Glossary

A nominee receives; a will decides who owns. You want both, and you want them to agree.

Mathematically almost identical to Stochastic %K. If you already have one on the chart, the other adds nothing.

A standing candidate for future write-offs. Treat large goodwill with scepticism.

What you pay if you buy right now.

One half of an identity that always balances, because every rupee of asset was funded either by a lender or by an owner.

Writing it down is what stops a series quietly growing backwards later, when a longer track record would be more flattering than a shorter one.

What you get if you sell right now.

Decide what you would gift, lend only that, and never from money you need.

The scheme creates no return of its own. It only moves money from members in a hurry to members who can wait — so the same chit is a loan to one subscriber and a deposit for another.

Price is earnings multiplied by the multiple, so the two compound. Earnings up 12% with the multiple halved is a 44% fall, in a year when nothing went wrong.

Do not try to resist the sweets by the till. Take the other aisle.

A nominee receives; a will decides who owns. The neglected third piece is the map: a list of institutions and where the statements arrive, because families routinely lose track of holdings entirely.

Judge year one on whether you built a process, not on the return.

Guaranteed loans generally sit in the numerator even while payments are current, which is how one signature for a relative can remove most of your own home loan capacity before anybody has defaulted.

A paragraph on material uncertainty relating to going concern is an auditor putting the fragility in writing, in a signed document. It is not a prediction of failure, and it is not an item to skim past either.

A large one in a new CEO’s first year usually means assets were overstated before.

It falls every year as the vehicle depreciates, which is why the own-damage premium falls too — and why dropping that cover on an old car is a bounded, knowable decision.

What it is actually worth, as opposed to what it currently trades at.

Decide them while calm. Deciding during a drawdown is how working systems get abandoned at the bottom.

The nominee receives; the legal heir owns. Confusing the two is how carefully planned money ends up in court.

He is there to offer prices, not to tell you what the business is worth. The whole discipline is knowing roughly what it is worth and transacting only when his number is clearly wrong in your favour.

“General corporate purposes” for a large share of proceeds is not a plan.

Compute it before entering. Its job is deciding whether to take the trade at all.

Slow and avoidable-adjacent. A registered will and a named executor make everything downstream considerably easier.

Frequently a way of saying the price rose and a reason was found afterwards.

A legitimate operating measure that flatters serial acquirers. A management team preferring it is telling you something.

Shareholders bid the price up rather than down. The promoter can accept or walk away.

The clause that quietly halves large claims: exceed it and many insurers scale down the surgeon, ICU and medicine charges by the same ratio.

Valued as a perpetuity with the decline rate added to the discount rate. A business shrinking 8% a year is worth a low multiple of its cash, not nothing — provided the cash actually comes out.

The river moved, rather than the rain failing. Waiting is the most expensive possible response.

The headline number on the policy — and rarely what a claim actually settles at, once room limits and sub-limits are applied.

The market ends and the ownership does not. The shares stay in your demat account and there is no way to sell them until it is lifted.

The conservative floor. Goodwill is the premium paid in past acquisitions, and it goes if those disappoint.

A success might triple; a failure approaches zero slowly while absorbing more capital each time you average down. Credible ones show operating cash flow improving before profit does.

It requires owning things other people find embarrassing, sometimes for years with no signal that the wait is ending. Its failure mode is the value trap — cheap because it deserves to be.

Most destroy value. Check the price paid, how it was funded, the goodwill created, and what happened to the last five before judging the sixth.

The intangible equivalent of depreciation. Goodwill is the exception — it is not amortised.

Without it you will eventually retire the system that was working and keep the one causing damage.

The price reacts to the gap between reality and expectation, so a record quarter can fall hard. Check what produced the beat too: a lower tax rate is not operational performance and will not repeat.

Cheap because the lender is exposed for weeks rather than years. Every rupee of it falls inside the next twelve months, always, and has to be reissued to somebody willing to buy it that week.

An auto-debit SIP and a fixed rebalancing date need no willpower, which is why they survive decades.

The distinction decides whether an undrawn limit belongs in a liquidity schedule at all. Most ordinary working capital limits in India are not committed, and a company that has arranged one will say so.

Mark the zones on a clean chart before you have a view. Hunt for them after choosing the trade and you will always find a retracement, an average or a round number within a couple of per cent.

The one place a company sets out, in its own words, what the next twelve months demand in cash. Because it is undiscounted it will not tie to the balance sheet, and that is the design rather than an error.

The most forecastable dilution there is: the number of shares that will exist on conversion is public from the day the general meeting approves it.

The first application there matters far more than the appeal, because an appeal beyond it requires depositing a large part of the claimed debt before it will be heard.

Four mechanical tests you can apply to an app in a minute. An app that will not name its lender, routes repayment elsewhere or wants your contact list is outside the framework.

Sustainable only when covered by free cash flow — a company borrowing to maintain its dividend is buying goodwill with someone else's money. It is now taxed in your hands at your slab rate.

Know your system’s worst historical drawdown before trading it, because you will live through it.

The experimental evidence is contested, but the practical implication stands without it: a rule decided in advance needs no willpower at the moment willpower is scarcest.

Around 8% tax-free and government-backed — the best debt allocation most salaried Indians will ever get, and the one most often forgotten in an asset-allocation sum.

It reframes a choice from whether this will work to what the distribution looks like. A positive expected value can still lose most of the time.

Everyone who bought the break is trapped, and forced exits move price harder than willing ones.

What separates analysis from hoping. A thesis that cannot be wrong cannot be right either, because every development will be reinterpreted as confirmation.

You will be blamed for the losses and never credited for the gains. Teach the method, not the ticker.

It finds ambiguity in your own rules. It cannot test whether you will follow them with money at risk.

Most legitimate issues end here within days. Complain in writing and keep the ticket reference, because every later stage will ask for it.

With a relative who will not stop trading, the achievable objectives are that the borrowing stops growing, the household essentials sit out of reach, and you remain the person they ring on the bad day.

Repaying a 40% credit card is a guaranteed, tax-free 40% return. Nothing you buy will beat it.

Whatever the variable pay is linked to is what will get maximised.

You will never beat the index. You will also never underperform it by much, and you pay almost nothing.

RSI, Stochastic, Williams %R, CCI and the MACD histogram all agreeing is one opinion reported five times. New information has to come from a different input — volume, breadth, relative strength.

Amortised over a useful life, unlike goodwill, and sometimes saleable on its own.

Rates and the rupee are the tide. Studying one boat will not reveal it.

The only common indicator that draws part of itself into the future, so today’s chart shows where support will sit next month.

A 45% win rate will hand you eight losses in a row. Plan for it before it happens, not during.

Why "I will sell when it returns to my buy price" is such a costly sentence.

For a chart reader the consequence matters more than the intent: a stretch of unusually small ranges is not by itself evidence that the next move will be small, so volatility measured over a quiet window understates what a stop has to survive.

The average is history and this is the forecast. When it sits above the average, the average will climb on its own as old paper matures and is replaced — without the company borrowing one extra rupee.

Visible during the pre-open, and it tells you which unmatched orders will spill into continuous trading at 9:15.

Choose it before you look at the multiples, or you will unconsciously pick the ones that make your stock look cheap.

Embedded value assumes policies run their full term. Strong VNB growth alongside falling persistency is value being reported that will never be collected.

No goodwill arises, which is the fingerprint. A capital reserve moving instead of goodwill appearing tells you a group reshuffle happened rather than a purchase.

Decide what you will lose first. Quantity is arithmetic after that.

It addresses conduct, charges and wrong reporting. It does not waive a debt, rewrite a loan or halt lawful recovery, and filing there hoping it will is a wasted month.

The picture of a healthy pullback — shallow, unhurried and unsupported by volume, meaning nobody is willing to sell in size. The falling three methods is the same structure inside a downtrend.

Everyone who sold at ₹400 and watched it run to ₹450 will buy on a return to ₹400.

No legitimate broker or bank will ever ask for this. There are no exceptions.

The number that speaks to whether the company will exist in year twenty-nine of a thirty-year policy. Check it once a year to notice drift, not to trade on.

The only thing a contingency arrangement will do for you during an outage. Those routes get you out and never in, because squaring off reduces risk and opening a position does not.

The Hindu Succession Act, Muslim personal law and the Indian Succession Act cover different groups. A will is what lets you decide instead of accepting the default.

Never place a stop off one. The level does not exist in the order book where your order will execute.

It defines the event rather than leaving it to argument: a malfunction of five minutes or more in trading hours affecting login, order processing, visibility of funds or risk systems. There will be an official timeline of what happened, and your own timestamps are what let you check your account against it.

A concentrated portfolio will deviate a lot in both directions. That is the point, and the cost.

The test is whether someone else could read it and place the identical order. Every rule you fail to write down in advance is one you will improvise at the worst possible moment.

Wins a minority of its trades by design. Judging it on hit rate guarantees you will abandon it.

Being taxed is not the same as being regulated. The state will tax the gains; it will not help recover the capital.

Write it down before the move or it taught you nothing. A count produced after the fact will always fit.