Nifty Bank Index
Education

Institutional Trading

198
1. Investment Idea Generation

How it Starts: Analysts, portfolio managers, or quantitative teams identify potential trades based on in-depth research, financial models, or market events.

Key Drivers: Economic indicators, earnings reports, sector performance, geopolitical news, or algorithmic signals.

2. Pre-Trade Analysis and Risk Assessment

Objective: Assess liquidity, volatility, and execution risks.

Tools Used: Option chains, order books, volume profiles, VWAP (Volume Weighted Average Price), and market depth analysis.

Risk Teams: Ensure the trade aligns with the fund’s risk appetite and regulatory requirements.

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