Equity A stock market or equity market is a public market for the trading of company securities listed on a stock exchange.

An equity investment generally refers to the buying and holding or trading of shares to gain income from daily price movements, dividends and capital gains, as the value of the stock moves. Participants in the stock market range from small individual stock investors to large institutions and mutual funds, which can be based anywhere. The tenure of investors/traders varies from few minutes (for jobbers / arbitrageurs) to multiple years (for long term investors). The liquidity that an exchange provides affords investors the ability to quickly and easily sell securities. This is an attractive feature of investing in stocks, compared to other less liquid investments. Today s equity markets provide modern, fully computerized trading systems designed to offer investors across the length and breadth of the country a safe and easy way to invest. We at SSL understand the requirements of different type of investors & offer our customers with incisive Fundamental & Technical Research thereby empowering them to take informed investment decisions. For more information related to the Equity market such as stock quotes, company information, market news, etc, select Market Info - Equity.

Derivatives Financial innovation has brought many new financial instruments whose pay-offs or values depend on the prices of stocks. A derivative is a financial instrument - or more simply, an agreement between two parties. Its value is determined by the price of something else (called the underlying). Futures and options are the most common types of derivative contracts. More complex derivatives can be created by combining the elements of these basic types. They offer traders / investors the opportunity to trade, hedge and exploit arbitrage opportunities in markets. Derivatives may be used to trade large blocks of stocks for a much smaller amount of money than would be required by outright purchase or sale. SSL has a team of analysts providing comprehensive insights into the Derivatives segment. For more information related to the derivatives market such as Open Interest, Market News, Trade Statistics etc, please select Market Info - Derivatives .

MUTUAL FUND Mutual Fund is a trust which pools money from investors having similar financial goals, and invests the money so collected, as per the guideline to attain the stipulated objective. Thus, a mutual fund is an appropriate investment vehicle for the common man as it provides the benefits of a diversified portfolio managed by professionals at a relatively low cost. That apart, it also offers the benefits of diversification across asset classes through a single product. For example, a Balanced Fund which invests a major portion in Equity as well as Debt Securities or a Monthly Income Plan (MIP) which invests a major portion in debt. In the recent past, we have also been witness to AMCs launching funds with a difference funds investing across 3 asset classes viz. equity, debt and gold. In addition, we also have Gold ETFs, Index ETFs and the like which give investors the benefit of moving in line with the markets (in case of equity Index ETFs), while Gold ETFs track the underlying price of gold. SSL also provides equity schemes of eleven Mutual Fund companies on our state of the art online platform. The online Mutual Fund facilitates the investors to make investments in Mutual Fund without the hassle of filling up tedious application forms and maintaining statements. One can view the Mutual Fund portfolio online for all the Mutual Fund investments made through online account with us. Advantages of investing in Mutual Fund through SBICAP Securities Limited:
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Pan India presence more than 70 branches all over India Online and offline transaction facility Tie up with all the Mutual Fund houses In-depth research on Mutual Fund schemes across various categories

Investing in Mutual Fund is an excellent way to diversify risk. Keeping this in mind, we have tied up with all the leading Mutual Fund Companies in the market to market their schemes in order to meet all your Mutual Fund investment needs. We also have an in house Mutual Fund research team which provides recommendation on the basis of the in-depth analysis of the schemes and advises investors on their Mutual Fund portfolio keeping in mind various objectives of the investors. For more information related to Mutual Funds such as scheme performance, NAV details, MF News, please select Market Info - Mutual Fund .

IPO After attaining a certain size, it becomes difficult for a private company to grow with just the promoter s money or by issuing further debt. One of the ways by which a private company raises funds is through an IPO. In an IPO, the company collects money from the participating public investors and in return, issues its shares to them. Generally, these funds are used for the company s expansion or a foray into new business activities or for debt repayment. Post an IPO, the private company becomes a widely held public company. Thus, the company offers investors a chance to take part in its potential future growth in return for the confidence shown in it by way of subscribing to its shares. An investor can earn good returns by investing in companies raising funds through Initial Public Offer (IPO). We enable investors to invest in the IPO s. We help investors invest in IPO s through offline and online mode. The client can deposit the application to the nearby branch. We also provide all the IPO s on our online platform and facilitate paperless investment in IPO s. We also provide news on the IPO s including allotment status, listing dates etc. Our research analysts also provide fundamental research on all the open IPO s. For more information related to IPO News, forth coming IPOs,IPO Research etc, please select Market Info - IPO . BONDS: SBICAP Securities Limited enables their clients to invest in 54EC Bonds like REC, NHAI (Capital Gain Tax Bonds) and also in GOI bonds.

Working capital (abbreviated WC) is a financial metric which represents operating liquidity available to a business, organization, or other entity, including governmental entity. Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital. Net working capital is calculated as current assets minus current liabilities. It is a derivation of working capital, that is commonly used in valuation techniques such as DCFs (Discounted cash flows). If current assets are less than current liabilities, an entity has a working capital deficiency, also called a working capital deficit. Working Capital = Current Assets Net Working Capital = Current Assets Current Liabilities Equity Working Capital = Current Assets Current Liabilities Long-term Debt A company can be endowed with assets and profitability but short of liquidity if its assets cannot readily be converted into cash. Positive working capital is required to ensure that a firm is able to continue its operations and that it has sufficient funds to satisfy both maturing shortterm debt and upcoming operational expenses. The management of working capital involves managing inventories, accounts receivable and payable, and cash. Contents

[hide]
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1 Calculation 2 Working capital management o 2.1 Decision criteria o 2.2 Management of working capital 3 See also

[edit] Calculation Current assets and current liabilities include three accounts which are of special importance. These accounts represent the areas of the business where managers have the most direct impact:
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accounts receivable (current asset) inventory (current assets), and accounts payable (current liability)

The current portion of debt (payable within 12 months) is critical, because it represents a shortterm claim to current assets and is often secured by long term assets. Common types of shortterm debt are bank loans and lines of credit. An increase in working capital indicates that the business has either increased current assets (that is has increased its receivables, or other current assets) or has decreased current liabilities, for example has paid off some short-term creditors. Implications on M&A: The common commercial definition of working capital for the purpose of a working capital adjustment in an M&A transaction (i.e. for a working capital adjustment mechanism in a sale and purchase agreement) is equal to: Current Assets Current Liabilities excluding deferred tax assets/liabilities, excess cash, surplus assets and/or deposit balances. Cash balance items often attract a one-for-one purchase price adjustment.

Working Capital Management Decisions relating to working capital and short term financing are referred to as working capital management. These involve managing the relationship between a firm's short-term assets and its short-term liabilities. The goal of working capital management is to ensure that the firm is

able to continue its operations and that it has sufficient cash flow to satisfy both maturing short-term debt and upcoming operational expenses. [edit] Decision criteria By definition, working capital management entails short term decisions - generally, relating to the next one year period - which are "reversible". These decisions are therefore not taken on the same basis as Capital Investment Decisions (NPV or related, as above) rather they will be based on cash flows and / or profitability.
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One measure of cash flow is provided by the cash conversion cycle - the net number of days from the outlay of cash for raw material to receiving payment from the customer. As a management tool, this metric makes explicit the inter-relatedness of decisions relating to inventories, accounts receivable and payable, and cash. Because this number effectively corresponds to the time that the firm's cash is tied up in operations and unavailable for other activities, management generally aims at a low net count. In this context, the most useful measure of profitability is Return on capital (ROC). The result is shown as a percentage, determined by dividing relevant income for the 12 months by capital employed; Return on equity (ROE) shows this result for the firm's shareholders. Firm value is enhanced when, and if, the return on capital, which results from working capital management, exceeds the cost of capital, which results from capital investment decisions as above. ROC measures are therefore useful as a management tool, in that they link short-term policy with long-term decision making. See Economic value added (EVA). Credit policy of the firm: Another factor affecting working capital management is credit policy of the firm. It includes buying of raw material and selling of finished goods either in cash or on credit. This affects the cash conversion cycle.

[edit] Management of working capital Guided by the above criteria, management will use a combination of policies and techniques for the management of working capital. These policies aim at managing the current assets (generally cash and cash equivalents, inventories and debtors) and the short term financing, such that cash flows and returns are acceptable.
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Cash management. Identify the cash balance which allows for the business to meet day to day expenses, but reduces cash holding costs. Inventory management. Identify the level of inventory which allows for uninterrupted production but reduces the investment in raw materials - and minimizes reordering costs - and hence increases cash flow. Besides this, the lead times in production should be lowered to reduce Work in Progress (WIP) and similarly, the Finished Goods should

be kept on as low level as possible to avoid over production - see Supply chain management; Just In Time (JIT); Economic order quantity (EOQ); Economic quantity Debtors management. Identify the appropriate credit policy, i.e. credit terms which will attract customers, such that any impact on cash flows and the cash conversion cycle will be offset by increased revenue and hence Return on Capital (or vice versa); see Discounts and allowances. Short term financing. Identify the appropriate source of financing, given the cash conversion cycle: the inventory is ideally financed by credit granted by the supplier; however, it may be necessary to utilize a bank loan (or overdraft), or to "convert debtors to cash" through "factoring".

Definitions More common and accepted definitions of supply chain management are:
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Supply chain management is the systemic, strategic coordination of the traditional business functions and the tactics across these business functions within a particular company and across businesses within the supply chain, for the purposes of improving the long-term performance of the individual companies and the supply chain as a whole ``(Mentzeret al., 2001).[2]

A customer focused definition is given by Hines (2004:p76) "Supply chain strategies require a total systems view of the linkages in the chain that work together efficiently to create customer satisfaction at the end point of delivery to the consumer. As a consequence costs must be lowered throughout the chain by driving out unnecessary costs and focusing attention on adding value. Throughput efficiency must be increased, bottlenecks removed and performance measurement must focus on total systems efficiency and equitable reward distribution to those in the supply chain adding value. The supply chain system must be responsive to customer requirements." [3] Global supply chain forum - supply chain management is the integration of key business processes across the supply chain for the purpose of creating value for customers and stakeholders (Lambert, 2008).[4] According to the Council of Supply Chain Management Professionals (CSCMP), supply chain management encompasses the planning and management of all activities involved in sourcing, procurement, conversion, and logistics management. It also includes the crucial components of coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party service providers, and customers. In essence, supply chain management integrates supply and demand management within and across companies. More recently, the loosely coupled, self-organizing network of businesses that cooperate to provide product and service offerings has been called the Extended Enterprise.

A supply chain, as opposed to supply chain management, is a set of organizations directly linked by one or more of the upstream and downstream flows of products, services, finances, and information from a source to a customer. Managing a supply chain is 'supply chain management' (Mentzeret al., 2001).[5] Supply chain management software includes tools or modules used to execute supply chain transactions, manage supplier relationships and control associated business processes. Supply chain event management (abbreviated as SCEM) is a consideration of all possible events and factors that can disrupt a supply chain. With SCEM possible scenarios can be created and solutions devised. [edit] Problems addressed by supply chain management Supply chain management must address the following problems:
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Distribution Network Configuration: number, location and network missions of suppliers, production facilities, distribution centers, warehouses, cross-docks and customers. Distribution Strategy: questions of operating control (centralized, decentralized or shared); delivery scheme, e.g., direct shipment, pool point shipping, cross docking, DSD

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(direct store delivery), closed loop shipping; mode of transportation, e.g., motor carrier, including truckload, LTL, parcel; railroad; intermodal transport, including TOFC (trailer on flatcar) and COFC (container on flatcar); ocean freight; airfreight; replenishment strategy (e.g., pull, push or hybrid); and transportation control (e.g., owner-operated, private carrier, common carrier, contract carrier, or 3PL). Trade-Offs in Logistical Activities: The above activities must be well coordinated in order to achieve the lowest total logistics cost. Trade-offs may increase the total cost if only one of the activities is optimized. For example, full truckload (FTL) rates are more economical on a cost per pallet basis than less than truckload (LTL) shipments. If, however, a full truckload of a product is ordered to reduce transportation costs, there will be an increase in inventory holding costs which may increase total logistics costs. It is therefore imperative to take a systems approach when planning logistical activities. These trade-offs are key to developing the most efficient and effective Logistics and SCM strategy. Information: Integration of processes through the supply chain to share valuable information, including demand signals, forecasts, inventory, transportation, potential collaboration, etc. Inventory Management: Quantity and location of inventory, including raw materials, work-in-progress (WIP) and finished goods. Cash-Flow: Arranging the payment terms and methodologies for exchanging funds across entities within the supply chain.

Supply chain execution means managing and coordinating the movement of materials, information and funds across the supply chain. The flow is bi-directional. [edit] Activities/functions Supply chain management is a cross-function approach including managing the movement of raw materials into an organization, certain aspects of the internal processing of materials into finished goods, and the movement of finished goods out of the organization and toward the end-consumer. As organizations strive to focus on core competencies and becoming more flexible, they reduce their ownership of raw materials sources and distribution channels. These functions are increasingly being outsourced to other entities that can perform the activities better or more cost effectively. The effect is to increase the number of organizations involved in satisfying customer demand, while reducing management control of daily logistics operations. Less control and more supply chain partners led to the creation of supply chain management concepts. The purpose of supply chain management is to improve trust and collaboration among supply chain partners, thus improving inventory visibility and the velocity of inventory movement. Several models have been proposed for understanding the activities required to manage material movements across organizational and functional boundaries. SCOR is a supply chain management model promoted by the Supply Chain Council. Another model is the SCM Model proposed by the Global Supply Chain Forum (GSCF). Supply chain activities can be grouped into

strategic, tactical, and operational levels . The CSCMP has adopted The American Productivity & Quality Center (APQC) Process Classification FrameworkSM a high-level, industry-neutral enterprise process model that allows organizations to see their business processes from a cross-industry viewpoint.[6] [edit] Strategic level
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Strategic network optimization, including the number, location, and size of warehousing, distribution centers, and facilities. Strategic partnerships with suppliers, distributors, and customers, creating communication channels for critical information and operational improvements such as cross docking, direct shipping, and third-party logistics. Product life cycle management, so that new and existing products can be optimally integrated into the supply chain and capacity management activities. Information technology chain operations. Where-to-make and make-buy decisions. Aligning overall organizational strategy with supply strategy. It is for long term and needs resource commitment.

[edit] Tactical level

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Sourcing contracts and other purchasing decisions. Production decisions, including contracting, scheduling, and planning process definition. Inventory decisions, including quantity, location, and quality of inventory. Transportation strategy, including frequency, routes, and contracting. Benchmarking of all operations against competitors and implementation of best practices throughout the enterprise. Milestone payments. Focus on customer demand and Habits.

[edit] Operational level

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Daily production and distribution planning, including all nodes in the supply chain. Production scheduling for each manufacturing facility in the supply chain (minute by minute). Demand planning and forecasting, coordinating the demand forecast of all customers and sharing the forecast with all suppliers. Sourcing planning, including current inventory and forecast demand, in collaboration with all suppliers. Inbound operations, including transportation from suppliers and receiving inventory. Production operations, including the consumption of materials and flow of finished goods. Outbound operations, including all fulfillment activities, warehousing and transportation to customers.

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Order promising, accounting for all constraints in the supply chain, including all suppliers, manufacturing facilities, distribution centers, and other customers. From production level to supply level accounting all transit damage cases & arrange to settlement at customer level by maintaining company loss through insurance company.

[edit] Importance of supply chain management Organizations increasingly find that they must rely on effective supply chains, or networks, to compete in the global market and networked economy.[7] In Peter Drucker's (1998) new management paradigms, this concept of business relationships extends beyond traditional enterprise boundaries and seeks to organize entire business processes throughout a value chain of multiple companies. During the past decades, globalization, outsourcing and information technology have enabled many organizations, such as Dell and Hewlett Packard, to successfully operate solid collaborative supply networks in which each specialized business partner focuses on only a few key strategic activities (Scott, 1993). This inter-organizational supply network can be acknowledged as a new form of organization. However, with the complicated interactions among the players, the network structure fits neither "market" nor "hierarchy" categories (Powell, 1990). It is not clear what kind of performance impacts different supply network structures could have on firms, and little is known about the coordination conditions and tradeoffs that may exist among the players. From a systems perspective, a complex network structure can be decomposed into individual component firms (Zhang and Dilts, 2004). Traditionally, companies in a supply network concentrate on the inputs and outputs of the processes, with little concern for the internal management working of other individual players. Therefore, the choice of an internal management control structure is known to impact local firm performance (Mintzberg, 1979). In the 21st century, changes in the business environment have contributed to the development of supply chain networks. First, as an outcome of globalization and the proliferation of multinational companies, joint ventures, strategic alliances and business partnerships, significant success factors were identified, complementing the earlier "Just-In-Time", "Lean Manufacturing" and "Agile Manufacturing" practices.[8] Second, technological changes, particularly the dramatic fall in information communication costs, which are a significant component of transaction costs, have led to changes in coordination among the members of the supply chain network (Coase, 1998). Many researchers have recognized these kinds of supply network structures as a new organization form, using terms such as "Keiretsu", "Extended Enterprise", "Virtual Corporation", "Global Production Network", and "Next Generation Manufacturing System".[9] In general, such a structure can be defined as "a group of semi-independent organizations, each with their capabilities, which collaborate in ever-changing constellations to serve one or more markets in order to achieve some business goal specific to that collaboration" (Akkermans, 2001).

The security management system for supply chains is described in ISO/IEC 28000 and ISO/IEC 28001 and related standards published jointly by ISO and IEC. [edit]

vendor financing

Definition A loan from one company to another which is used to buygoods from the company providing the loan. In this way, the vendorincreasessales, earnsinterest, and may sometimes also acquire an interest in the customer. This increases the risk profile of a company if it is carried out on a large scale, since many companies do not have the skill to conductcredit analysis. Large, creditworthybuyers are unlikely to make use of this arrangement, since they will be able to borrowmoney at lowerrates from other sources.

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Domestic Factoring

Through this product, our intention is to be an active partner in the management of your company's supply/delivery chain. Through domestic factoring, we could look at financing your receivables from your buyers. Additionally we also undertake to finance your vendor/supplier payments. Receivables Finance can be structured with on a With Recourse Basis (where we would be setting up lines on your company) or on a Without Recourse Basis. Payments of all your service and utility bills could be done through our Vendor Finance product. These could include for example, courier payments, electricity bills payments. Through this mechanism we will pay out your service provider on the due date of the invoice/bill and collect the money from you after a pre-determined credit period. Privacy and Security | Terms of Use | Hyperlink Policy