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Beginner's Guide

Introduction to BASKETS : Part 1: FUNDAMENTAL

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At SIC, we are constantly striving to make trading easier, faster and interactive. To make things simpler, we have introduced curated BASKETS. These BASKETS smartly segregate the stocks for you, so that your next market decision is based on accurate reliable research. With the help of Artificial Intelligence, Robo keeps updating these BASKETS and consistently tells you which stocks actually deserve your time

There are 3 types of BASKETS

1) Fundamental

2) Market

3) Technical

FUNDAMENTAL BASKETS

‘Fundamentals’ is the most frequently used parameter by professional traders. It includes basic information about the financial status of a company which includes profitability, revenue, assets, liabilities and growth potential. This information plays a vital role in deciding whether it is rightly valued and worth trading at the moment.

The two Fundamental BASKETS are:

1. Dividend Paying Stocks

Includes financially secure companies that have stable prices and less movement. These companies offer Dividend (share in the company’s profits) either in the form of Cash or Stock. Traders following long-term

wealth building strategy religiously invest in these stocks.

 

 

 

 

 

2. High Growth Companies

Includes companies whose Net Profit Growth Rate is more that 10% for the past 3 years. These companies offer little or no Dividend to stock holders. Instead of dividend, Growth companies prefer to concentrate on sales growth and expansion, thereby generating rapid significant cash flow.

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