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  NSE, in three different exchange notices, has announced that 12 stocks will be excluded from the F&O segment for not meeting the enhanced eligibility criteria as s..

  It was an interesting morning yesterday with 3 Central banks cutting rates in a span of around 4 hours.  Reserve Bank of NZ was expected to cut rates but did so for 50bps, ..

  September seems to be a favourite month of the year for surfacing of NBFC problems. Even last year, IL&FS and DHFL grabbed the headlines for all the wrong reasons. Historica..

The exit of RBI’s Deputy Governor Dr. Viral Acharya is not surprising. Though it was a rumor, but market had anticipated it after the resignation of former Governor Dr. Urjit Pate..

  Offer Details Price band Rs 740-745 Per Equity Share Offer Open Date Jul 29, 2019 Offer Close Date Jul 31, 2019 Lot Si..

  Equity linked savings scheme (ELSS) is the only tax saving mutual fund scheme which provides deductions under Section 80C of The Income Tax Act, 1961. This is an equity fund sch..

Directorate General of Civil Aviation(DGCA) reported that Domestic air passenger traffic plunged by 4.5% consisted of 10.99 million passengers in Apr’19 as compared to 11.51 milli..

Determining the optimum mix of assets to get desired rate of returns is the primary purpose of investing in a PMS. Therefore, asset allocation becomes one of the most important facets. ..

SEBI released a consultation paper last week proposing few changes to help investors understand the auditor resignation process and make the companies more accountable and t..

In September’18, Government announced that 3 state-owned banks - Bank of Baroda, Vijaya Bank and Dena Bank will be merged to create country's third largest lender as part of eff..

  Every trader during the process of opening a demat account is liable to sign a Power of Attorney (POA). Such intricate named documents can result in rise of many questions and c..

Bharat 22 ETF (exchange-traded fund) has opened a window to allow in new investors on 14 February 2019 with an issue size of Rs. 3500 crore. The issue is being managed by ICICI Pru..

The Board of Directors of BHEL approved a share buyback for its investors on Oct 25, 2018. The details of the buyback include:  Record Date: November 6th, 2018 Buyback price: Rs...

Traders have two broad categories available to invest their money in – equity and debt. The two asset classes are always in competition to attract the maximum amount of funds. But..

Public Provident fund is a long term debt oriented investment scheme backed by the Government of India that offers attractive interest rates and returns that are exempted from tax. Intr..

Interim Budget for FY20 will be announced on 5 July, 2019. Following items are market expectations on the direct taxation front: Make 80C exemption limit higher - Section 80C li..

The Cement demand growth in most regions has been better in April than in March. Another round of price hikes of 20-25 Rs/Kg was seen in all regions in first week of April. Even though ..

The PMS charges various fees for the unique skills and knowledge they apply in managing its clients'portfolio and taking investment decisions on their behalf. The following are the cha..

Global markets have taken a beating in the past two sessions led by fresh developments in China-US trade wars. Until now, China had been angling towards a strategy of slow-rolli..

Pension fund managers under National Pension Scheme are responsible for managing the retirement savings of the investors under four asset classes – E, G, C and A. The pension fun..

The Board of Directors of Cochin Shipyard Ltd. approved a share buyback for its investors on Oct 16, 2018. The details of the buyback include: Ex-Date: October 30th, 2018 Buyback pric..

  Convertible securities are the one which can be changed into another form of security. These usually pay a fixed amount of payment at regular intervals and specify the price at ..

Corporate actions are events pertaining to a company that has an impact on its stock price movements. These actions may have a direct or an indirect impact on the share price. It affect..

CPI data was released last week and the inflation was at 3.77% in September compared to 3.69% in August rising only by 8 basis points, against forecasted level of 4%.  The minor in..

    Offer Details Scheme features For Anchor Investors For Non Anchor Investors Offer Open Date July 18, 2019 July 19, 2019 ..

  The pace of US payrolls moderated from 159K in July-2019 to 130K in August-2019 against expectations of 150K reading. The moderation in the pace of jobs growth is perhaps an ind..

On June 4 DHFL missed its interest payments on certain NCDs. It downgraded to ‘default’ by all major rating agencies yesterday. CRISIL and ICRA assigned ‘D’ rati..

Investment is allocation of savings with the main objective of gaining some returns. An investor decides to invest his/her earnings instead of keeping them in lockers with the aim of cr..

Today the theory which we are going to study is the most basic and more than 100 years old, it still remains the foundation of Technical Analysis. This theory was developed by Charles H..

  The common thinking in markets ahead of European Central Bank (ECB) Meeting is that post dovish comments at Sintra, Portugal last month, Draghi will signal a rate cut move today..

European Central bank(ECB) left its key interest rates unchanged at yesterday meeting and made dovish adjustments to the forward guidance and mentioned further easing measures. The pa..

Draghi did not disappointed in yesterday's ECB meeting as we expected and delivered a strong accommodative package to target falling inflation and growth expectations i..

Both NSE and BSE last week named 250 companies that were found to be non-compliant with the SEBI’s guidelines on disclosures. This list was based on a qualitative parame..

In the Dec 2018 monetary policy announced by the RBI there was special mention of the banks shifting to an external benchmark for pricingloans. This was part of the policy sta..

The RBI on Friday issued a revised circular for lenders to deal with stressed loans, over two months after the previous framework was quashed by the Supreme Court.The new rules are appl..

Index of Industrial Production (IIP) – grew by 0.1% YoY in Feb’19 compared to 1.7% in Jan’19, below consensus expectation of 2%. Manufacturing output contracted by 0.3..

The minutes from the May 1-2 Federal Open Market Committee (FOMC) May’19 monetary policy meeting showed policymakers remained firmly committed to a “patient” policy ap..

  The US Federal Reserve cut interest rates by 25 bps in line with expectations. The Fed also decided to shrink its $3.6 trillion in bond holdings (also known as Quantitative tigh..

  Market expects the Federal Reserve to cut the Fed Funds rate by 25bp to the 2%-2.25% range from the current range of 2.25%-2.50%. We never thought the chances of a 50 bp move we..

Fed will likely leave its current policy rate unchanged tonight. The Fed may downgrade its assessment of business investment but not of the jobs market, even as it notes the decline in ..

US Federal Reserve left its lending rates unchanged at 2.25%-2.5%, in line with street expectation. Fed statement was dovish primarily on inflation, neutral on growth; however, in the p..

After two crucial events on Wednesday this week - (a) FOMC minutes for the policy meeting conducted on June 18-19 and (b) Fed Chair Powell testimony at the House of ..

  During the Union Budget presented earlier this month, the finance bill 2019-20 has proposed amending the SEBI act to constitute a reserve fund into which 25% of the annual ..

In Union Budget FY2019-20, government has proposed to increase import duty on gold and other precious metals from 10% to 12.5%.  The import duty on gold dore has been hiked to 11.8..

Most investors thought of fixed maturity plans (FMPs) as something that was absolutely safe. After all, they were debt securities and the funds were locked in so there was no maturity m..

Introduction Natural gas(NG) is widely used in daily life. It supports the American economy and also is major producer for NG. Oil & Gas industry accounts for 7.6% contr..

  In a strategic move, Indiabulls Housing Finance (IBULHSGFIN) has announced a merger with 569-branch strong south-India based regional bank Lakshmi Vilas Bank (LAKSHVILAS)  ..

NSE recently asked its clients to get ready for derivatives trading till 11.55 pm from October. Reports are that NSE has written to SEBI seeking approval to extend trading time for deri..

India’s trade deficit for Apr’19 stood at $15.33bn as against $10.89bn in Mar’19 above consensus expectation of US$13.5bn, widened to a five-month high in April due to..

Exports decline sharply India’s exports fell by (-) 6.1% in Aug’19 compared with a 2.2% increase seen in Jul’19.  While a part of decline can be att..

Headline number    CPI accelerated to 2.9% in Mar’19 as against 2.6% in Feb’19 and market expectation of 2.8%.  Driven by food inflation...   Food..

CAD narrowed sharply on a sequential basis to USD 4.6 bn (0.7% of GDP) in Q4 from USD 17.7 bn (2.7% of GDP) in Q3 FY2019, and USD 13.0 bn (1.8% of GDP) seen in Q4 FY2018. The number was..

India's GDP growth plunged to 20-quarter low to 5.8% in Q4 FY19. With this, the full year FY19 GDP growth comes to 6.8% (5-year low) compared 7.2% in FY18. GVA growth for FY19 stood at ..

  India’s industrial output – as measured by Index of Industrial Production (IIP) – eased to 2% in June 2019, as compared to 7% in June 2018 and from an upwardly..

India’s industrial output – as measured by Index of Industrial Production (IIP) – grew by 3.1% YoY in May’19 from 4.3% in Apr’19, below street estimates ..

  India’s Retail or consumer price index (CPI) inflation fell to 3.15% in Jul’19from 3.18% in June, Due to softening fuel and light prices, even as overall food prices..

  India’s merchandise trade deficit narrowed to USD 13.4 bn in Jul-19 from USD 15.3 bn in Jun-19, coming in lower than our and market consensus of USD 14.5 bn and USD 15.0 b..

India’s trade deficit remained little changed in the month of Jun-19 coming in at USD 15.3 bn (vs. USD 15.4 bn in May) in line with market expectations. Both exports and..

Trade deficit steady at US$ 15.4bn Though trade deficit remained steady in May’19, recent decline in oil prices and weak domestic demand implies imports will moderate. Export..

India's industrial output picked up pace, to a six-month high of 3.4% in Apr’19 as compare to the 4.5% in Apr’18 and a revised figure of 0.4% YoY for March 2019, mainly on..

India’s trade deficit for Apr’19 stood at $15.33bn as against $10.89bn in Mar’19 above consensus expectation of US$13.5bn, widened to a five-month high in April due ..

Offer Details Price band Rs.970 - 973 per equity share (discount of Rs.97 to eligible employees) Offer Open Date Jun 24, 2019 Offer Close D..

In general economic terms, we always state a simple equation which is derived from Harrod-Domar model.  Savings = Investment Level of savings equals the level of investment. In..

Let us understand the variables which affect the value of the bonds. It depends on many factors such as coupon rate, market rate of return, maturity period, and redemption payment. As t..

The stocks that are listed on Bombay Stock Exchange (BSE) have been classified into various groups depending upon what they represent. Each series/group represents a different category ..

Options are contracts which give the holder the right to buy/sell the underlying asset at a predetermined amount (strike price/exercise price) before/at the expiry (depending upon wheth..

Let us today discuss about ‘Swaps’ in finance. Swaps are simply financial agreements to exchange cash flows. These are simply private arrangements between parties to exchang..

ULIP stands for Unit linked insurance plan, it’s basically a blend of insurance and investment. In this case, a policyholder can pay premium monthly or annually. The policyholde..

Let us first understand what is meant by ‘venture capital’. Venture Capital is nothing but a form of financing provided by firms/funds to early stage or emerging firms that ..

Growth with employment opportunities is important to sustain upswing in the GDP for a developing economy like India. With working age population expected to increase by 1.3 million eve..

The minutes of the June Monetary policy Committee (MPC) meeting, released by the Reserve Bank of India (RBI) last week shows that concerns about a slowdown in growth, illustra..

The Board of Directors of Just Dial LTD. approved a share buyback for its investors on Jul 20, 2018. The details of the buyback include: Record Date: October 12th, 2018 Buyback price:..

The Board of Directors of KIOCL (INDIA) LTD. approved a share buyback for its investors on Sep 18, 2018. The details of the buyback include: Record Date: October 1st, 2018 Buyback pri..

Nifty's down about 15% since its year high made in August end. Nifty bank is down by 12% and NBFC stocks down by 15% on average and 74% for a company like DHFL, since their year highs. ..

Index of Industrial Production (IIP) – entered negative territory in March, contracting to 0.1% compared to 0.1% in Feb’19, below consensus expectation of 1.3%, the first mo..

MF AUM increased in Mar’19 despite outflow in liquid funds Overall, the mutual fund (MF) industry’s assets under management (AUM) increased by Rs63200 cr MoM, he..

The new SEBI circular allowed the stock exchanges to extend the timings for the Equity derivatives trading to be held till 11.55 pm as compared to 3.30 pm earlier w.e.f. October 1 this ..

McLeod has been in troubled waters for a while now. Company’s shares continued to reel under pressure, hitting over a decade low on the BSE on back of heavy volumes due to it face..

Let us today understand what does ‘leverage’ mean and its application in financial management. Leverage is nothing but the responsiveness or influence of one financial var..

National Pension Scheme (NPS) is defined as voluntary contribution based pension system, introduced by Government of India through Pension Fund Regulatory and Development Authority (PFR..

Earlier this year, SEBI came under criticism for rejecting a proposed 90-bln-rupee share buyback of L&T on grounds that the debt-to-equity (D/E) ratio of t..

Many corporate in India issue Differential voting rights (DVR) shares as a means to raise capital without diluting control.  Many companies like Tata motors, Jain Irrigation and ..

STT is levied only on the sell side in case of intraday and derivatives trade (F&O). It is charged at the concessional rate as it is calculated on the premium value rather than on t..

  National Housing finance (NHB) has asked companies to avoid giving home loans with subvention schemes. This circular released on late Friday is applied prospectively. Home loans..

Following are the eligibility requirements for a stock to be included in Nifty 50 : The security should have traded at an average impact cost of 0.50% or less during the past..

As per the latest announcement from NSE, Nestle India (NESTLEIND) will be included in Nifty 50 index while Indiabulls Housing finance (IBULHSGFIN) will be excluded from the index. The c..

What’s the deal? Baring Private Equity Asia entered into an agreement with NIIT Ltd and other promoters to acquire their 30.2% stake in NITEC (NIIT Ltd: 23.22%, Pawar family: 3.4..

In our  blogs Series, we gave a brief introduction as to what options are & Working of Options. To Read the first Blog (Introduction to options) in this Series Click..

  This post is in continuation of our series on crypto currencies. Decoding Crypto currencies: (Part 1) Types of Crypto Currencies (Part 2)  In the earlier post, we talk..

Background  The Government officially notified guidelines on Partial Credit Guarantee (PCG) scheme announced during the Union Budget for PSU banks to purchase high-rated pooled a..

What’s the deal? PC Jewelers recently announced that it would demerge its Export Division and merge with its wholly owned subsidiary - PCJ Gems & Jewellery Limited. Company c..

Recently NSE announced that some of the equity derivatives would be physically settled. This post tries to bring clarity over some blurred clauses regarding the same. A major query is ..

  SEBI in 2018 had issued framework for making physical settlement of stock derivatives mandatory, and planned to enforce it in a phased manner. Traders have to compulsorily take ..

Prabhat Dairy Ltd (PDL) announced on January 21, 2019 that the company has entered into definitive agreements with Tirumala Milk Products Private Limited (“Purchaser”), a wh..

Recently Government approved capital infusion of Rs. 48,239 cr into 12 PSU bank. This step is taken to aid them in meeting capital requirements and accelerate lending to boost growth (e..

PPF is a fixed return investment savings scheme offered by Government of India, introduced in 1968 by the National Savings Institute of Ministry of Finance. One can open a PPF account i..

  In a circular dated October 6th, 2017, SEBI ordered to rationalise and categorise open-ended mutual fund schemes aimed at de-cluttering the industry by enhancing comparability w..

Market expects the August 2019 MPC to vote for a cut in Repo rate by 25 bps today, with a 6-0 voting pattern, driven by growing domestic and global growth concerns.  Any signal b..

April CPI on Monday came in below RBI's medium-term target of 4% for the ninth consecutive month. At 2.92%, inflation in April was only 6 bps higher than in March and marginally lower t..

  In a late evening notification yesterday, RBI has asked banks to benchmark new floating rate personal loans and SME loans to external benchmarks from 1 October 2019.  The d..

The much awaited Bimal Jalan Committee reports recommendations were accepted by the RBI board on August 26, 2019. The committee recommended a transfer of INR 1.76 tn, which includes INR..

The Board of Directors of REDINGTON (INDIA) LTD. approved a share buyback for its investors on Sep 17, 2018. The details of the buyback include: Ex Date: September 27, 2018 Buyback pr..

Let us first understand what Minimum Support Price (MSP) is. It is nothing but the price at which government purchases crops from the farmers, irrespective of the market price. This act..

  Investors invest for anticipated future returns, but these returns can rarely be predicted precisely. There may be difference between expected return and realized return and the..

What’s the deal? Ruchi Soya is one of India’s largest manufacturers of edible oil and owns a large number of plants and top brands such as Nutrela, Mahakosh, Sunrich, Ruchi..

SEBI in its board meeting today allows sidepocketing in debt and money market mutual funds to segregate bad / illiquid assets The concept of a side pocket is as follows: 1) If..

In April 2008, SEBI informed brokers through a circular that a client's unpaid securities and collateral in the form of securities shall NOT be used for purposes other than meeting hi..

  Offer Details Price band Rs 853-856 Per Equity Share Offer Open Date Aug 5, 2019 Offer Close Date Aug 7, 2019 Lot Size..

Spencer's Board recently approved the proposal for acquisition of entire 100% stake in Nature’s Basket Limited (NBL) for cash consideration of Rs. 300 cr, subject to requisite app..

  IPO Details: Offer Details Price band Rs 775-780 Per Equity Share Offer Open Date 6-Aug-19 Offer Close Date 8-Aug-19 ..

Introduction We may make capital gains whenever we invest in equity funds. These gains are taxable based on how long we have stayed invested in the fund. So we sell securities at a lo..

This post is in continuation of our series on cryptocurrencies.   In the earlier post we talked about the origin of crypto currencies, their features and drawbacks, how fun..

There are two types of accounts under the NPS which are tier-I and tier-II. Tier-I is the default account and Tier-2 is a voluntary addition. Table below explains two types of accounts ..

We recently discussed different sources of risk vis-à-vis market risk, interest rate risk, inflation risk,business risk and financial risk. The first three sources, i.e., market ..

This post is in continuation of our series on Introduction To Swap. Let us now understand some basic swap arrangements such as currency swaps and interest rate swaps. Currency Swaps ..

Steps for choosing a ULIP: Choosing the right ULIP strategy is not that difficult if you have got your basics right. The below mentioned steps will guide you choose the best suited U..

  In this blog we try to understand the P/B ratio which we commonly called Price to Book Ratio. The price-to-book ratio or we can say P/B ratio is a financial ratio commonly used..

The budget for FY19 by the FM also placed emphasis on disinvestment of CPSEs (Central Public Sector Enterprises), in order to raise revenue from non-tax sources, given the modest growth..

Deepening of corporate debt market   To deepen the corporate tri-party repo market in corporate debt securities, the government will work with the regulators, RBI/SEBI, to enable..

The FM announced a desire in budget to increase minimum public shareholding in listed entities from 25% to 35%. This will impact all companies with 65% and higher promoter shareholding...

In a statement last week, the White House Secretary of State Mike Pompeo announced that five countries - India, China, Japan, South Korea and Turkey will no longer be exempt from U..

Earlier, in one of our blogs, we have discussed about Venture Capitalists (VC). Let us look further and understand the difference between VC and Private Equity (PE). There are several ..

This post is in continuation of our series on crypto currencies. In the previous post, we discussed about the aspects that influence investor’s opinion on crypto currencies and..

Investment and risk taking go hand in hand. Whenever one is investing his/her hard-earned money in the hope of generating higher returns, there is a possibility of huge gains or even bi..

Retail inflation data for March will be one of the two new inflation prints available to the RBI's MPC when it meets next in early June. CPI data for which is scheduled to be released a..

In one of our previous blogs, we gave a brief introduction as to what options are. To Read the first Blog in this Series Click here  Let us now understand how options work. Supp..