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Perverse Incentives
Kulsum Khan on July 25, 2022
2.1 – Filling the application right This chapter is authored by Shrehith from Ditto. A few months ago, a young chap came to us seeking help — completely distraught after his rejected claim ..
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A mighty defence
Kulsum Khan on July 25, 2022
6.1 – Understanding specific illnesses, permanent exclusions, disease-wise sub-limits and blacklists This chapter is authored by Shrehith from Ditto. While some people have little faith in their ..
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Introduction
Kulsum Khan on July 25, 2022
1.1 – Overview This chapter is authored by Shrehith from Ditto. Most people in this country live on a tight budget. They don’t have a large savings corpus. They don’t have an emergency fund. ..
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The nudge
Kulsum Khan on July 23, 2022
3.1 – Understanding protection, cover amount and premiums This chapter is authored by Shrehith from Ditto. An average human spends about 8 hours of his day sleeping. About an hour each day eatin ..
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Bull Call Spread
Kulsum Khan on July 18, 2022
We recommend reading this chapter on Varsity to learn more and understand the concepts in-depth. Key takeaways from this chapter A moderate move would mean you expect a movement in the stock/in ..
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Physical settlement of futures and options
Kulsum Khan on July 18, 2022
We recommend reading this chapter on Varsity to learn more and understand the concepts in-depth. There are no key takeaways in this chapter 🙂 ..
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Valuation (Part 3) – Risk Premium & Tax Shield
Karthik Rangappa on July 7, 2022
16.1 – Market risk premium In the previous chapter, we discussed that the equity holders expect a higher return than the debt holders. The higher return (rate) is what we will use to discount the fr ..
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Options M2M and P&L calculation
Kulsum Khan on June 13, 2022
We recommend reading this chapter on Varsity to learn more and understand the concepts in-depth. Key takeaways from this chapter Neither option buying nor selling entails mark to market; M2M is ..
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Vega
Kulsum Khan on June 13, 2022
< We recommend reading this chapter on Varsity to learn more and understand the concepts in-depth. Key takeaways from this chapter Historical Volatility is measured by the closing prices of ..
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Valuation (Part 2) – FCFF & FCFE
Karthik Rangappa on June 7, 2022
15.1 – Building blocks Picking up from the previous chapter, we discussed relative and absolute valuation concepts. At its core, three key inputs drive the absolute valuations – The cashflow Th ..
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