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Glossary
1678 terms

Glossary

Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.

Showing 9 terms

Fair practices code

Regulation & tax

The regulator's directions to lenders on dealings with borrowers, covering disclosure, collection conduct, permitted hours of contact and grievance redress.

In plain terms

It binds the lender, not the collector at your door — which is exactly why it is useful. Every breach by an agent is a breach by the entity that sent them.

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Sustainable practice

Risk & psychology

A level of involvement in investing that can be maintained indefinitely alongside the rest of your life.

In plain terms

Stopping is a spectrum rather than a switch — shrink the satellite, lengthen the timeframe, automate the core, take a defined break. Scaling to what you enjoy is a different decision from quitting.

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Badla

Market basics

The pre-2001 practice of carrying a position forward into the next settlement period for a charge, instead of settling it.

In plain terms

Leverage available to anyone with a broker and no formal margin behind it. Ending it, and moving to rolling settlement, is why positions now settle on a fixed short cycle.

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De facto control

Accounting

Control of a company through a holding of less than half the voting rights, where the rest of the register is dispersed or inactive enough that the holder decides the resolutions in practice.

In plain terms

Why a group can consolidate an entity it owns 45% of. Control under Ind AS 110 is power, exposure to variable returns and the ability to use the power — a question of fact rather than a threshold.

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Multi-timeframe analysis

Technical analysis

The practice of using three charts — higher, trading and lower timeframe — with one distinct job assigned to each.

In plain terms

Direction, then signal and stop, then entry price. Keep them roughly 4–6× apart, and remember that the timeframe you entered on owns the exit.

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Risk profiling

Risk & psychology
Also called: Risk profiling questionnaire, Investor risk profile

The practice of assessing an investor through a short questionnaire and converting the answers into a category and a suggested allocation.

In plain terms

It measures willingness, because willingness is the only one of the three relevant quantities that can be established by asking. It has no date in it, sees one account, and is answered by a calm person about a state they are not in.

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Spoofing

Trading & orders

A manipulative practice of placing a large visible order with no intention of it being filled, in order to influence others, then cancelling it as price approaches.

In plain terms

The reason visible depth is not evidence of demand. Resting orders are intentions rather than commitments, and they can vanish in microseconds.

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Import alert

Regulation & tax

A US FDA measure letting border officials detain a factory’s products without examining them.

In plain terms

In practice, that plant stops exporting to the US until the FDA is satisfied — often for years.

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Kelly criterion

Risk & psychology

A formula for the position size that maximises long-run growth given a known edge.

In plain terms

Mathematically correct and far too aggressive in practice, because you never know your edge that precisely.

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Indian stock market glossary · Market Vidyalaya