Beta- Analyzing mutual funds

Guru Prasad -
 The risk of any investment made always depends on the volatility in the following investment. If we can have a factor that could tell us about the volatility of a investment and help us judge our risk and corelate it with our capability to take risk, how would that be? Well Beta factor is one such factor that could help us know the sensitivity of our stock or portfolio fund that we have chosen to invest. Beta ratio:- Understanding Beta:-  Beta is a metric used in fundamental analysis to determine the volatility of a stock with comparison to the overall market that has a fixed beta ratio of 1 always. Stocks or funds that are ranked with a beta ratio above 1 generally tend to fluctuate more and hence give access to more risk but yielding higher returns too at the same time if gone in favour. While the risk is slightly less in the funds with beta ratio below 1 they give less but yet stable return on investments generally. Hence, the beta factor can be said as a risk- reward fact...
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Why are crypto markets down?

Guru Prasad -
From last one year one market that has been in the news for its very large bull rally is the cryptocurrency. Especially in the last few months the bull rally has been out of expectation. But recently the market saw almost a loss of 60% last week. While a correction in any market could be common after such a large bull run in any market let us have a look at the main reason behind the fall.


The digital currency market has plummeted from $2.2 trillion to just $1 trillion in the past few days. Well while social influence could be one of the factors the main reason behind the vast fall are as follows:-
  • The strengthening crypto regulation in China leading to it's ban in the country has been one of the major factors in consideration to this crash. In response to the recent warnings from Chinese regulators, cryptocurrency exchange Huboi told CoinDesk Sunday that it has halted its miner-hosting services in mainland  China. It’s unclear how much that could impact mining, but crypto-markets briefly crashed in April after blackouts in the nation led to massive declines in bitcoin's mining rates.
  • Well along with this we all might be aware that Elon Musk had announced that they were thinking of considering crypto as a mode of payment. But recently also another tweet against the previous made statement of not considering crypto as payment and not preferring to invest in it any more came against the market sentiment pushing the future of crypto investors slightly in the dark by making them doubt over the future of the market.
Is now a good time to buy?

While the market plunges, sometimes these crashes bring as opportunities to the investor. But, at the same time this crash is proof of the volatility of the crypto market.Considering cryptocurrency's history, a 30% drop is fairly mild. Bitcoin, for example, has fallen by more 80% on three separate occasions since 2012, according to data from Visual Capitalist. 
This year alone, Bitcoin has already experienced several steep drops. So this recent crash is par for the course -- and there will likely be many more crashes like this in the future. While, investing in dips is always sounds good, the decision to invest in this market is all dependent on your risk taking capacity. While in my opinion this is the best time to invest some money in Doge coin, Bitcoin and Ethereum, in it is also largely true that it is also high time that people realize the volatility in this market. 
Despite the crash, Ark Investment CEO Cathie Wood says she still believes bitcoin prices will rise to $500,000 (a staggering 15 times current prices of $33,350), insisting that volatility in the crypto market is to be expected. 
Hence, now looking into the following factors if you still decide to invest, than just be sure that you stay updated and also consider the volatility as a factor and do your strong research of the cryptocurrency and analyse its technical parameters properly before you invest in it. The fact that a cryptocurrency is more affordable doesn't necessarily mean it's a smart investment, so consider all your options before you buy. The goal is to buy investments you can hold for the long term, so make sure you're choosing the right cryptocurrency for you.

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