[Alter_Ego]

Originally Posted by manduvindupondu

Any one trades Foreign indices online from India? Icicidirect offers US trading, though I have not used it. Any inputs/thoughts please?

I would suggest to start off with indian indices and once you feel comfortable with NIFTY only then move to foreign indices.There are a lot of factors which give a totally new dimension to trading in foreign indices.In case you are a pro then go ahead,no worries.
but in case you are just starting off then I would say,take one step at a time.

[s3va]

basic question..

how does Gold ETF work ? Is it really worth as compared to investing in real Gold considering the brokerage charges that you need to pay for ETFs ?

[zaks]

How do you guys keep tab of profit/loss for tax purposes when you do lots of transactions within one fiscal year?

[carboy]

Originally Posted by s3va

basic question..

how does Gold ETF work ? Is it really worth as compared to investing in real Gold considering the brokerage charges that you need to pay for ETFs ?

Gold ETF works fine. I doubt if the brokerage paid is more than the difference between buy/sell price at a jeweller. And if you compare it to buying Gold bars/coins from banks, it's probably much cheaper too.

[manduvindupondu]

Does the Gold ETF have the similar options like in equity? I mean futures/options, day trading, margin etc?

[JMaruru]

Originally Posted by rishab.k

He is probably enjoying his vacations abroad like he does every year.

You were right. He is back from his annual summer vacation.

[Ponmayilal]

Originally Posted by zaks

How do you guys keep tab of profit/loss for tax purposes when you do lots of transactions within one fiscal year?

I use an excel sheet to keep a record of all my purchases and sales.

A sample is shown below.



Basically, I have a one-row template for cash segment Buy/sell (non intra-day) and a two-row template for Intraday Buy and sell transactions with appropriate formulae for calculating the Brokerage, Service Tax on brokerage,Security Transaction Tax,Service Tax on other charges and Stamp Duty. When the contract is received from the broker these are checked and minor adjustments to the figures are made to tally it with the contract. (usually there may slight differences in the range of a few paise - I still do not know how exactly Kotak securities calculate and how to eliminate these paise differences otherwise). There are coloumns to calculate the the acquisition cost and sale cost as the case may be.

This data is used in coloumns Q and R to calculate the Short Term Gain or Loss and Intraday Gain or Loss in coloumns S and U.

The yellow rows are intraday deals while others are non-intraday.

This is how I keep my records. And it is an everyday chore which I finish off the same day. (The sample shows all Unitech shares since I mainly concentrate on it now though I have later on added Sintex and more will be added when Nifty falls below 5000. I do not even look at most other shares in my portfolio which are long term investments.)

It will be interesting to know how others do it - I am in any case not an expert.

[zaks]

Originally Posted by Ponmayilal

I use an excel sheet to keep a record of all my purchases and sales.

A sample is shown below.

Oops, I meant tracking for Income Tax purposes not your daily brokerage/gains/loss calculation etc.

[Ponmayilal]

Is it not necessary for one to keep tracking and record one's LTG/L,STG/L and IDG/L for calculating IT? The coloumns on STG/L and IDG/L specifically do this for calculating the advance tax when due. Earlier I used to record them on a seperate excel sheet but this year I decided to do away with the double entry and have one consolidated excel sheet to record my daily transactions as well the gains and losses.

What else do you mean by "tracking for Income Tax purposes"?

[zaks]

Originally Posted by Ponmayilal

Is it not necessary for one to keep tracking and record one's LTG/L,STG/L and IDG/L for calculating IT? The coloumns on STG/L and IDG/L specifically do this for calculating the advance tax when due.

What else do you mean by "tracking for Income Tax purposes"?

Ok, I'm sorry, I don't know much about those terms since I am a newbie. So does everyone maintain a chart like this?
Can't your trading site give you the calculation automatically at the end of march, as it already has all the details?

[Ponmayilal]

Originally Posted by zaks

.....So does everyone maintain a chart like this?
Can't your trading site give you the calculation automatically at the end of march, as it already has all the details?

Everyone who trades in shares and liable to pay Income Tax on the gains or claiming losses to be carried over has to keep proper accounts and calculate the gains and losses as per the relevant provisions of the IT act.

I will also be interested in knowing how other BHPians here keep their accounts.

I do not think any of the brokers will do it for you and present it all on a platter.

That said, there are, as I understand, some free and paid software for share trade accounting. One can get some details on it here .

Personally I was at one stage interested in trying the software from here but then decided to do it all myself.

Basically you have to upload all data and contract notes from your broker to their server which will then do all the decoding and present the data needed for your IT and other reports. I personally do not like the idea of putting all my investment and trade details on to somebody else's server.

If any BHPian is using any such software they may share the info here.

[black12rr]

@ponmayilal , who is the best broker for intraday ? What is the lowest brokerage you are charged with ? .please PM ,if you dont want to post here .

It looks like trading is your profession .

[Ponmayilal]

@ black12rr, Empty tins make loud sounds. I may perhaps be an opportunistic trader rather than a professional trader or one indulging in speculation. (Last financial year was my first full trading year and I think there are many veterans here.)

Regarding brokerage charges, I have not done any research into it but understand that many now routinely offer 0.2% for delivery trades and .02% for intraday - without much bargaining.

When I opened my demat account with Kotak Securities in Sep 2008 - as a priveleged customer with a networth more than 20 lakhs - offered me 0.3% and .03% for delivery and intraday trades. As indicated in an earlier post, HSBC investdirect recently offered me .2% and .02% but I declined since in their trading platform, at the time of placing the order itself one has to specify whether a particular order is of delivery type or intraday with auto square-off at 1510 hrs.

With Kotak Securities, however, I need not specify this while placing an order. If I do not square-off by 1530 it becomes a delivery order. If I square-off even at 1529 hrs, it becomes intraday with applicable lower brokerage charges. This is more convenient for me and for this reason I stick with Kotak Securities. It gives me lot more freedom to manoeuvre even at the last minute.

[s3va]

Originally Posted by carboy

Gold ETF works fine. I doubt if the brokerage paid is more than the difference between buy/sell price at a jeweller. And if you compare it to buying Gold bars/coins from banks, it's probably much cheaper too.

Defenitely its cheaper. But I am looking at convenience of buying online as well as avoiding the headache of storing physical gold.

What does the price band in the ETF mean ? ie if I go to ICICIDIRECT I see Reliance gold listed twice with price band as 0 & 5. What does this mean ? Appreciate your pointers...

[Ponmayilal]

With Nifty plummeting down today, I shifted gears to "Buy Mode" and it was a busy day. I accumulated the following shares (average price inclusive of all charges inside brackets): 6000 Unitech(72.48), 50 Sintex(286.86), 1000 Birla Power(2.64) - cue from jaysmokesleaves from his fish-finder, 10 Apollo Hospitals(696.34), 20 Bartronics(144.46), 10 United Spirits (1200.71) and 10 HDIL(231.17) - cue from vsh ( If I remember correct he had said he will be accumulating HDIL below 260 and ever since I had been watching it.) I had an eye on Tata Coffee and Pantaloon Retails but they remained almost rock-steady without budging much and so I gave up.

It will be interesting to know what others here have bought or sold in panic.