Congratulations!! Dr. Bhattarai

Congratulation to you Dr. Bhattarai for becoming 35th Prime Minister of Nepal. Wish you and Nepal All the best. Wish Yr tenure will be most democratic and U could become Nitish Kumar of Nepal and Nepal become most prosperous country in the region. Now it  is the time for U to  prove Yr generally perceived potential to make the paradigm-shift happen, with "Saying, Doing, & Being" developed and Sustained, Yr target to transform Nepal to a DEVELOPED nation in 40 years..... Congratulations!! again. 

Hydropower Investment; The Future of Nepalese Investment.

      Hydropower, hydraulic power or water power is power that is derived from the force or energy of moving water, which may be harnessed for useful purposes. Prior to the development of electric power, hydropower was used for irrigation and operation of various machines, such as watermills, textile machines.

      If  We more effectively harnessed our 83,000 megawatts of hydropower potential,We could meet our domestic demand for electricity, as well as export electricity and potentially transform the economy. Lack of electricity is a major constraint to economic development and poverty alleviation. Currently, We are harnessing less than 1 percent of our potential hydropower energy and the country depends on biofuels (mainly wood ) to meet our energy needs.Nepal has developed only approximately 650 MW of hydropower. Therefore, bulk of the economically feasible generation has not been realized yet. Besides, the multipurpose, secondary and tertiary benefits have not been realized from the development of its rivers.  

      The construction of dams to convert the potential energy of water into work has a long history. For many countries with abundant water resources or strong river flows, hydroelectricity has been the method of choice to source cheap and reliable electricity. Hydroelectricity has some key advantages over other energy sources.

•   The technology is simple (build a dam with a turbine to convert the flow into electrical current).
• The plants can be constructed in various scales (from a small river generator to mega projects like the Three Gorges Dam).
•  There is no fuel cost (a substantial part of the generation costs in electricity from fossil fuels, less so in nuclear power). Hydroelectric generation is not affected by rising prices for oil, gas or coal and lignite.

      Energy crisis will be the big problem for the development of Economic growth .It is not only our Crisis but of course The Global Crisis, including our two big neighbor Economy, India and china. If we generate only 5000 MW within 10 yrs and export it in India and China, Every Nepalese Will benefit and will be four times Stronger then the Current status. Every Nepalese around the globe willing to have Big Hydropower Company Shares in Nepal, to be more secure and of course to Create, a Global Value of our recourses. Reminding all of you, only Rs. 82.56 Crore. Paid up company called Chilime Hydropower Company profit Rs. 84.50 Cr. with more than Rs 300 Cr. in Reserve, Previous fiscal year.... 

                             ........Think it Twice.... Good luck!!

The latest Market Information (net profits).

• The BOD meeting of Bank of Kathmandu dated 2068/04/26 has decided to give 16.75% Cash Dividend and 18% bonus share which is subject to approval from NRB and its upcoming AGM.
• Standard Chartered Bank Ltd has posted net profit of 1119.171 million.
• Nabil Bank Ltd has posted net profit of 1300.116 million.
• Zenith Finance Ltd has posted net profit of 22.263 million.
• Siddhartha Development Bank Ltd has posted net profit of 65.289 million.
• Subhechha Bikas Bank Ltd has posted net profit of 11.570 million.
• Laxmi Bank Ltd has posted net profit of 377.586 million.
• Lumbini Bank Ltd has posted net profit of 389.693million.

Net Profit:

How does a company decide whether it is successful or not? Probably the most common way is to look at the net profits of the business. Given that companies are collections of projects and markets, individual areas can be judged on how successful they are at adding to the corporate net profit.The net profit margin percentage is a related ratio. This figure is calculated by dividing net profit by revenue or turnover, and it represents profitability, as a percentage.

**How you reach Net Profit on a Profit & Loss Account:

*Sales Revenue = Price (of product) X Quantity Sold
*Gross Profit = sales revenue – cost of sales and other direct costs
*Operating profit (EBIT,earnings before interest and taxes) = Gross profit – overheads and        other indirect costs
*Pretax Profit ( EBT,earnings before taxes) = operating profit – one off items and redundancy  payments, staff restructuring – interest payable
 *** Net profit= Pre-tax profit – tax

Also, Retained earnings= Profit after tax – Dividends

                                             

                                  Happy Dividends...........Cheerrrssssssss!!

What is Blue Chip Shares?? n Why to choose such Stocks to Invest in??

      A blue chip stock is one that is well-established, financially sound, and historically secure. Blue chip companies are those that have a history of posting earnings and paying dividends, all while continuing to increase profits. While there will always be some fluctuation in markets, and all companies go though occasional downturns, blue chip companies are known for their strong executive management teams that make intelligent growth decisions, and for their high-quality products and services. Blue chip stocks, which are also known as large cap stocks, tend to rise and fall in conjunction with the stock market in general.

      

     Examples of blue chip stocks in Global Market include Coca-Cola, Disney, Intel, IBM etc. and in Nepalese market it may include Standard Chartered Bank Nepal, Uniliver Nepal Ltd, Nabil Bank Ltd, etc. Because the return on blue chip stocks is close to a sure thing, the stocks tend to be very expensive and have a low dividend yield. These drawbacks are more than offset by the earnings and dividends paid. Most blue chip stocks are offered by companies that have been around for decades, or even longer, but new companies can break into the blue chip ranks if analysts expect the company to last.

    Anyone who can afford to buy into a blue-chip company can become a shareholder to experienced share market investors in Nepal. However, these shares don’t come cheap. Private investors can expect to pay from Rs 500 to Rs 5000 a share. Often, as well, you are required to buy a minimum number of shares to get your foot in the door n i,e, minimum 10 units in NEPES. 

                       Good luck n Happy Investment….. Cheerrrssssss!!

Why Invest In Stocks?

In terms of an asset class, stocks are hard to beat. Over time, they have higher returns than bonds or real estate. There are a few reasons stocks are such a great asset class, but stocks do have a few drawbacks as well:


          

                              Benefits of Stocks:

Returns: Over time, stocks outperform bonds, CDs (and other cash investments), and real estate. Stocks on average return about 15% a year, whereas these other investments generally return at about 10-12%.

Taxes: If you hold a stock for more than a year, your profits (when you choose to sell your stock) are taxed at long-term capital gains rate of only 5% (now in Nepal) instead of your standard tax rate. Money you make from interest in a savings account or CD is taxed at your regular tax rate, which can be as high as 35%.

Diversification: Unlike real estate, it is easy to diversify your stocks. When you buy real estate, your returns are largely the result of how popular that area becomes. If you buy a house in an area that goes downhill, you will lose a lot of money on that house. For stocks, you can own a stock that literally goes to zero, but it's not a big deal provided you invested in a wide variety of stocks.

                         

                            Disadvantages of Stocks:

Risk: The stock market can vary wildly. If you invest in a stock, your investment can literally go to zero if that company goes out of business. However, if you are properly diversified, the risks associated with the stock market are not that bad. Over the long run, the stock market goes up. Nevertheless, the risks with stocks will always be higher than a guaranteed return with a CD or government treasury.

Welcome Everyone! !

This blog will help you about the Investment Opportunities in Nepalese Stock Market. As the new government policy, through BUDGET 2068,declares that from 2068 Kartik, International Investors will be Opened for our Market. It will be the Great Great opportunity for those who is Working or Studying Abroad.