Scope of NCFM Certification

Clearing an NCFM Exam is a critical element of the financial sector reforms is the development of a pool of human resources having right skills and expertise in each segment of the industry to provide quality intermediation to market participants.

Once you pass the exam, you can make an entry into the stock market as a trainee. After gaining experience, one can get involved in four main fields involved with stock exchange proceedings depending on your interest
1. Jobber - These are the market's wholesale dealers who buy and sell stocks and shares in their own account to make a profit.
2. Dealer/Relationship Manager - Buys and sells securities to market makers on behalf of investors. They may also advise investors how to get the best out of their investments. Brokers give preference to the employees who have cleared the NCFM Exams.
3. Investment Analysts - Provide investors and stockbrokers with information to help them decide which securities to invest in. The work tends to fall into two categories, stock broking analysts and institutional analysts. It includes analyzing individual companies and look at broad sectors of the economy, making recommendations as to which sector or industry to invest in rather than which company. These analysts work for stock broking firms, institutional investors such as banks and pension funds etc.
4. The Stock Exchange - Itself as a central administrative and regulatory body, employs staff with these certifications.
Upon successful completion of all the modules and assignments, a National Certificate is awarded. After this course you can seek employment in stock broking companies, fund managing companies and banks. Today, it is essential to have these certifications to be associated with financial markets because of the regulatory compulsions and initiatives of the industry.


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So, what is a broker & What are stocks?

A broker is the person who handles transactions (mediates deals) for you when you are investing. The term can be used to describe the actual person that you are dealing with one on one or it can be used to describe a firm, such as India Bulls. (Some of you may remember the old commercial saying "my broker is Religare and he says"...)

Today you are probably more familiar with Religare, Prrsaar or India bulls, but if you watch any television or surf the internet, you certainly have seen ads for them, etc. Prior to the internet (in the stone-age) there were very few alternatives for the individual investor apart from dealing with a broker or getting your own license. You would be forced to deal with a broker whether the broker was a "full service" broker, meaning they would tell you what to invest in and would control your portfolio, or a "discount broker" who would charge less, but would only carry out your orders, not give recommendations or manage your account. 

Before you delve into the intricacies of the stock market, the first thing you should understand is what exactly a stock is. Stocks, which are also known as shares, are portions of companies that people can buy, and therefore own part of the company. But even though you may own a part of a company, only those who have invested a lot of money into the company have any real say in how the company is run.

There are two different types of shares: preferred (preference) shares and equity (common) shares. When you invest in equity shares, there is a greater risk of losing part or even all of the investment that you have put into the company should the company stop functioning. Why is this? Because creditors, bond holders and preferred shared holders in terms of being paid first, have a higher rank than the common shareholders, and because of this they will get the first chance to get some of the money they have put in if the company goes out of business.

Great Qualities of Great People

Great Qualities of Great People

What made Dhirubhai Ambani, the biggest business giant of India? How did Sunil Mittal create India's largest Telecom Company? How did Bill Gates build Microsoft? Every other day we come across people who have reached the zenith of success, leaving an example for others. But how often do we think of what made them reach such a height? There are certain traits inside them that have made it possible for them to exist above the level of simple survival. Are there any particular characteristics they all share that are the basis of their accomplishment? A deeper insight into their lives will show that they have some things in common.

1. They dream big

All people who have touched the zenith of success have an inspiring dream that motivates them to move ahead into the future. They don't limit themselves to mere words like "realistic" or "possible". They go beyond them. They dream as big as they can and adjust their dream with an organized plan as they progress. They clearly distinguish between perception and reality. As Dhirubhai Ambani, who showed that nothing is truly unattainable for those who dream big, once said, "You should dream big, but dream with your eyes open."

2. They think outside the box

"One needs to think differently to survive in the globalized world. To get success, innovation is the key. Think outside the box and do things which no one else has done before". This is what Wipro boss Azim Premji said and rightly so. To get the outcome that you have desired, you need to approach problems in new and innovative ways. This is not just a business scheme, but one of the key success mantras that every successful leader follows.

3. They learn from failures

As we go through life, we're going to make mistakes. But those mistakes provide us with a great opportunity to find a lesson and learn from it. Former President of India Dr. APJ Abdul KalamI once said, "I have gone through many successes and failures. I learnt from failures and hardened myself with courage to face them. This was my second stage, which taught me the crucial lesson of managing failures." Dr. Kalam's contribution to India's defence capabilities is very significant.

4. They create and seize opportunities

A man of success is the one who has the ability to create and seize opportunities to act on a goal. Successful people don't wait for opportunities to knock at their door. They go and create opportunities for themselves and whenever they come across any, they seize it to make full use of it.

5. They never say 'die'

All people face challenges in life, but unlike others, successful people deal with situations with one view: Do it again if they are fail at their previous attempts. They don't tolerate flaws; they keep on working on them until they fix them.

6. They take up responsibility

Those who are really successful don't hesitate to take up responsibilities. They don't worry about blames or waste time complaining. They truly believe in making decisions and moving on. They take initiatives and accept the responsibilities of success.

7. They take calculated risks

All successful people inherently do take calculated risks all the time. They always assess what kind of a risk they are going to take. They know it well that risk taking doesn't mean jumping headlong into something that they don't know. According to Jack Welch, former CEO of General Electric, risk is stepping outside your comfort zone to a place where you cannot predict with any degree of certainty the outcome of your actions. Risk is taking on something that holds an enormous chance of failure. Most importantly, risk is the only key to outrageous success.

8. They are solution focused

Successful people look for solutions and when they are focused on a solution, the rest of the world seems to disappear until they stop. They don't simply stop at finding or pointing out at a problem. They move ahead and look for better solutions for that particular problem.

9. They review and celebrate successes, even small ones

Success matters a lot for successful people and they don't forget to celebrate for successes even if they are small. They truly believe that even the smallest success builds into the big picture. They list all the small steps they took that worked well or that they are pleased about. As Warren buffet, the legendary investor, says, "In the business world, the rear view mirror is always clearer than the windshield".

10. They ask the right questions

The simple "Why?" when asked about five times can help us get to the root cause of many problems. All successful people ask the right questions and try to find out the causes the put them in a productive, creative, positive mindset and emotional state.