is the IPO Cycle – Meaning, Processes and Different StagesValue in an IPO?
5	What is NII in IPO?

Frequently Asked Questions (FAQs)

What is the listing date of Monarch Surveyors IPO?
The listing date of this IPO is 29 July 2025.
How can I check the allotment status of this IPO?
You can check the allotment status by visiting the website of Bigshare Services with PAN or application number.
On which exchange will Monarch Surveyors IPO list?
This IPO will be listed only on BSE SME, not on NSE.
When will I receive shares in my Demat account?
If the shares are allotted, they will come to your demat account by 28 July 2025.
Who is the registrar for Monarch Surveyors IPO?
The registrar for this IPO is Bigshare Services Pvt Ltd.

July 24, 2025

Best Gold Stocks in India 2025 – Top Gold Companies to Invest

In India, gold is valued not only as a precious metal used in jewellery but also as a reliable investment asset. In 2025, with gold prices reaching all-time highs, gold stocks, i.e., shares of companies involved in the gold industry have gained significant popularity among investors. These stocks offer a unique advantage, as they are influenced not just by the price of gold but also by the individual growth and performance of the companies themselves.

In this blog, we discuss the best gold stocks in India, their key performance indicators along with benefits and risks of investing in them.

What Are Gold Stocks?

Gold stocks are shares of companies that are directly involved in the gold business. These companies either mine gold, are engaged in refining and export, or are involved in jewellery manufacturing and retail business. In India, companies like Titan (Tanishq), Rajesh Exports, Kalyan Jewellers, MMTC and Senco Gold are the major gold stocks in this category.

Why is the demand for gold stocks increasing?

As gold prices have reached record levels in 2025, the demand for the best gold stocks in India has also increased rapidly. These stocks offer a dual advantage—benefiting from both the rising value of gold and the financial performance of the companies themselves. This is the reason why today’s smart investors are giving place to the stocks of the best gold companies in India in their portfolio instead of just buying gold.

Best Gold Stocks in India 2025

Company	Current Market Price (INR)	Market Capitalisation (in INR crore)	52-Week High (INR)	52-Week Low (INR)
Titan Company Ltd	3,471	3,08,151	3,867	2,925
Hindustan Zinc Ltd.	444	1,87,794	664	378
Muthoot Finance	2,678	1,07,513	2,703	1,670
Kalyan Jewellers	590	60,846	795	399
Manappuram Finance	272	23,044	285	138
MMTC Ltd	69	10,347	132	42.6
Rajesh Exports	198	5,837	332	151
Senco Gold Ltd.	362	5,918	772	227
Thangamayil Jewellery Ltd.	1,872	5,820	2,567	1,523
Vaibhav Global Ltd	239	3,987	353	178

(Data as of 23 July 2025)

A brief overview of the best gold stocks in India is given below:

1. Titan Company Ltd

Titan Company was established in 1984 as a joint venture between Tata Group and the Government of Tamil Nadu. It started with watches, but today this company is known for India’s most trusted jewelry brand Tanishq. Apart from this, brands like CaratLane, Fastrack and Mia are also part of its portfolio. Titan has constantly improved its design and quality keeping in mind the changing preferences of Indian consumers. Due to strong brand value and retail network spread across the country, this company is counted among the leading gold stocks in India today.

Know the Returns:

1Y Return (%)	3Y Return (%)	5Y Return (%)
6.70	48.42	225.14

(Data as of 23 July 2025)

Read Also: Titan Case Study

2. Hindustan Zinc Ltd

Hindustan Zinc Limited was founded in 1966 and is a subsidiary of the Vedanta Group. Its core business is zinc, lead and silver mining, but the company also extracts gold as a by‑product. It is the largest integrated zinc producer in India, and its mining operations are spread across Rajasthan. Hindustan Zinc’s production capacity, sustainable mining process and deep roots in the metals sector make it a strong and diversified gold stock option.

Know the Returns:

1Y Return (%)	3Y Return (%)	5Y Return (%)
-29.63	60.63	123.55

(Data as of 23 July 2025)

Read Also: Hindustan Zinc Case Study

3. Muthoot Finance Ltd

Muthoot Finance was started in 1939 when Mr. M.G. George Muthoot started a traditional money lending business. The Kerala based company has today become India’s largest gold loan NBFC. Muthoot’s trusted brand, deep penetration in rural and urban areas and simple loan process make it the first choice for millions of customers. Its tagline “Gold loan is good” has successfully given a new identity to gold based finance in India. Strong operations and brand value make it a top gold stock India.

Know the Returns:

1Y Return (%)	3Y Return (%)	5Y Return (%)
46.66	156.17	103.20

(Data as of 23 July 2025)

4. Kalyan Jewellers Ltd

Kalyan Jewellers was started in 1993 by T.S. Kalyanaraman in Thrissur, Kerala. Starting from a small store, today this company is running more than 200+ outlets in India and the Middle East. Kalyan is known for its diverse designs, traditional collections and transparency. The brand has built a strong connection with customers by having many Bollywood celebrities as its ambassadors. Its large presence in Tier-2 and Tier-3 cities of India makes it a strong gold company in India.

Know the Returns:

1Y Return (%)	3Y Return (%)	5Y Return (%)
11.68	811.65	698.85

(Data as of 23 July 2025)

5. Manappuram Finance Ltd

Manappuram Finance was started in 1949 in Valapad, a small town in Kerala. It was founded by V.C. Padmanabhan is a traditional money lending firm. Later his son V.P. Nandakumar transformed it into a professional NBFC. Today the company is one of the leading gold loan companies in India with thousands of branches spread across the country. With the power of technology and rural reach, Manappuram has made gold-based lending affordable and fast, making it a trusted gold stock in India.

Know the Returns:

1Y Return (%)	3Y Return (%)	5Y Return (%)
24.86	188.29	56.86

(Data as of 23 July 2025)

6. MMTC

Metals and Minerals Trading Corporation of India was established in 1963 by the Government of India. It is one of the oldest and largest foreign trading companies in the country. It has a deep involvement in the import-export of gold and silver. The company is considered a prominent name for gold bullion trading in India and is also associated with government projects. MMTC’s business is greatly affected by government policies, but its long-standing reputation still makes it an important gold stock in India.

Know the Returns:

1Y Return (%)	3Y Return (%)	5Y Return (%)
-21.31	76.10	255.82

(Data as of 23 July 2025)

7. Rajesh Exports Ltd

Rajesh Exports was founded in 1989 in Bengaluru and is today one of the largest gold processing companies in the world. The company controls the entire value chain from gold refining to jewelry manufacturing and retail. In 2015, it acquired the Valcambi refinery in Switzerland, further strengthening its international reach. Rajesh Exports is heavily focused on exports, and is also known for being a “zero debt” company. Its vertically integrated structure makes it a unique gold stock in India.

Know the Returns:

1Y Return (%)	3Y Return (%)	5Y Return (%)
-34.56	-66.17	-58.34

(Data as of 23 July 2025)

8. Senco Gold Ltd

Senco Gold is a traditional jewellery brand with roots in Kolkata and is especially popular in eastern India. It was started in 1994 and has been building a customer base in Bengal and surrounding states for a long time. The company is characterized by its regional design approach and middle class friendly pricing. It has recently been listed on the stock market and is now expanding its stores across India. Local experience and new expansion plans make it an emerging gold stock India.

Know the Returns:

1Y Return (%)	3Y Return (%)	5Y Return (%)
-24.11	67.42	67.42

(Data as of 23 July 2025)

9. Thangamayil Jewellery Ltd

Thangamayil Jewellery Ltd. was established in 2000 in Madurai, Tamil Nadu. The company is primarily engaged in the retail of gold, silver and diamond jewellery. Thangamayil has created a special identity among the customers of South India with its strong local connection and strategy of adding modernity to traditional designs. The company is known for its presence in tier-2 and tier-3 cities of Tamil Nadu, where its branches are continuously growing. The transparent business model and regional focus make it a unique place among the emerging gold stocks of India.

Know the Returns:

1Y Return (%)	3Y Return (%)	5Y Return (%)
9.58	254.70	1,113.48

(Data as of 23 July 2025)

10. Vaibhav Global Ltd

Vaibhav Global was founded in 1989 in Jaipur and focuses on jewellery designing and retailing in international markets. The company sells fashion jewellery in markets like the US and the UK through live TV and online channels. It operates on value-for-money products and a direct-to-customer model. The company has a limited presence in the domestic market but has made a mark in global retail. Its innovative retail approach and design-driven strategy make it a unique gold stock.

Know the Returns:

1Y Return (%)	3Y Return (%)	5Y Return (%)
-22.43	-23.15	-11.23

(Data as of 23 July 2025)

Key Performance Indicators (KPIs)

Company	Operating Margin (%)	Net Profit Margin (%)	ROE (%)	ROCE (%)	Debt to Equity
Titan Company Ltd	9.07	5.51	28.70	36.93	1.56
Hindustan Zinc Ltd.	43.22	30.37	77.69	63.24	0.80
Muthoot Finance	72.61	26.47	18.15	47.55	2.55
Kalyan Jewellers	5.26	2.85	14.88	20.88	0.20
Manappuram Finance	52.19	11.98	9.78	41.57	2.85
MMTC Ltd	4,346.46	2,584.75	5.08	6.75	0.00
Rajesh Exports	0.18	0.11	2.20	3.29	0.04
Senco Gold Ltd.	5.59	2.51	8.08	15.83	0.90
Thangamayil Jewellery Ltd.	4.09	2.41	10.76	16.60	0.68
Vaibhav Global Ltd	6.36	4.53	11.36	14.78	0.08

(Data as of 23 July 2025)

Smart Alternatives to Gold Stocks: Invest via ETFs & Gold Bonds

Investing in gold stocks can be lucrative, but if you want a safer or simpler option, gold ETFs and sovereign gold bonds (SGBs) are great options. These options are not only easy but also offer significant tax and liquidity benefits.

Gold ETFs: Gold ETFs (Exchange Traded Funds) are funds that track the price of gold. You can buy and sell them like shares in the stock market. They do not pose storage problems like physical gold and are linked to gold of 99.5% purity.

Benefits:

You can own gold without having to own physical gold
Completely liquid can sell whenever you want
Investment with low expenses
Can start with a small amount

Sovereign Gold Bonds (SGBs) : SGBs are issued by the Government of India and offer investors a 2.5% annual interest along with gold prices. These bonds have a tenure of 8 years and can be redeemed without capital gains tax.

Benefits :

Gold returns along with interest income
Tax relief (exemption from capital gains tax)
Protection from government guarantee
No need for physical gold

Benefits of Investing in Gold Stocks

Benefits of investing in gold stocks is given below:

Potential for Long-Term Wealth Creation : Investing in gold stocks is not just linked to the price of gold, but also to the growth of the company. If the company’s sales, brand and profits grow, the share price can also give good returns in the long term.
Hedge Against Inflation : When inflation rises and the rupee weakens, gold and its associated companies often perform well. Therefore, gold stocks act as a balance and protection in the portfolio.
Dual Benefit: Equity + Gold Exposure : Investing in gold stocks gives you two types of benefits one, from the price of gold and second, from the business growth of that company. This gives the possibility of double returns.
Liquidity & Easy Trading : Compared to gold jewellery or physical gold, gold stocks can be easily bought or sold through the stock market at any time. This makes the investment more flexible.
No Storage or Making Charges : Like physical gold, it does not require any locker, security measures or making charges.

Risks of Investing in Gold Stocks

Gold stocks are considered an attractive investment option, but they also carry some significant risks that need to be understood. Below are four key risk points that any gold stock investor should keep in mind:

Gold Price Fluctuation Risk : The international price of gold depends on factors such as the dollar, interest rates and global events. When the price of gold falls, it directly affects the sales and profits of gold companies.
Regulatory Risks : The Government of India changes the duty, tax or trade policy on gold imports from time to time. Any such change can affect the cost and profit of companies.
Global Market Volatility : Gold is an international commodity, so economic uncertainty, war, or inflation trends in the global market also affect gold stocks. Investors should make decisions keeping this global connection in mind.
Liquidity Risk : Some small or mid-cap gold companies have less trades in the stock market. In such a situation, it may be difficult to sell shares when needed or it may be difficult to find a buyer at the right price.
Demand-Supply Risk : The demand for gold is affected due to festivals, wedding season and fluctuations in global demand. If the demand decreases, both the sales and profits of the companies can decrease.
Operational Risks : Problems like disruption in production, strike of employees or technical faults are common in companies related to mining or refining, which can have a negative impact on the stock.
Market Sentiment Risk : Many times the performance of gold stocks also depends on the sentiment of investors or news-driven sentiment. Rumors or false news can cause stocks to fall sharply, even if the company’s fundamentals are good.

How to Invest in the Best Gold Stocks (with Pocketful)

Open a Demat & Trading Account : The first step to start investing in gold stocks is to open a Demat and trading account on a trusted platform. You can easily complete this process by opening a demat account with Pocketful.
Research and Shortlist Quality Gold Stocks : Research companies whose business is directly related to gold, such as jewellery manufacturing or gold retailing, and look at their long-term prospects.
Analyze Company Fundamentals : Analyze the company’s financials, business model, growth potential and position in the sector in depth to make an informed investment decision.
Start Investing via Pocketful : With Pocketful, you can invest in gold stocks without any brokerage fees. Its simple interface and safe process is suitable for all types of investors.
Monitor and Review Regularly : Once you invest, review the portfolio regularly and make changes if needed to optimize returns.

Conclusion

Investing in gold has now gone beyond the traditional methods. Today, investors can also invest in businesses related to gold through shares, ETFs and bonds. While gold stocks offer the opportunity for higher returns, ETFs and bonds are considered better for stability and diversification. With the right research and strategy, gold can prove to be a strong option for long-term investment. However, it is advised to consult a financial advisor before investing.

S.NO.	Check Out These Interesting Posts You Might Enjoy!
1	A Guide To Investing In Gold In India
2	List Of Best Jewelry Stocks in India
3	How to Invest in Gold ETF – Benefits, Risks and Charges
4	Top 10 Reasons to Invest in Gold
5	Best Silver Stocks in India

Frequently Asked Questions (FAQs)

What are gold stocks in India?
Gold stocks in India are companies that manufacture gold jewellery, sell it in retail or are involved in gold trading.
Is it safe to invest in gold stocks?
Yes, if you have chosen a fundamentally strong company and have a long term view then it can be a safe option.
Which is better: gold ETF or gold stocks?
ETFs are more stable while gold stocks have higher potential for growth and returns.
Can I invest in gold stocks without buying physical gold?
Yes, you do not need to buy physical gold to invest in gold stocks.
Do I need a Demat account to invest in gold stocks?
Yes, a demat account is required to buy gold stocks.

July 24, 2025

Stock Market Prediction Using Machine Learning in 2025

To analyse stocks and predict the market movement, there are various factors such as economic indicators, technical tools, global events, company financials, etc. Generally, it is difficult for a retail investor to analyse all these factors at once and make an informed decision. This is where machine learning has emerged as a game-changer by offering powerful tools to analyze complex data patterns and enhance market prediction accuracy.

In this blog, we’ll provide an overview of stock market prediction using machine learning, including its complete process, key advantages, and potential risks involved in applying ML techniques to financial markets.

What is Machine Learning in Stock Market Prediction?

In predicting stock market movements, machine learning helps in various ways through the application of data-driven algorithms that learn from past and present market data to predict future stock price movements. In comparison to rule-based systems, machine learning models can identify complex, irregular patterns and improve with additional data. It has the capability to analyze huge amounts of data quickly and execute trades in milliseconds.

How Machine Learning Helps in Predicting the Market Trend?

Machine learning helps in predicting the market trends by following the below-mentioned process:

Enter input data: To develop robust models, it is important to enter reliable data, such as stock price data, sentiment scores, P/E ratios, RSI, and moving averages.
Discovering Non-Linear Relationships: The stock market is not linear by nature. Its actual dynamics are frequently not captured by straightforward linear correlations. Machine learning is excellent at figuring out complex, non-linear relationships between different market variables, which results in predictions that are more precise.
Data Processing: Machine learning collects the market data such as historical prices, volume, financials, news, macroeconomic events, etc. Based on the collected data, ML algorithms process it into meaningful insights and make decisions based on it.
Minimising Human Interference: Fear and greed are two emotions that have a big influence on trading choices. Through machine learning models, emotional biases from investment strategies are removed because they only use data and algorithms.
Real-time Adaptation: ML models can be trained and updated on new data, so that they can instantly respond to changing economic and market conditions.

Benefits of Using Machine Learning for Stock Market Prediction

The significant benefits of using machine learning for stock market prediction are as follows:

Identifying Pattern: Machine learning algorithms are able to spot complex and unusual trends in past stock data that human analysts may fail to recognise.
Data Analysis: In order to make well-informed, unbiased trading decisions, machine learning models analyse vast amounts of financial data, including sentiment, company fundamentals, price history, and macroeconomic indicators.
Efficiency: Traders can take advantage of short-term market opportunities and act more quickly, thanks to machine learning’s ability to process and analyse real-time data in milliseconds.
Flexibility: Machine learning models are more efficient than traditional methods that depend on rules, as they can continuously learn from new data and respond to changes in the market.
Emotional Bias: Machine learning models make decisions based on data, thereby reducing emotional bias and enhancing decision-making.

Risk of Using Machine Learning for Stock Market Prediction

The key risks of using machine learning for stock market prediction are as follows:

Data Quality: If the quality of data used by machine learning algorithms is outdated, the predictions based on them can be incorrect and result in losses.
Lack of Transparency: The machine learning algorithms usually lack transparency, making it difficult for investors to understand the logic behind the executed trades.
Cyber Threats: Any kind of changes in the ML models by cyber attackers can lead to losses.
Limited Human Interference: There can be certain scenarios in which human judgement may be required. Due to a lack of human interference, the outcomes can be unfavourable sometimes.

Conclusion

On a concluding note, machine learning has changed the stock market in a very significant manner. Both institutional and retail investors can benefit greatly from machine learning. It can help in analysing raw data from various sources and make informed decisions based on predefined algorithms. However, using machine learning has some disadvantages, such as a lack of transparency etc. Therefore, it is advisable to consult your investment advisor before making any investment decision.

S.NO.	Check Out These Interesting Posts You Might Enjoy!
1	The Art of Value Investing: Meaning and Strategies
2	What is AI Trading?
3	Stock Market vs Commodity Market
4	Trading For Beginners: 5 Things Every Trader Should Know
5	Top 10 Books for Beginners in Trading & Investing

Frequently Asked Questions (FAQs)

How accurate is machine learning in predicting the trend of stock prices?
Machine learning algorithms can identify the pattern of stock price, but they are not 100% accurate because of unforeseen factors and market conditions.
How can machine learning help in portfolio management?
Machine learning helps in managing one’s portfolio by determining asset allocation, portfolio rebalancing, and predicting the estimated returns in one’s portfolio.
Is it necessary to have a finance background to use machine learning?
No, it is not necessary to have an understanding of finance before using machine learning for predicting stock prices.
Is machine learning available for retail investors?
Yes, retail investors can also use machine learning through AI-powered platforms, algorithmic tools, and robo-advisors.
What type of data is used by machine learning to predict the stock price?
The data such as historical prices, financial ratios, trading volumes, etc., are used by machine learning algorithms to predict the future stock prices.

July 24, 2025

Savy Infra IPO GMP, Allotment Status & Listing Date 2025

Savy Infra & Logistics Limited is an experienced EPC company founded in January 2006. The company specializes in infrastructure projects such as road construction, foundation work, embankment construction, and surface paving. Savy Infra & Logistics also provides demolition services and is engaged in mechanical excavation, shoring, strutting, slush removal, and debris disposal. The company’s business model is asset-light, that is, it hires trucks, drivers, and machinery to efficiently complete projects. Its EPC and logistics projects have been successfully completed in several states including Gujarat, Maharashtra, Telangana, Odisha. The company has experienced promoters and a strong management team, which is driving its growth.

In this blog, we will give you all the important information related to this IPO like GMP (grey market premium), subscription details, allotment status, and the process to check it.

Savy Infra & Logistics IPO – Key Details

Particulars	Details
IPO Opening Date	July 21, 2025
IPO Closing Date	July 23, 2025
Price Band	₹114 to ₹120 per share
Total Issue Size	₹69.98 crore (58.32 lakh shares)
Listing Platform	NSE SME
Registrar	Maashitla Securities Private Limited

Important Dates for Savy Infra IPO Allotment

Event	Date
Tentative Allotment	July 24, 2025
Initiation of Refunds	July 25, 2025
Credit of Shares to Demat	July 25, 2025
Tentative Listing Date	July 28, 2025

Savy Infra & Logistics IPO Subscription Status

Category	Shares Offered	Shares Bid For	Subscription
Qualified Institutional Buyers (QIB)	11,07,600	10,30,24,800	93.02×
Non-Institutional Investors (NII)	8,31,600	16,33,63,200	196.44×
Retail Individual Investors (RII)	19,39,200	17,76,76,800	91.62×
Total (Public)	38,78,400	44,40,64,800	114.50×
Anchor Investors	16,60,800	16,60,800	1x
Market Makers	2,92,800	2,92,800	1x

How to Check Savy Infra IPO Allotment Status

Savy Infra IPO allotment status can be checked online very easily. There are two main ways for this – the IPO Registrar’s website and the official website of NSE. Note that this IPO is being listed only on the NSE SME platform, so its allotment status will not be available on the BSE site.

Method 1: Check from Registrar’s website

The most reliable way to check Savy Infra IPO allotment status is by visiting the official website of its registrar

How to :

Visit Maashitla’s website and open the IPO Allotment Status page.
Select “Savy Infra and Logistics Ltd.” from the dropdown list.
Enter your PAN number, Application ID or DP/Client ID.
Click on the Submit button.

If you have been allotted shares, the screen will show “Allotted”, else “No Allotment”.

Method 2: Check from NSE’s website

If there is heavy traffic on the registrar’s website or there is a technical issue, then you can also check the allotment status from the official site of NSE.

How to do :

Go to the NSE site
There you will get the option to check the allotment status.
Select the company name i.e. Savy Infra Limited.
Fill in the PAN number and Application Number.
Click on “Submit”.

Your IPO allotment status will be visible on the screen in a few seconds.

Check Also: Swastika Castal IPO Allotment Status

Savy Infra IPO GMP (Grey Market Premium)

What is the latest GMP of Savy Infra IPO?

The GMP of Savy Infra IPO on 23 July 2025 has been recorded at around ₹25. Since the price band of this IPO has been fixed between ₹114 to ₹120, so if we look at the upper price of ₹120, then the possible listing price can be up to ₹145. That is, investors are expected to get a profit of more than 20% on listing.

What is GMP?

GMP i.e. Grey Market Premium is the unofficial premium of an IPO share at which it is being traded in the off-market before listing. It gives investors an indication of the price range in which the stock may open on the day of listing. However, this is an unofficial market data and it fluctuates very quickly, so it should be seen only as an estimate.

Can GMP be trusted?

GMP does give investors an early indication of listing day trends, but it is entirely based on market sentiment and can change at any time. It is an unregulated market where off-record transactions take place between dealers and traders, so investment decisions should not be made only by looking at GMP.

What to keep in mind before investing?

If you are thinking of investing in Savy Infra IPO, do not rely only on GMP. Evaluate the ground facts like the company’s financial performance, business model, order book and management team. Also, liquidity and volatility are also high in SME IPOs, so investing from a long term perspective will be a more sensible move.

The current GMP of Savy Infra IPO is around ₹25, which indicates that the market is positive about this issue. Nevertheless, this is a provisional indicator and investors should invest wisely keeping in mind the strength of the company and their risk appetite.

What to Do After Allotment?

What to do now if the shares have been allotted?

If you have got shares in the Savy Infra and Logistics IPO, then these shares will be credited to your demat account by July 25, 2025. After this, the listing of the IPO will be done on the NSE SME platform on July 28, 2025. According to the latest gray market reports, the gray market premium of this IPO is running at ₹25. That is, its potential listing price can be around ₹145. If you are a short-term investor, then decide to book profits by looking at the price movement, market sentiment and volume on the listing day. On the other hand, long-term investors can think of holding keeping in mind the basic fundamentals of the company, industry trends and future projects.

What to do next if the shares are not allotted?

If your shares are not allotted, your funds blocked for the IPO will be unblocked by July 25, 2025. This process is automatic and no additional action is required for this.

After getting the funds, you can use them to invest in any other SME or mainboard IPO. Also, in future it will be beneficial to check GMP, retail subscription and company background carefully before investing.

Conclusion

Savy Infra & Logistics IPO is open for subscription from July 21 to July 23, 2025 and it is expected to be listed on NSE SME platform on July 28, 2025. The company is engaged in the construction and logistics sector, and aims to use the funds raised from the IPO for working capital and purchase of equipment. Investors should take a decision keeping in mind the company’s financial position, sector growth and market risks. Post-listing performance will entirely depend on market sentiment.

Frequently Asked Questions (FAQs)

What are the IPO dates of Savy Infra & Logistics?
This IPO will be open from 21 July 2025 to 23 July 2025.
On which exchange will the Savy Infra & Logistics IPO be listed?
This IPO will be listed only on the NSE SME platform.
When will the allotment of this IPO be finalized?
Its allotment will be finalized on 24 July 2025.
What is the refund date for unallotted investors?
Investors who will not get shares, their funds will be unblocked by 25 July 2025.
When will the shares be credited to the demat account?
The shares will come to the demat account of investors on 25 July 2025.

July 23, 2025

Swastika Castal IPO Allotment Status: Check GMP, Steps To Verify Status

Swastika Castal Limited, incorporated in 1996 and headquartered in Vadodara, Gujarat, is a specialist aluminium casting manufacturer offering sand, gravity die and centrifugal casting processes. With nearly three decades of experience, it produces components ranging from 70 kg to 250 kg for electrical equipment, railways, diesel engines, automotive and industrial applications. The company boasts advanced in-house heat treatment and quality inspection facilities, a skilled metallurgical team and a global vendor network.

In this blog we will tell you how to check the allotment status of this IPO, what is its Grey Market Premium (GMP), and what has been the subscription status so far. It is important for every investor to know about their IPO allotment status; so that they know whether they have got shares or not. Now, let us discuss the key details of the IPO, its GMP and the process to check your allotment status.

Swastika Castal IPO – Key Details

Particulars	Details
IPO Opening Date	July 21, 2025
IPO Closing Date	July 23, 2025
Issue Price	₹65 per share
Total Issue Size	₹14.07 Crores (21.64 lakh shares)
Listing Platform	BSE SME
Registrar	Accurate Securities & Registry Private Limited

Important Dates for Swastika Castal IPO Allotment

Event	Date
Tentative Allotment	July 24, 2025
Refunds Initiation	July 25, 2025
Credit of Shares to Demat	July 25, 2025
Tentative Listing Date	July 28, 2025

Swastika Castal IPO Subscription Status

Category	Shares Offered	Shares Bid For (Day 1)	Subscription (Day 1)
Retail Individual Investors (RII)	10,28,000	79,56,000	7.74×
Non-Institutional Investors (NII)	10,26,000	24,78,000	2.42×
Total (Public)	20,54,000	1,04,34,000	5.08×
Market Maker	1,10,000	1,10,000	1x
Anchor Investors	Not Applicable	–	–

Demand remained strong, with the RII portion subscribed 7.74×, demonstrating solid confidence from individual investors.
Subscribed at 2.42×, while initially lower, demand recovered over the subscription period.
The public offer closed at 5.08× subscription, signaling robust interest across all investor categories.
A total of 2,242 applications were finally submitted.

Swastika Castal IPO GMP (Grey Market Premium)

The current grey market premium (GMP) of Swastika Castal SME IPO is recorded at ₹0. This simply means that there is neither much demand for this IPO in the grey market nor any special premium is being added to it. The issue price of the IPO is ₹65, and given the current GMP, no listing gain is expected based on the current GMP of ₹0.

1. What does GMP being ₹0 mean for investors?

The GMP being zero indicates that the market sentiment remains neutral about this IPO at the moment. This does not mean that the IPO is bad, but it is an indication that there is neither enthusiasm nor fear about it in the grey market. In such a situation, there is little hope of getting any big listing gains on the first day of the IPO. However, any investment decision should not be made just by looking at the GMP. Many factors like the company’s financials, subscription status and sector situation together present the real picture of an IPO.

2. Is it right to look only at GMP?

GMP is only an informal indicator, which reflects the current sentiment of the market. It can also change rapidly, especially when the market sentiments suddenly turn positive on listing day. Therefore, before investing, it is important to pay attention to the financial statements of the company, the background of the promoters and the long-term growth potential.

The GMP of Swastika Castal IPO is currently at ₹0, which shows that there is no special interest in the market about the IPO at the moment. GMP may change before listing, but it would be wise to take the final decision only after looking at the strengths of the company and the market trend.

How to Check Swastika Castal IPO Allotment Status?

You can easily check the allotment status of Swastika Castal IPO online. There are two official ways for this – Registrar’s website and BSE’s website. Note that this IPO is being listed only on the BSE SME platform, so it is not possible to check allotment from NSE.

Method 1: Via Registrar’s Website

The easiest and most reliable way to check Swastika Castal IPO allotment is through the Registrar’s website.

How to:

1. Visit the official website of the Registrar.

2. Select “Swastika Castal Limited” from the IPO list.

3. Enter your details –

PAN Number,
or Application Number,
or DP/Client ID

4. Click on “Submit”.

You will see your allotment status.

Method 2: Check from BSE website

You can also check the allotment status from the BSE website.

How to:

1. BSE official website: Click Here

2. Select the ‘Equity’ option.

3. Select “Swastika Castal Limited” from the dropdown.

4. Enter your PAN or Application Number.

5. Click on “Search” and view the allotment status.

What to Do After Allotment?

After getting the allotment of Swastika Castal IPO, you should pay attention to some easy steps, so that you can track your investment properly.

If shares are allotted : If you have been allotted shares, they will start appearing in your Demat account by 25 July 2025. You can sell them on the day of listing or hold them for a long term.
If shares are not allotted : If you do not get allotment, your money will be automatically refunded to your bank account in a few days.
Pay attention to SMS and Email notifications : You will get information related to allotment from the registrar or your broker through SMS or email. Keep a regular check on them so that you can catch any discrepancy immediately.

Read Also: What is the IPO Allotment Process?

Conclusion

Investors have shown interest in Swastika Castal IPO, but as their overall current GMP is ₹0, no listing gains can be expected as of now. This means that the listing of the stock can happen around the issue price. In such a situation, investors who have got allotment should avoid taking hasty decisions and should decide keeping in mind the market trend on the day of listing. If allotment is not received, then your money will be unblocked. According to current indications, the IPO response has been ordinary, so be cautious before investing.

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1	Anchor Investors in IPOs – Meaning, Role & Benefits
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3	Why Invest in an IPO and its Benefits?
4	What is Cut-off Price in IPO – Meaning and Example
5	What is the IPO Cycle – Meaning, Processes and Different Stages

Frequently Asked Questions (FAQs)

What is the current GMP of Swastika Castal IPO?
Currently the GMP of Swastika Castal IPO is ₹0, i.e. there is no premium.
When will the Swastika Castal IPO allotment be declared?
The allotment status of Swastika Castal IPO will be released on 24 July 2025.
How can I check my IPO allotment status?
You can check the status by entering your PAN number on the BSE website or the Registrar’s website.
Is Swastika Castal IPO listing likely to be at a premium?
Currently the GMP is ₹0, so the chances of premium listing are low.
What happens if I don’t get the IPO allotment?
If you do not get the allotment, your money will be unblocked in a few days after the IPO listing day.

July 23, 2025

Best AI-Based Trading Strategies Explained

Trading today is very different from what it used to be. It’s no longer just humans making decisions—machines are now actively analyzing the markets in real time. AI i.e. Artificial Intelligence has changed trading to a great extent by estimating price movements and reading market sentiments faster than humans.

In this blog, we will understand some types of AI trading strategies, AI models associated with each strategy, and their limitations.

What is AI Trading Strategy?

AI Trading Strategy is a trading system that uses artificial intelligence to understand market data, learn and then take trading decisions based on that. This strategy is different from the traditional rule-based system because in an AI trading strategy, humans do not analyze market conditions, or design rules and type in orders, but the machine itself becomes better through experience and availability of latest information for analysis.

In AI trading strategy, many factors like past data, price movement, volume, news sentiment are analyzed. Then models based on machine learning and deep learning create trading signals from that data. Its biggest advantage is that this system adjusts the strategy according to the changing market conditions. Simply put, AI Trading Strategy is a smart, data-driven and continuously improving way of trading.

Read Also: What is AI Trading?

Types of AI Trading Strategies

Trading with AI is no longer just a tool, but an entire concept. Below, we will take a closer look at some of the key AI trading strategies: how they work, under what circumstances they produce better results, and what types of traders they may benefit from.

Predictive Modeling Strategies
Sentiment Analysis Strategies (NLP)
Reinforcement Learning Strategies
Deep Learning-Based Pattern Recognition
AI-Based Portfolio Optimization
High-Frequency AI Strategies
Multi-Model Hybrid Strategies

A brief overview of the strategies mentioned above has been given below:

1. Predictive Modeling Strategies

Predictive Modeling is considered a basic but very effective strategy in the world of AI trading. Its purpose is to predict future price movement or volatility, that too on the basis of historical data. In this, machine learning algorithms analyze past price data, volume, market trends and patterns to predict the direction in which the stock or index can go in the future.

Which models are used?

Linear Regression : For simple price trend prediction with one dependent variable
Decision Trees & Random Forest : To work with more variables
LSTM (Long Short-Term Memory Networks) : To catch long term patterns in time series data
ARIMA & Prophet : For traditional time series forecasting

For whom is it beneficial?

This strategy is especially useful for day traders, swing traders and those doing statistical arbitrage, as it helps them identify price reversal or momentum shift early.

What are its limitations?

Predictive models are powerful, but prone to overfitting, i.e., relying too much on old data, is a big problem. Apart from this, if a big event suddenly occurs in the market (such as geopolitical tension or an unexpected policy decision of the RBI), then these models can also give false signals.

Tools used:

Python,
Scikit-learn,
TensorFlow / Keras,

Predictive modeling is a great way to make short-term trading decisions based on data but it should always be used after backtesting and with risk management.

2. Sentiment Analysis Strategy

In Sentiment Analysis Strategy, AI tries to understand what people think or feel about a stock, sector or the entire market – i.e. positive, negative or neutral. This strategy helps in taking trading decisions by reading data from news, social media, reports and analyst comments.

How does this strategy work?

AI uses Natural Language Processing (NLP) in this, which scans the text and gives a sentiment score to each statement. For example: If there are continuous positive things being said about Infosys in the news and tweets like better results or a new big contract then the system can consider it as a buy signal.

Which models are used?

FinBERT : A model trained specifically for financial text
VADER : For short texts like tweets and headlines
RoBERTa or GPT-based models : For understanding deep sentiment and context
Custom lexicon models : Fast and lightweight sentiment scoring tools

What are its limitations?

Models sometimes fail to understand sarcastic or ambiguous language correctly
Fake news or spam data can misdirect the signal
Sentiment does not always match price movement

Which tools and platforms help?

News API, Twitter API (via X) for real-time data
Python libraries NLTK, TextBlob, HuggingFace Transformers

3. Reinforcement Learning Strategy

Reinforcement Learning (RL) is an advanced and continuously learning approach in the world of AI. In this, the system learns by itself from the results of trades conducted based on prior trading logic, and then tries to make a better decision next time from that experience.

How does it work?

The RL system works like an agent that takes action (buy, sell, hold) in the trading environment (such as market data). After every action, it gets a reward or penalty from which it refines its trading decisions.

If a trade goes into profit, the system will try to recognize the same pattern again in the future
If there is a loss, it will weaken that decision logic
Gradually the system learns by itself and makes better trading decisions over time.

Which models are used?

Q-Learning : In AI models that learn to make optimal trading decisions based on trial and error.
Deep Q Networks (DQN) : in complex trading scenarios with high number of variables
PPO (Proximal Policy Optimization) : a popular RL model for fast-changing markets
DDPG (Deep Deterministic Policy Gradient) : in continuous action spaces such as portfolio management

Who is this strategy for?

Portfolio managers : for asset allocation and auto-rebalancing
Algo traders : who want a fully automated, learning-based system
Retail traders : who can build their own models with tools like Python and TensorFlow

What are its limitations?

RL takes a lot of data and time to train properly
Wrong reward functions or biased training can lead to overfitting or wrong decisions
If testing is not done properly in live markets, then there is a high chance of loss

Which tools and platforms help?

Python libraries: Stable-Baselines3, OpenAI Gym
Frameworks: TensorFlow, PyTorch
Backtesting tools: Backtrader, Zipline
Indian brokers with APIs: Pocketful api ,Zerodha, Angel One, Fyers

Reinforcement learning is great for long-term strategy, but applying it directly to the live market without solid backtesting and risk control is risky.

4. Pattern Recognition Strategy

The aim of a pattern recognition strategy is to identify hidden price movement patterns in history and infer future possibilities from them. To do this, Deep Learning, especially Convolutional Neural Networks (CNNs), is used. CNN models scan price charts just like humans do with their eyes but with much more accuracy.

How does it work?

CNNs were originally designed to recognize images (such as recognizing faces or number plates). But they are now trained on trading visual data such as candlestick charts, price graphs, and volume maps.

AI automatically recognizes patterns like Head & Shoulders, Cup & Handle, Double Top/Bottom
No manually drawn trendlines or rule-based logic is required
Once trained, the model continuously scans charts in real-time and gives alerts

Major deep learning models used:

CNN (Convolutional Neural Networks) for image-based pattern identification
LSTM + CNN for capturing patterns as well as time series behavior
Autoencoders for anomaly detection from historical patterns
GANs (Generative Adversarial Networks) for creating and training synthetic chart data

Who is this strategy for?

Technical analysts who take decisions from chart patterns
Quant traders who want historical pattern-based entry/exit
Retail investors who want to trade with the help of automation and alerts

What are the limitations?

Not every pattern always gives accurate future signals there can be false signals
CNN needs thousands of images and correct label data to perform well
Lag and delay in live market can reduce the effectiveness of the signal

Tools and platforms:

Python libraries
Chart data sources
Broker APIs
Backtesting tools

5. AI-Based Portfolio Optimization

AI not only gives trading signals, but has also become a big game changer in Portfolio Optimization. In this strategy, machine learning algorithms manage your entire investment in such a way that returns are maximized and risk is minimized.

AI algorithms do a deep analysis of historical data (such as stock returns, volatility, correlation, etc.) and tell you which assets should be there in your portfolio and in what quantity.

How is it being used in India?

Today in India, platforms and many PMS (Portfolio Management Services) are using AI-driven tools in their asset allocation. Large funds and robo-advisors like Cube Wealth or INDmoney also use AI models in asset rebalancing and goal-based investing.

Popular algorithms used in this:

Personalized portfolios are created by enhancing Markowitz Mean-Variance Optimization with AI
Subjective views are factored in through machine learning in the Black-Litterman model
Dynamic rebalancing is done according to market conditions using Deep Reinforcement Learning

If you are a SIP or goal-based investor, AI-powered portfolio rebalancing can help you reduce long-term risk and give you better returns.

6. High-Frequency Trading (HFT)

High-Frequency Trading (HFT) is a strategy where thousands of trades are executed in a matter of seconds or milliseconds. When AI algorithms are added to it, this strategy becomes even faster, accurate and profitable. AI is used here to analyze market microstructure, predict price movement at the millisecond level and make lightning-fast decisions. Speed is the biggest edge here.

How does this strategy work?

AI models such as neural networks read the order book, bid-ask spread and liquidity depth in real-time.
As soon as a profitable pattern or arbitrage opportunity is found, the algorithm immediately places the order.
Co-location servers and ultra-low-latency networks are used for trade execution.

Use in India:

HFT started in India in the 2010s, but regulation in it has become stricter after SEBI guidelines and fair access norms. Nevertheless, large institutional players such as global firms such as Jane Street, Tower Research, and Virtu Financial still use AI-driven HFT models.

Important:

This strategy is not for ordinary retail investors as it has high requirements of infrastructure, capital and regulatory compliance.
SEBI is now working on a new framework to regulate algorithmic trading to minimize unfair advantages.

If you are a retail investor, HFT strategy may be out of your reach, but understanding its principles will definitely help you in long-term strategy planning.

7. Multi-Model Hybrid Strategies

Multi-Model Hybrid Strategies is a technique that combines different types of AI models to make trading decisions more accurate and balanced. This strategy helps in more intelligent and flexible decision-making by covering the limitations of an individual model.

How does it work?

This approach uses machine learning models (such as Decision Trees or SVM), deep learning models (such as LSTM or RNN), and statistical models (such as ARIMA) together.
Different models are trained on different data sets – one reads price action, one analyzes news sentiment, and one understands volume trends.
The AI system then combines the output of all the models and generates a consensus-based final trading signal.

Use in India:

Some modern Indian hedge funds and quant-based PMS providers are now using ensemble models to generate more consistent returns in volatile Indian markets.

Advantages:

Even if a single model fails, the system remains robust due to the other models.
It is adaptable to different market conditions – can handle sideways, bullish, bearish.

Conclusion

AI trading strategies are no longer limited to big hedge funds; they are opening new opportunities for ordinary investors and active traders. Whether it is trend following or portfolio optimization, each strategy can work wonders in different market conditions if used correctly. But remember, AI is a tool, use it wisely and don’t trust blindly. Keep learning, keep testing, and gradually refine your strategy.

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3	Best Artificial Intelligence (AI) Smallcap Stocks
4	Best Artificial Intelligence (AI) Stocks In India
5	What is Quantitative Trading?
6	Best Brokers for Low Latency Trading in India

Frequently Asked Questions (FAQs)

What is the best AI trading strategy for beginners?
Trend Following Strategy is the easiest and most straightforward to understand for beginners.
Can AI trading work in Indian stock markets?
Yes, AI trading is growing rapidly in India and many platforms now support it.
Is AI trading legal in India?
Yes, AI trading is completely legal as long as you follow SEBI regulations.
Do I need coding to use AI trading?
No, not necessarily, many no-code platforms like Kuants or Tradetron are now offering AI tools to beginners as well.
Can AI guarantee profits in trading?
No, AI can help in decisions, but the risk of loss will always be there.

July 23, 2025

10 Best Algorithmic Trading Books

In today’s fast-paced markets, algorithmic trading is more popular than ever and so is the demand for the right books to master it. Gone are the days when trading relied solely on human decisions; now, intelligent computer programs execute trades in milliseconds. If you’re eager to dive into the world of quantitative trading, starting with the right resources is key.

In this blog, we are sharing a list of selected and latest best algorithmic trading books, which will help you in building a strong foundation in this field.

Top 10 Best Algorithmic Trading Books

Book Title	Author	Goodreads Rating	Key Highlights
Algorithmic Trading: Winning Strategies and Their Rationale	Ernest P. Chan	3.85/5	Includes practical Python strategies with backtesting
Quantitative Trading: How to Build Your Own Algorithmic Trading Business	Ernest P. Chan	3.75/5	Focuses on business mindset and systematic execution
Advances in Financial Machine Learning	Marcos López de Prado	4.13/5	Covers machine learning, financial data science, and ML validation
Building Winning Algorithmic Trading Systems	Kevin J. Davey	3.85/5	Includes Monte Carlo simulations and live trading insights
Inside the Black Box: The Simple Truth About Quantitative Trading	Rishi K. Narang	3.73/5	Explains how quantitative systems work without complicated mathematical formulas
The Science of Algorithmic Trading and Portfolio Management	Robert Kissell	3.91/5	Focuses on statistics, market impact, and portfolio optimization
Python for Algorithmic Trading: From Idea to Cloud Deployment	Yves Hilpisch	3.88/5	End-to-end trading system in Python, cloud-ready solutions
Algorithmic Trading and DMA	Barry Johnson	3.87/5	Deep explanation of direct market access and execution
Systematic Trading	Robert Carver	4.26/5	A unique approach to designing repeatable and scalable strategies
Algorithmic and High-Frequency Trading	Álvaro Cartea, Sebastian Jaimungal, José Penalva	3.93/5	Covers HFT architecture, market microstructure, and risk control

Brief Overview of the Best Algorithmic Trading Books

A brief overview of the 10 best algorithmic trading books is given below:

1. Algorithmic Trading: Winning Strategies and Their Rationale

This book by Ernest P. Chan is a solid foundation for beginners and intermediate traders. It explains trading strategies like mean reversion and momentum in detail, including reasons behind why they work, what the potential risks are, and how to backtest them. MATLAB and Python code examples are available, making it easy to implement these strategies in the real world. Chan specifically adopts a simple, rational approach that avoids problems such as over-fitting. There are constructive practical tips on topics such as risk management, stop-loss, etc. The book helps in understanding and applying research-based cardinal strategies, while also taking into account the needs of institutional and retail traders.

2. Quantitative Trading: How to Build Your Own Algorithmic Trading Business

This latest second edition (2021) by Ernest P. Chan covers not just strategies, but how to turn algorithms into a business. It covers key topics like slippage, real-time order execution, risk management, and portfolio design in simple language. Chan offers practical advice based on his own trading experiences on how to put a strategy into practice and build a trading system. The book focuses on key strategies like mean reversion, momentum, statistical arbitrage, along with the trading mindset, cost structure, and performance enhancement. It is ideal for mid-level traders who want to develop their own algo trading system.

3. Advances in Financial Machine Learning

This book by Marcos López de Prado delves deep into financial machine learning. It explains techniques like purged cross-validation, meta-labeling, and Hierarchical Risk Parity (HRP) that avoid common overfitting and produce reliable results.

The author explains that traditional data validation does not capture the reality of financial data hence the need for specially tailored ML techniques. Feature engineering such as fractional differentiation, noise reduction, and alpha generation are included. The book takes a practical approach, not just a technical one, including discussions on super‑computing, backtesting, and trading pipeline construction. It is extremely useful for quants and data scientists.

4. Building Winning Algorithmic Trading Systems

In this book, Kevin J. Davey shares his experience as a trading competition winner, offering a step-by-step guide to building a successful trading strategy, which includes goal setting, entry–exit rules, walk-forward testing, Monte Carlo simulation, and position sizing. Davey focuses on practicality as he explains why some trading strategies work through invaluable templates and case studies. The book teaches readers how to build a systematic trading platform and apply it regularly in live trading. It is ideal for retail traders who want to learn from competition-based models and build their own accurate algorithmic systems.

5. Inside the Black Box: The Simple Truth About Quantitative Trading

This book by Rishi K. Narang explains the workings of quant systems in simple terms; the emphasis is on systems thinking, data processing, model initiation, and risk control, not mathematical models. This book provides an institutional strategic perspective, rather than technical details: how large quant organizations infer from data, create signal pipelines, and make decisions. Readers are helped to understand how teams, data quality, and backtesting structures are important to sustain strategies. This book is perfect for those who want to learn the mindset and structure of quantitative trading, rather than just coding or theory.

6. The Science of Algorithmic Trading and Portfolio Management

This book by Robert Kissell is written from a more institutional perspective and covers high-stakes investment strategies: market impact, execution algorithms, portfolio optimization, statistical analysis, etc. The emphasis of the book is on systematic execution, such as optimal trading trajectories, market impact modeling, and statistical trading costs, as well as portfolio risk-adjusted returns.

It is academically robust but provides practical answers helping traders design market microstructure, order slicing, algorithmic execution. It is a great guide for advanced traders and institutional quant teams.

7. Python for Algorithmic Trading: From Idea to Cloud Deployment

This book by Yves Hilpisch is especially geared towards Python-lovers. It covers steps such as data fetching, backtesting (pandas, NumPy), ML integration, execution platforms (e.g. OANDA, FXCM), and deployment to the cloud.

The book is packed with practical examples, Socket programming, API integration, and real trading system building processes. The focus is on the ‘idea to production’ pipeline that takes a strategy idea to a working cloud-deployed system. This book is especially valuable for developers and DIY traders who want to build a complete trading infrastructure using their Python skills.

8. Algorithmic Trading and DMA

This book by Barry Johnson gives a technical understanding of Direct Market Access (DMA), explaining how traders connect directly to the market, what order book dynamics are, how slippage and spreads affect execution. This book is extremely useful for mid-level traders who want to take their algorithmic strategies straight to the exchange execution level. It describes practical aspects of the CLOB system, order types, liquidity, latency, and DMA infrastructure. This guide offers a clear and technical approach, especially for those interested in HFT and wanting to understand market microstructure.

9. Systematic Trading: A Unique New Method for Designing Trading and Investing Systems

This book by Robert Carver focuses on creating consistent, rule-based trading systems. It takes a modular approach with signals, portfolio diversification, position sizing (Kelly criterion), and psychological discipline. It offers greater reliability than discretionary trading because decisions are based on predefined rules. Techniques such as walk‑forward validation and risk budgeting are included.

The aim of the book is to create a repeatable trading system incorporating both simple rules and mental discipline that is proven and successful over the long term.

10. Algorithmic and High‑Frequency Trading

This book by Álvaro Cartea and co‑authors provides a comprehensive understanding of HFT and market microstructure. This includes algorithmic speed, latency reduction, colocation strategies, order book dynamics, liquidity modelling, and risk control systems. This book is especially valuable for those who want to delve into HFT: how algorithms make decisions in fractions of a second, why slippage and impact modelling are important, and how execution algorithms evolve. It combines technical‑and‑practical approaches to help advanced quant traders and institutional developers create cutting-edge HFT infrastructure.

Read Also: What is Algo Trading?

How to Choose the Right Algo Trading Book?

The right book can fast-track your learning but only if it matches your goals, skill level, and interests. Here’s what to consider before you dive in.

Understand your needs first : Everyone has a different interest in trading, some just want to understand the basics, while others want to create their own trading strategies. So before choosing a book, be clear about your goal: learning coding, understanding theory, or creating a strategy.
Pay attention to the language and style of the book : Some algorithmic trading books are very technical, which can be a bit difficult for beginners. If you are a complete beginner, choose books that explain concepts in simple language.
Does the book contain real-world examples : A good quantitative trading book explains not just theory, but what happens in real trading through practical examples, case studies, and market data. This makes learning even more effective.
Is there a coding-based approach or not : If you want to automate trading by learning a language like Python, R, or C++, then the book must have coding practice. Such books will help you create real-world algo systems.
Choose a book according to your goal : If you are interested in data science and risk analysis, then choose a book that teaches you data interpretation, backtesting and modeling. On the other hand, if your focus is on trading strategies, then a theory and example based book will be more useful.

Read Also: Best Trading Apps in India

Conclusion

Choosing the right book is very important for a successful start in fields like algorithmic trading and quantitative trading. The books mentioned above not only help explain the theory but also provide real world applications and coding practice. Some books are written in easy-to-understand language for beginners, while others cover advanced concepts in detail. Every trader has different needs, so while choosing a book, one should keep in mind his expertise level and goals. A good book can show the right direction and give you the confidence to navigate the financial markets effectively.

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Frequently Asked Questions (FAQs)

Which is the best book to start learning algorithmic trading?
For starters, “Algorithmic Trading” by Ernest P. Chan is a great book that explains practical strategies in easy language.
Are these algo trading books suitable for beginners?
Yes, some books like “Python for Algorithmic Trading: From Idea to Cloud Deployment” and “Algorithmic Trading: Winning Strategies and Their Rationale” are suitable for beginners.
Do I need programming knowledge to understand these books?
Some books may require basic Python or R understanding, but many books are also suitable for those without a coding background.
Are these books helpful for Indian stock market traders?
Yes, most of the concepts are globally applicable and can be used in the Indian market as well.
Can I build trading strategies using these books?
Absolutely, these books teach you the whole process of building, testing and optimizing a strategy.

July 23, 2025

Difference Between Gross Margin vs Net Margin

Have you ever had trouble understanding the difference between gross margin and net margin? While they may sound alike, these two financial metrics serve distinct purposes and provide different insights into a business’s profitability.

In this blog, we will understand in simple language what is net margin, what is gross margin, and why it is important for every business to know the difference between gross margin and net margin.

What is Gross Margin?

Gross margin is an important financial metric that shows how much profit your company makes by selling its products or services, after deducting direct costs (COGS – Cost of Goods Sold) as a percentage of the total revenues. This margin shows only the profit that comes directly from the sale of the product, all other expenses (such as salary, rent, tax etc.) are not included in it. Gross margin helps in understanding how much profit a product or service is generating and whether the decisions related to pricing or production are correct or not.

Gross Margin Formula:

Gross Margin (%) = [(Total Revenue – Cost of Goods Sold) ÷ Total Revenue] × 100

Example : Suppose your company made sales of ₹10,00,000 and the total cost of manufacturing and selling the products (COGS) was ₹6,00,000.

Then : Gross Margin = [(10,00,000 – 6,00,000) ÷ 10,00,000] × 100 = 40%

This means that for every ₹100 sold, you are left with ₹40 as gross profit.

What all is included in COGS?

COGS i.e. Cost of Goods Sold includes all the direct expenses that are required to manufacture a product or provide a service:

Raw Materials
Direct Labor Costs
Manufacturing Costs (Factory Overheads)
Packaging and Shipping Costs (if it is related to product delivery)

The lower the COGS, the better the gross margin.

What is the role of Gross Margin in business?

In deciding the pricing strategy : If the gross margin is low, then either you have to increase the price or reduce the cost.
In understanding product performance : By determining products with high gross margins, you can focus more on it.
Help in Inventory Management : You can optimize your inventory on the basis of COGS.

What is Net Margin?

Net margin is a financial metric that shows how much profit your company has earned after subtracting all expenses from total sales as a percentage of total sales. This includes not only product-related costs (COGS) but also operating expenses, marketing, interest, taxes and all other costs.

Net margin is often called the bottom line, because it comes at the end of the report and reflects the overall profitability of the company.

Net Margin Formula :

Net Margin (%) = (Net Profit ÷ Total Revenue) × 100

Example : Suppose the total sales of your company is ₹10,00,000. Out of this, the total expenses including cost of products, operating expenses, salary, rent, interest and tax is ₹9,00,000.

So Net Profit = ₹10,00,000 – ₹9,00,000 = ₹1,00,000

Now, Net Margin = (1,00,000 ÷ 10,00,000) × 100 = 10%

This means that for every ₹100 of sales, the company is left with ₹10 in net profit.

What expenses are included in Net Margin?

While calculating net margin, all these expenses are deducted:
COGS (Cost of Goods Sold)
Operational Expenses
Administrative Expenses (Salaries, Rent, Utilities)
Marketing and sales expenses
Interest and loan payments
Taxes and legal expenses

Therefore, it is considered a full and real profit indicator.

Where is Net Margin used?

Investors look at it to decide whether it would be right to invest in a company or not.
Business owners use it to understand financial health and plan for long-term growth.
Banks and lenders judge your creditworthiness by looking at it.
The higher the net margin, the more profitable and financially strong the company will be considered.

Key Differences Between Gross Margin vs Net Margin

Parameters	Gross Margin	Net Margin
What does it show?	Basic profitability metric associated with selling a product or service	The actual profit of the entire business i.e. Bottom Line
Formula	[(Revenue – COGS) ÷ Revenue] *100	Net Profit ÷ Revenue × 100
Expenses involved	COGS (raw materials, direct labor, factory expenses) only	All expenses, such as COGS, interest, taxes, depreciation, etc.
Profit Level	Shows profit up to operating level	Shows final or net profit
Use	Pricing, Cost Control, Product Performance	Investor reporting, budget planning, long term decisions
Level of Insight	Limited (Product level only)	Complete (overall performance of the company)
Useful for whom?	Product Managers, Sales Heads	Business Owners, Investors, CFOs
Limitation	Does not disclose operating or financial expenses	Requires detailed expense breakdown, which may be challenging without proper accounting systems.

When to Use Gross Margin vs Net Margin

Both gross margin and net margin are important but they are used in different situations. It is wise to use the right metric at the right time.

1. If you are a product manager or sales head

Gross margin is the most important tool for you. Because it shows how much profit is left after making and selling a product. This metric plays a direct role in pricing strategy, discount planning, and supplier negotiation.

Example: If a T-shirt has a gross margin of 60% and another has 30%, then you can immediately understand which product to promote.

2. If you are a business owner or investor

Net margin should be the main metric you look at. It tells how much net profit the entire business has earned, that is, what is the actual return on your investment.

Example: A company with a gross margin of 70% but a net margin of only 5% means that operating expenses or taxes are very high, which can be a red flag in the long term.

Case study: The truth about a D2C brand

A small D2C clothing brand was selling T-shirts for ₹1,000 through Facebook Ads. Their gross margin was 50%, that is, a profit of ₹500. But when ad spend, packaging, returns, and customer service were added the net margin was -10%, that is, signifying an overall loss.

Why Both Margins Matter in Financial Analysis?

It is beneficial to understand gross margin vs net margin separately, but when you analyze both together, then the real health of your business comes to the fore. They do not just tell the profit figure, but tell where the money is coming from and where it is going.

The whole story of profitability : Gross margin shows how much basic earnings are being made on your products or services – that is, how much is left after deducting direct cost. On the other hand, net margin focuses on overall profitability – it also includes all expenses like salaries, rent, tax and interest. If you focus only on gross margin, then it is possible that there is a loss in net and you do not even know.
Deep understanding of expenses : If the gross margin of a company is good but the net margin is weak, then it means indirect expenses can be significant. These are signals that you need to optimize your expenses.
Long-term growth and investor confidence : Net margin tells how sustainable a company is in the long term. Companies with high net margins are not only stable, but investors are also more interested in them because they are considered to be efficient overall.
Both metrics are important for better decisions : Whether you are running a startup or working in an established business – looking at both margins together makes your decision-making smarter. This helps you know which area needs improvement – product pricing, cost control or operations.

Limitations of Gross and Net Margin

Gross margin and net margin help you understand your profitability, but both these metrics have their own limitations. Relying only on these figures and judging the financial health of the entire company can sometimes be misleading.

Just numbers, do not tell the reason : Gross or net margin do not tell why there is income or loss.
Interpretation varies according to the industry : Margin expectations can differ widely across industries. Service-based companies often have higher margins because they usually incur lower overhead and production costs. In contrast, manufacturing businesses typically face higher expenses for materials, labor, and equipment, which can lead to lower profit margins.
One-time expenses/earnings are also included : If any exceptional income or heavy expenditure has happened for one time in the net margin, then it can distort the margin.
The effect of management decisions is not visible immediately : The effect of cost-cutting or growth strategy takes time to reflect in margins.

Common Mistakes Investors Make

Many investors make some basic mistakes while interpreting financial data. These mistakes can affect profitability in the long run:

Considering Gross margin and Net margin as the same : The biggest mistake is not understanding the difference between these two margins. Many people think that if the gross margin is good, then the business is profitable. Whereas the difference between gross margin and net margin shows that gross margin is just the production related expenses, but net margin shows the true picture of the entire operation.
Estimating profit by looking at gross margin only : Gross margin may look good, but if operating and indirect expenses are high, then net margin can be very low or negative. This can hide the real profitability of the company.
Relying on only one metric : To understand profitability, it is important to analyze not just gross or net margin, but both together. This reveals both the strengths and weaknesses of the business.

Conclusion

Both gross margin and net margin are important financial metrics for understanding the profitability of a business. But they serve different purposes: gross margin gives you an idea of efficiency of a company’s core operations, while net margin shows the financial health of the entire company. A smart business leader analyzes both of them together to make accurate business decisions. If you learn to read and analyze margins of the companies correctly, then you can make informed investment decisions.

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Frequently Asked Questions (FAQs)

What is the main difference between gross margin and net margin?
Gross margin is calculated by taking out only direct cost, whereas net margin includes all expenses.
Why is net margin more important for investors?
Because it shows the profit left after the actual income and expenses of the company.
Can a company have high gross margin but low net margin?
Yes, this can happen if operating or indirect expenses are high
Which margin is better for pricing decisions?
Gross margin is more useful for pricing.
Are both gross and net margins expressed in percentage?
Yes, both margins are measured in percentage only.

July 23, 2025

Blog

Types of Bonds in India

1. G-Sec or Government Bonds

2. Corporate Bonds

3. Tax-Free Bonds

4. Zero-Coupon Bonds

5. Floating Rate Bonds

6. Inflation-Indexed Bonds (IIBs)

7. Perpetual Bonds

8. Convertible Bonds

9. Callable and Puttable Bonds

10. Green Bonds

Basics of Bonds

1. Issuer

2. Terminology

Factors To Consider Before Investing In Bonds:

Benefits of Investing in Bonds

Risks of Investing in Bonds

Conclusion

Frequently Asked Questions (FAQs)

What is the minimum amount required to invest in bonds in India?

Are bonds safer than stocks?

Can I sell my bond before maturity?

Are returns from bonds taxable?

Which type of bond is best for first-time investors?

Types of Trading in Indian Stock Markets

1. Intraday Trading

2. Swing Trading

3. Positional Trading

4. Scalping Trading

5. Momentum Trading

6. Options Trading

7. Commodity Trading

Factors to Consider before Trading

Conclusion

Frequently Asked Questions (FAQs)

What trading style is the most secure for beginners?

Can I use any trading style listed above?

Is a Demat account mandatory for every kind of trading?

What’s the difference between technical analysis and fundamental analysis?

Is there a particular regulatory body that governs trading activities in India?

Monarch Surveyors & Engineering Consultants IPO – Key Details

Important Dates for Monarch Surveyors & Engineering ConsultantsIPO Allotment

Monarch Surveyors & Engineering Consultants IPO Subscription Status

Monarch Surveyors & Engineering Consultants IPO GMP (Grey Market Premium)

What is the current GMP of Monarch Surveyors & Engineering Consultants?

What does GMP indicate ?

Important advice for investors

How to Check Monarch Surveyors & Engineering Consultants IPO Allotment Status

Method 1: Via Registrar Website (Bigshare Services Pvt. Ltd.)

Method 2: Through BSE Website

What to Do After Allotment?

If shares are allotted :

If shares are not allotted :

How to check updates?

Conclusion

Frequently Asked Questions (FAQs)

What is the listing date of Monarch Surveyors IPO?

How can I check the allotment status of this IPO?

On which exchange will Monarch Surveyors IPO list?

When will I receive shares in my Demat account?

Who is the registrar for Monarch Surveyors IPO?

What Are Gold Stocks?

Why is the demand for gold stocks increasing?

Best Gold Stocks in India 2025

1. Titan Company Ltd

2. Hindustan Zinc Ltd

3. Muthoot Finance Ltd

4. Kalyan Jewellers Ltd

5. Manappuram Finance Ltd

6. MMTC

7. Rajesh Exports Ltd

8. Senco Gold Ltd

9. Thangamayil Jewellery Ltd

10. Vaibhav Global Ltd

Key Performance Indicators (KPIs)

Smart Alternatives to Gold Stocks: Invest via ETFs & Gold Bonds

Benefits of Investing in Gold Stocks

Risks of Investing in Gold Stocks

How to Invest in the Best Gold Stocks (with Pocketful)