.png)
सोने की कीमतों में मजबूत डॉलर इंडेक्स और बढ़ती हुई बांड यील्ड के कारण पिछले सप्ताह भी ऊपरी स्तरों पर दबाव रहा।
ओमीक्रॉन वायरस के प्रभाव को भी कम माना जा रहा है जिसके कारण कीमती धातुओं में निवेश की मांग नहीं बढ़ी है। वैक्सीन बनाने वाली कंपनी फ़ाइज़र का कहना है की नए वायरस पर वैक्सीन की तीन खुराक,दो खुराक की तुलना में ज्यादा कारगर है। जिसके बाद से कीमती धातुओं में बिकवाली का दबाव बना रहा।
बढ़ती मुद्रास्फीति को नियंत्रित करने के प्रयास में ब्राजील के सेंट्रल बैंक ने अपनी बेंचमार्क ब्याज दर 150 आधार अंकों को दूसरी बार बढ़ाकर 9.25 प्रतिशत कर दिया, जो 2017 के बाद से सबसे अधिक है। लेकिन, कच्चे तेल के भाव पिछले सप्ताह में 400 रुपये प्रति बैरल तक बढ़ गए है जो सोने के भाव को निचले स्तरों पर फिर से सपोर्ट दे सकते है। सऊदी अरब ने जनवरी क्रूड की कीमत में 80 सेंट की बढ़ोतरी की है। अमेरिकी प्रेसिडेंट बाइडन के मुताबिक कच्चे तेल के साथ कुछ और कमोडिटी पर कीमते कम हुई है लेकिन वर्तंमान मुद्रास्फीति के आकड़ो में यह दिखाई नहीं देंगी।
हालांकि, ओमीक्रॉन वायरस की खबरे फिर से दिखाई देने लगी और यूरोप से एशिया तक, सरकारों ने नवीनतम कोरोनावायरस के प्रसार को सीमित करने के लिए प्रतिबंधों को बहाल करना शुरू कर दिया है, ब्रिटेन ने लोगों को फिर से घर से काम करने का आदेश दिया है, डेनमार्क ने स्कूलों को जल्दी बंद कर दिया और रेस्तरां और बार के लिए घंटों को सीमित कर दिया और चीन ने ग्वांगडोंग से पर्यटक यात्राओं को रोक दिया है।
ओमीक्रॉन के नए मामले बढ़ना कच्चे तेल में बढ़त को सीमित करता दिख रहा है। लेकिन हाल ही की खबर से पता चला कि ओमीक्रोन, डेल्टा संस्करण की तुलना में 4.2 गुना अधिक फैलने वाला है, जिसके कारण दुनिया भर में अस्पताल में भर्ती होने और मौतों में बढ़ोतरी हुई है। मृत्यु दर इस नए वायरस में कितनी है यह अभी ज्ञात नहीं है, हालांकि इसकी प्रसार दर भय पैदा करने के लिए पर्याप्त है। जो कीमती धातुओं को सपोर्ट कर सकती है।
लेकिन, कम दरों और उच्च मुद्रास्फीति के बावजूद साल 2021 में सोने और चांदी ने अब तक लाभ नहीं कमाया है, जो कीमती धातु की विकास संभावनाओं के लिए अच्छा नहीं है। हालांकि, सोने के लिए नकारात्मक आर्थिक परिदृश्य तेज हो सकता है क्योंकि दुनिया भर के केंद्रीय बैंकों को मौद्रिक नीतियों को अत्यधिक उदार रखने की आवश्यकता है। दुनिया भर की अर्थव्यवस्था मुद्रास्फीति को कम करने की कोशिश में है लेकिन महामारी से अनिश्चितता बनी हुई है जिससे सोने के भाव सीमित दायरे में है।
इस सप्ताह बुधवार को अमेरिकी फ़ेडरल रिज़र्व की बैठक है, जिसका प्रयास बढ़ती हुई मुद्रास्फीति को कम करना है और यह कीमती धातुओं के लिए महत्वपूर्ण है। सोने और चांदी के भाव में इस सप्ताह दबाव रह सकता है। दिसंबर वायदा सोने में 47000 रुपए पर सपोर्ट और 48800 रुपए पर प्रतिरोध है। चांदी में 58000 रुपए पर सपोर्ट और 62000 रुपए पर प्रतिरोध है।
सोने और चांदी के भाव में पिछले सप्ताह भी गिरावट दर्ज की गई है। कीमती धातुओं के भाव कोरोना वायरस के नए संस्करण ओमीक्रॉन आने के कारण निचले स्तरों पर सपोर्ट लेते दिखे और एक सीमित दायरे में रहे। साउथ अफ्रीका में बदले हुए वायरस के इस रूप के कारण निवेशक जोखिम भरी संपत्ति में निवेश से पीछे हटते दिखे।
वायरस के नए संस्करण का फैलाव कई देशो में हो चुका है और इसके बढ़ते प्रभाव के कारण कीमती धातुओं की मांग मजबूत होने की सम्भावना बढ़ने लगी है। भारत में भी ओमीक्रॉन के मामले मिल चुके है और प्रभावितो की कोई ट्रेवल हिस्ट्री नहीं थी जिससे यह अनुमान है की इसके फैलने की गति तेज़ है। आने वाले दिनों में वायरस का प्रभाव बढ़ता है तो यह सोने के भाव को सपोर्ट कर सकता है। अभी इसके कोई ज्यादा घातक परिणाम सामने नहीं आये है लेकिन यह अर्थव्यवस्था की गति को धीमा करने में सक्षम है जिसके कारण कीमती धातुओं में निवेश की मांग बढ़ सकती है।
जबकि अमेरिकी फेड के इन संकेतो से कि मुद्रास्फीति के दबाव को कम करने के लिए उम्मीद से पहले परिसंपत्ति की कमी और ब्याज दरों में वृद्धि की गति को तेज करेगा, जिससे सोने और चांदी के भाव में दबाव बना हुआ है। इस बीच, गुरुवार को जारी अमेरिकी आंकड़ों से पता चला है कि पूरे सप्ताह में 222,000 प्रारंभिक बेरोजगार दावे दायर किए गए, जो अनुमान से बेहतर रहे।
जबकि अमेरिकी नॉनफार्म एम्प्लॉयमेंट चेंज के आंकड़े अनुमान से कमजोर दर्ज किये गए जिससे सोने और चांदी के भाव को सपोर्ट मिला है। सोने के विपरीत चलने वाला, डॉलर में अभी मजबूती बनी हुई है जबकि अमेरिकी बॉन्ड यील्ड में अस्थिरता है। इस सप्ताह मुद्रास्फीति के आंकड़े कीमती धातुओं के लिए महत्वपूर्ण होंगे।
इस सप्ताह सोने और चांदी के भाव सीमित दायरे में रह सकते है। फ़रवरी वायदा सोने में 47000 रुपए पर सपोर्ट और 48600 रुपए पर प्रतिरोध है। मार्च वायदा चांदी में 59800 रुपए पर सपोर्ट और 62700 रुपए पर प्रतिरोध है।
Welcome! Today, we’re delving into the intriguing concept of reverse stock splits. Though it might sound complex, it's a straightforward concept once you break it down. A reverse stock split is a corporate action where a company reduces the number of its outstanding shares. This process effectively increases the share price proportionally. Let’s explore what this means and why companies might choose to perform a reverse stock split.
In a reverse stock split, a company consolidates its shares. For instance, in a 1-for-10 reverse stock split, every 10 existing shares are merged into 1 new share. This reduces the total number of shares outstanding but increases the share price accordingly.
Here’s a simple example to illustrate:
Reverse stock splits are strategic actions by companies to manage their share price and market perception. While they can offer benefits such as increased share price and improved investor perception, they also come with risks and considerations. It’s essential to stay informed and understand the broader context when evaluating the impact of reverse stock splits on your investments.
India’s leading digital payments system company Paytm made history after successfully launching India’s biggest ever IPO in the current month. As per the sources, the total worth of this public offering was Rs 18,300 Crores with the fixed price band at Rs 2080 to Rs 2,150 for each share.
The company hit headlines when the shares of the company made their market debut after much anticipation on Thursday at a 9 per cent discount. Against the expectations, Paytm Stock listed at Rs 1,955 dropped 9% from its issue price on the BSE. After some hours, the stock prices declined further and reached Rs 1,564 a share (a drop of 27.25%) & hit the lower circuit limit at the end of the day trade.
It has been seen that Paytm's market capitalization dropped to about $13.6 billion from its IPO valuation of $20 billion.
Here comes a question: How did India’s greatest IPO fail to give an outstanding performance? Let’s figure it out.
Experts said that the company’s high valuation, loss-making business decisions and muted investor’s response are some of the primary reasons for the downfall, even though the company expects to break even by next year or in early 2023.
HNIs or and other powerful investors usually borrow funds for the IPO offerings at highly competitive rates. Hence, the investors will make a profit only if the IPO lists at a higher premium than the cost of funding.
After June 2021, merely 25% of the IPO were listed at a discount which led to a huge loss for the investors.
In the case of Paytm, the debut price was lower than anticipated as the stock opened at Rs 1,955 against the issue price of Rs 2,1050 at the upper end at BSE. The stock price is falling at 9.1 per cent. According to Money control, only aggressive investors were requested to put their money for future investments.
The weak response is being viewed as a sign that investors had become disillusioned with a recent string of IPOs with high valuations.
There are numerous reports out there that have claimed that Paytm’s business model lacks focus and attention.
Macquarie Stock Market Research firm has further said that achieving scale with profitability is the biggest challenge for the company. Also, the target price of Rs 1200 for the stock against its issue price of Rs 2,150 clearly shows the 40 per cent downside risks.
Also, the research firm points out that competitors of Paytm such as Amazon, Flipkart, Google etc are offering the same services. The competition became tough when new services such as Buy Today Pay Later were launched by the competitors.
This can be clearly seen from the fact that despite Paytm’s offering being much larger than other offerings, the demand was weaker than the recent stock sale. This is because Paytm has lost much of its market share to its competitors like Google and Flipkart.
Paytm holds its major competition with significant giants in the eCommerce industry like Amazon, GooglePay and Flipkart's Phone Pe. It faces intense competition from these adversaries in specific business areas like purchase currently pay later or buy today and pay later (BTPL)
Although Paytm's Rs. 18,300 crores IPO was listed at the top of the indicator range, it neglected to earn a lot of interest rather than other ongoing IPO events.
The biggest reason behind the market loss to Google Pay and Phone Pe was mainly responsible for this. It is also believed that the company’s FCF (Free cash flow) will not regain its pace till FY 2030.
In addition, the huge development in UPI-based payment structure hampered Paytm's business model.
UPI was presented by GOI in 2019 to build and promote a unified platform for payment in the whole country.
At this point, UPI represents almost 65% of Paytm's GMV, with a strong possibility to reach 85% by FY26
In any case, Paytm actually procures around 70% of its income from the payment business. It is a key part of the mobile wallet section. Nonetheless, this section has lost pertinence because of the advent of UPI payments.
According to a report by Macquarie Research, Paytm needs concentration, innovation and development in its business model. The firm accepts Paytm doesn't have the ability to accomplish scale with productivity.
The digital payment platform is associated with various business verticals, including consumer lending, payment gateway, monetary services etc. It has been consuming a lot of its money while attempting to maintain a few business fragments along with no emphasis on accomplishing benefits. In addition, Paytm procures lower revenue for every dollar it spends through advertising.
As such, the organization has been forced to move into other business segments as it is continuously looking for profitability. In any case, Paytm enjoys a huge client base with 50 million active customers and 22 million merchant banking clients.
Paytm Mall, Paytm's internet business arm, contributes around 55% of its income in this income. During FY2019-21, the segment saw a sharp fall in income. This was predominantly because of rising competition from other significant adversaries.
Paytm neglected to stay aware of the internet business giants like Amazon and Walmart-possessed Flipkart. These players accompany a huge client merchant ecosystem and huge buyer offers.
Paytm stock crash tells us a lot. Only a good company is not the one that can offer you amazing benefits. There are certain things you need to ponder before subscribing to an IPO.
Therefore investors, keen to subscribe to SME IPOs must check the company’s financial and fundamentals. Carefully read the financial statements of a company, analyze its strength and weakness and valuations of a company before subscribing to the IPOs.
Investment bankers and many investors tracking SME IPOs say that 2021 will be a record-breaking year for fundraising.
India is ready to make a record of the biggest IPO launching in the year 2021. In this blog, we will uncover all the reasons that why so many companies are going public this year:
Numerous companies including Policybazaar, Zomato, Paytm have gone public this year. Following the path of these giants, many more firms are expected to launch their IPO later this year.
This year, the companies are planning to raise the highest amount through IPO launching. Despite the impact of COVID 19, the companies are in a rush to go public.
Let’s try to figure out what is the top reason behind the IPO launching:
Initial public offering or IPO is a process under which a privately owned company offers its shares to people so that it can generate funds from investors. The process denotes the progress of a privately owned company to a public firm.
If an organization wants to become public, it has to follow two basic processes. Enter in the primary market to launch its IPO. Second, get listed on the stock exchange to become a publicly-traded company.
A few IPOs also include an Offer For Sale (OFS), which permits existing investors or promoters to minimize their shareholding in the listed companies.
Nevertheless, the amount raised through the OFS generally goes to private investors making their value available for sale.
Initial public offerings are a huge achievement for any company. They are raised when the company concludes it requires capital for a specific reason, like development, growth debt clearance, and funding corporate costs.
Any organization or startup doesn't grow immediately since its inception; they in the long run develop over a period to become more profitable and organized.
Different rounds of funding at the beginning stage and the further mixture of capital through private and private supporters lead to a company’s development.
There comes a turning point in any organization where its growth is soaked, and however the development rate may be positive, there is a flattened growth by a reduction in the rate.
At such a period, many companies are planning to go public via IPO to raise capital from the public.
There are times when a company is making a good profit, however, it needs more capital for development, growth and expansion as all the profits generated by it goes into debt clearance.
In such cases, going public not only helps the company to clear its debt but also utilizes its raised capital for the company’s further growth.
Before going public, the privately held company seeks approval from the market regulator i.e. SEBI. Once it’s done, it starts revealing key insights regarding the IPO.
The key details include the price band for the IPO, lot size, launching date and distribution of share sales for various types of financial investors — non-institutional financial investors, institutional financial investors, existing employees and angel investors.
When the IPO process has begun, the company’s shares first start trading in the grey market — the informal market for unlisted shares. The process continues to take place till they are listed on the bourses.
It may be noticed that the grey market stocks are exchanged over-the-counter (OTC) and are not presented by the stock exchange; only traders are permitted to deal with them.
Investors normally get a small period i.e. typically 2-3 days to subscribe to a company’s public offering post IPO launching date.
During this period, investors (mostly retail investors) can bid for the offers through different stock trading platforms.
As the time period of IPO gets over, investors are required to check their IPO allotment status at their designation status on accessible channels - either the registrar or at the BSE site.
After the completion of allotment, the shares of the company get listed on the stock exchanges on a predetermined date.
It has been seen that Several organizations have gone public regarding fundraising a year ago. Data suggest that organizations raised funds as much as $4.6 billion from IPOs last year. Analysts and investment bankers feel that this sum will be effectively outperformed in 2021 as more organizations are going for public offerings.
A head of investment banking at UBS India told Bloomberg that companies will generate twice the revenue as expected in the last year.
Many organizations have decided on IPOs at the end of 2020, because of the effect of the Covid-19 pandemic on business and the several securities exchange movements.
Experts further suggested that organizations are going public because of the highest performance found in the stock market and higher support of HNIs or high net worth individuals.
A State Bank of India (SBI) report recommended that over 14.2 million new individual investors have taken an interest in the stock market in 2020-21.
Indeed, even as the pandemic hits hard on India's economy, the domestic stock market has not been affected at all.
In fact, stock market indices such as Nifty 50 and BSE 30 have performed better than before.
If we talk about the market performance, a higher percentage of IPOs have done outstandingly well and more investors are hoping to capitalize on this period.
Organizations that are going public either bring capital because of the losses experienced during the Covid-19 pandemic or finance business expansion because of high demand.
Many techs and online delivery companies like Paytm, Nykaa, Zomato have gone public and the key reason is to raise capital and extend the business as the demand grows rapidly.
In the next few years, analysts expect over 50 digital tech companies will get listed on the bourses.
A Gurugram based fintech startup Mobikwik, which was planning to go public this year, may defer its plan by two or three months or even more.
The official news of the delayed IPO comes just after Paytm’s gloomy market debut that saw its shares have gone down by 28% or more.
Seeing the current situation in the primary market, the fintech company has been advised to not go ahead with its IPO as it may face difficulties to find right investors both foreign and domestic.
Mobikwik, a small fintech startup compared to Paytm, had submitted its DRHP to SEBI for the SME-IPO in July. This includes a fresh issue of equity of Rs 1500 Crores and an OFfer for Sale (OFS) for another 400 crores.
The company had plans to hit the markets around Diwali and to raise Rs 1900 Crores approx by issuing its shares to the public. However, the financial advisors had advised the company to wait for the response to Paytm. Also, they suggested not to proceed with the SME-IPO launching, because of the shortening of demand from overseas investors.
After Paytm's debacle, the company is not in a mood to go ahead before January - February 2022.
The firm might have the option to go to the markets in December in case the investors’ reaction is good, if not, the plans might get delayed again.
Paytm's oxymoron listing and proceeding with underperformance, played a vital role in the decision to postpone the IPO plans.
MobiKwik's unlisted stock was trading at around Rs 1,350 before the launch of Paytm's IPO. From that point, the unlisted share price has decreased to about Rs 900, right around 33% lower, according to reports.
MobiKwik has an extraordinary DNA - it was bootstrapped for the initial 4 years and has accomplished its present size of 101 million clients (as of March 2021) having spent just $100 million since its inception.
The fintech startup mainly focuses on Buy Now Pay Later (BNPL) for day to day payments and has the biggest number of pre-supported BNPL users in India at 22.3 million (as of March 2021).
It has consistently adopted a sustainable growth strategy. The organization is seeing solid business development, has a way to productivity and will list at the right time - MobiKwik said according to a report.
As Paytm IPO was released with negative reviews, FinTechs have endured the shot and valuations of Mobikwik shares went further downhill by around 30-40 percent.
Indeed, even the retail financial investors are somewhat terrified since the Paytm IPO has drawn down their capital by approx 30%.
In June, the Abu Dhabi Investment Authority put $20 million in MobiKwik, which provided it with a valuation of about $700-750 million. Since the IPO launching, they had been planning to raise a valuation of more than $1 billion. However the reports say that the current financial investors are not in the mood for a public offering.
The interest for anchor books was repressed both from FIIS and domestic financial investors. This could bring about the delaying of the Mobikwik IPO shares. The more demand among anchor financial investors shows the willingness for financial investors to apply for a specific IPO.
Mobikwik is one of the biggest portable wallets (MobiKwik Wallet) and Buy Now Pay Later (BNPL) players in India dependent on mobile wallet wallet GMV and BNPL GMV, separately, in Fiscal 2021, its DRHP said.
In March, reports recommended that information of almost 110 million clients of MobiKwik was leaked on the dark web available to be purchased by programmers. The dataset included details of KYC documents, Aadhaar cards, Mastercard subtleties, cell phone numbers connected to MobiKwik wallet, and so forth.
The organization, in any case, had denied such information. Resulting reports in October also recommended that this supposed information breach of 3.5 million users at MobiKwik is presently under RBI's scanner.
Online wallet firm MobiKwik allows its users to make and get payments across different financial services like loans and insurance protection. It additionally has tie-ups with different monetary firms.
Also, it has been seen that, during the hour of filing DRHP with the SEBI, MobiKwik had a record of conducting nearly 10 Lakh every day transactions on its platform.
Till now, the fintech startup has not published its quarterly monetary outcomes for the Q2 of FY 2021-22. This shows the willingness of the organization to give Mobikwik IPO shares because the evaluated FS of the new quarter should be distributed before somewhere around 135 days after the end of the quarter.
The organization has saved a hole or pre IPO placements for its shares worth up to Rs 400 crore. MobiKwik’s promoters like Upasana Taku, and Bipin Preet Singh, have intended to sell part of their shares in the organization's secondary market according to the papers documented with SEBI.
Like Zomato and Nykaa, numerous different organizations are grappling to produce enough revenue just to legitimize their existence.
अमेरिका के उपभोक्ता मूल्य सूचकांक में साल-दर-साल वृद्धि सितंबर में 5.4 प्रतिशत की वृद्धि को पार कर गई है। सितंबर से लेकर अक्टूबर तक अमेरिका में, कीमतों में 0.9 प्रतिशत की वृद्धि हुई, जो जून के बाद से महीने-दर-महीने की उच्चतम वृद्धि है। कच्चे तेल, गैस और खाद्य सामग्री की बढ़ती लागत के कारण अमेरिकी उपभोक्ता मूल्य सूचकांक पिछले वर्ष की तुलना में अक्टूबर में 6.2 प्रतिशत पर पहुंच गया है। यूएस सीपीआई डेटा के अनुसार, जो यह मापता है कि उपभोक्ता वस्तुओं और सेवाओं के लिए कितना भुगतान करता है, बढ़कर 4.6 प्रतिशत हो गया है, जो कि संयुक्त राज्य अमेरिका (यूएस) में 1990 में देखी गई मुद्रास्फीति का उच्चतम स्तर है। जिसके कारण पिछले सप्ताह घरेलु वायदा सोना 1400 रुपये प्रति दस ग्राम और चांदी 3000 रुपये प्रति किलो तक तेज़ हुई है।
मुद्रास्फीति हाल के महीनों में श्रमिकों को मिलने वाले वेतन में मजबूत लाभ को कम कर रही है और राजनितिक मुश्किलें बढ़ा रही है। लगभग एक दशक पहले की बड़ी मंदी के बाद की तुलना में महामारी से उबरने के दौरान नौकरी और वेतन वृद्धि अधिक अच्छी रही है। लेकिन उस मंदी के बाद के वर्षों के विपरीत, मुद्रास्फीति अब तेजी से बढ़ रही है और अर्थव्यवस्था में विश्वास को कम कर रही है।
जिसके कारण निवेश के लिए सुरक्षित मांग बढ़ती जा रही है। खाद्यान्न, खाद्य तेल, धातु और बिजली आपूर्ति समेत आवश्यक वस्तुओं के दाम बढ़ने से और दुनिया भर में आपूर्ति बाधित होने से महंगाई बढ़ रही है। हालांकि, अमेरिकी फेड का मुद्रास्फीति लक्ष्य 2 प्रतिशत है जो पहले से ही इस स्तर से काफी ऊपर है लेकिन अर्थव्यवस्था की वर्तमान स्थिति के अनुसार और अधिक आर्थिक सुधारों की आवश्यकता है। अमेरिकी फेड और यूरोपीय सेंट्रल बैंक ने कहा है कि वे बांड खरीद को कम कर रहे हैं, लेकिन निकट अवधि में ब्याज दर में वृद्धि नहीं करने जा रहे हैं क्योंकि अर्थव्यवस्था को महामारी के कारण बिगड़ी हुई आर्थिक स्थिति से बाहर आने के लिए अधिक नौकरियों और प्रोत्साहन की आवश्यकता है।
इस सप्ताह सोने और चांदी के भाव तेज़ रह सकते है। दिसंबर वायदा सोने में 49700 रुपये पर प्रतिरोध और 48000 रुपये पर सपोर्ट है। चांदी में 69000 रुपये पर प्रतिरोध और 63500 रुपये पर सपोर्ट है।
On Thursday, the shares of IRCTC was revitalized 16% after the stock turned into an ex-split. The organization had fixed October 29 as the record day for the stock split in the proportion of 1:5. Earlier, the board of IRCTC had endorsed a stock split on August 12.
Essentially, this implies that each stock will be split into 5 shares This builds the liquidity of the stock by reducing its stock value, subsequently making it more reasonable for investors and traders.
On October 19, 2021, the stock made a record high of Rs1,279 (acclimated to stock split) and has increased the investor’s wealth to a greater extent, which is more than 100% in the recent months.
A stock split builds the number of portions of a firm. In this case, the total number of shares will uplift 5 times however the offer cost will decrease.
This doesn't influence the market cap of the firm. Existing shares might slip yet the worth remains the same as before.
If we take the case of IRCTC, if investors possess 5 shares of the organization, the number of shares will increment to 25. The price of the stock of each share will get reduced. However, their fundamental value will remain the same as before.
The primary reason behind the stock split is to make shares more reasonable for the investors. It happens after a significant run-up of a stock's price.
Before declaring a stock split, the share price of IRCTC was around Rs 4000, even after a major decline from its all-time high of Rs 6,369.
Earlier, the stocks of IRCTC was quite expensive for small investors but after the stock split, the share prices had reduced to Rs 900, making it more appealing for investors.
It does not just advantage the current investors but also for the future investors. This is because IRCTC expanding the number of shares they hold.
It may be noted that there are no extra costs incurred during a stock split. The organization’s finances like revenue, income, operational expenses etc are not much affected after the stock split, nor is the market cap of the firm.
Maximize the ROI by increasing areas of core competencies.
Increase business opportunities through effective partnership between public and private agencies.
Adopt ethical and strong work culture by teamwork as well as the reposition of Railways in the emerging economy.
Concern for heritage and environment.
To be totally friendly to customers and driven by the innovation, and development of human resources.
The fundamentals of IRCTC are very strong even before the stock split. Hence, the analysts recommended their investors hold their stocks instead of buying because of higher valuations. The split just makes the stock more appealing to the investors.
Aside from the stock split declaration, the sudden increase in railway bookings because the economy gets railed again and a decline in COVID cases are the positive news for the IRCTC stocks.
IRCTC has started an online rail ticketing system where any user can book a ticket via SMS or GPRS. It likewise gives an SMS office to check the current PNR status and live train status also.
IRCTC additionally offers catering administrations to its travelers by serving freshly cooked food. IRCTC has also taken the rights for onboard catering of food on all trains operated by Indian railways.
It also has cafeterias such as a food plaza, Jan Aahar at numerous railway stations.
IRCTC accepted its approval for the stock split solely after it declared its quarterly income in August.
IRCTC took this choice simply because it will assist the organization with improving its liquidity in the securities exchange, which thus makes shares accessible for the small financial backers and investors.
The organization further said that the approved offer capital will remain the same at Rs 250 Crore while post-split, the share price will increment up to 1,25,00,00,000 from 25,00,00,000.
IRCTC launched its IPO in October 2019 and thus it entered the primary market. Since launching, the company has also enjoyed its monopoly in the capital market because it's the only company that provides and manages catering services to Indian Railways and at major units at railway stations.
It has been seen that after launching its IPO, the company has managed to give steady returns to its shareholders. The share price of IRCTC has increased more than 10 times from Rs 320 per share to Rs 3,790 within 2 years.
In the June quarter, the net profit of IRCTC has marked at Rs 82.5 crore, whereas its revenue rose up to Rs 257 Crore. Also, the company has increased its revenue to Rs 149 Crore and from the tourism category, the expected revenue was more than doubled to Rs 7 Crore.
The future plans of IRCTC are moving its business to transport, air tickets, tour and travel planners that could bring a new opportunity for the organization to reinforce its position.
IRCTC is the only approved organization that provide online tickets and catering services to the Indian Railways. Hence, we can say that it holds a pure monopoly in business.
Ex split of IRCTC has various advantages as it improves the liquidity in the capital market to build the investor base and makes the share affordable to small investors.
If you are a newbie who wants to start investing in stocks, then IRCTC would be a safe game to play. IRCTC is a government-owned organization and hence investing in it will give you significant gain in the future.
The government of India seeks a gigantic valuation of Rs 10 Lakh Trillion or more from the biggest insurance company of India. The government took a reference from the Zomato IPO, which accumulated a valuation of Rs 1 trillion and suggested its advisors discover if LIC has the potential to be valued at Rs 10 trillion or more.
The government intends to sell a 5-10% stake in the LIC by means of IPO. Through this, the government raise to 1 Lakh Crore according to the people with the knowledge of the matter who have requested to not be recognized, as the matter is confidential.
This, in turn, will help the government to meet Rs 1.75 trillion disinvestments in the current fiscal.
Although the valuation is much lower than Jefferies’ estimate of Rs 19 crore, it can come under the category of RBSA Advisors’ whose estimated valuation is considered as Rs 10 Lakh Crore to Rs 11.6 Lakh Crore.
The central government is pushing ahead with LIC’s IPO to help plug a widening budget gap as it aims to raise Rs 1.75 Lakh Crore via disinvestment. The LIC deal is vital to the government accomplishing this objective.
As said above, the government is looking forward to its LIC IPO as with the help of it, the government aims to meet its disinvestment target. The secondary reason behind the popularity of LIC IPO is that the government is planning to privatize two banks and one insurance company.
From Rs 1.75 Lakh Crore disinvestment, Rs 1 Lakh Crore will be made from the sale of stakes in the financial institution and PSU banks. The leftover of Rs 75,000 Crores will come as a CPSE disinvestment receipt.
Above all, while LIC will have autonomous directors and operate in a corporate structure, it will carry on with the sovereign guarantee. This could end up being of great comfort to the investors and foreign portfolio investment.
Investors met government and LIC authorities last week to officially start the deal process. A listing is expected between January and March in the FY22 said a news official.
The government has selected 10 banks, including Kotak Mahindra Bank, Gold Sachs Group, JP Morgan Chase and Co, ICICI Securities etc to arrange the IPO.
This means that the central government could fuel LIC with more capital if the need emerges.
The offer for sale in LIC IPO could be the mother of all IPOs so far in India - said, research analysts. In spite of the fact that there will be hunger, the sale begins at the end of the financial year which implies that it could deplete the liquidity and impact the secondary market to some extent, analysts said.
The LIC IPO is the biggest plan of the Indian government to raise 1.75 trillion rupees by selling its assets. The money earned after the launching of LIC IPO would be used to minimize the country’s budget deficit which is calculated as 6.8% the current year.
Also, the government aims to offer the majority of its stakes in four major state-run firms including Air India, Bharat Petroleum Corporation of India, Container Corporation of India and Shipping Corporation of India.
The government plans to list LIC shares in the first three months of the year 2022. Earlier, the IPO was planned to be launched at the beginning of the fiscal year April 1, 2020. However, it got delayed due to the Covid 19 and the pandemic issues which interrupted the IPO process to a greater extent.
Calculating the valuation of the biggest insurance company in India is without a doubt a challenging job. LIC, which cover the total size of India’s mutual fund industry, holds $ 511 billion of assets. The firms, that has been appointed to work on the valuation process, will look through million trillion of policies to represent the parameters such as morbidities, mortalities, lapses and surrenders. Additionally, they need to compute the worth of LIC’s fixed property across its 2000 branches.
Few people know that LIC release its balance sheet only once a year and there is no exact number to arrive at its embedded value that incorporates the current worth of future benefit with the net value of assets.
Japan Post, whose privatization began in 2015, was Japan's greatest holder of bank stores and its biggest backup plan while it ran the public postal service.
Like LIC, it was exceptionally apparent, with the greatest chain of retail facades in Japan and a fleet of 86,000 motorbikes for mail conveyance.
Saudi Aramco, which organized the world's greatest IPO in 2019, was in like manner an image of Saudi Arabia's economy might be creating almost 90% of the Saudi government's income.
The huge measure of liquidity presently kicking around in worldwide monetary business sectors could help the IPO sail through. Organizations have raised about $10.2 billion through IPOs in India so far this year, putting 2021 on target to beat the unsurpassed record of $11.8 billion.
Market observers now see great potential in LIC IPO as it may heavily improve future growth as well. Insiders predict that if 22 lakh agents sell one policy per year, it will result in huge volume.
Apart from that, the LIC of India comes with a huge investment portfolio that can create a massive investment return in the future.
Many companies have started IPO filing since the end of 2020. This is because many businesses had suffered due to the impact of the COVID 19 pandemic and exuberant stock market activity.That’s why many SMEs and big organizations have participated in the IPO. Here is the list of the companies that are ready to get launched in November 2021:
Company Name IPO Size Tentative Date CMS Info Systems Rs 2000 Crore November 2021 Emcure Pharmaceuticals Rs 4500 Crore November 2021Star Health And Allied Insurance Co. Limited Rs 3000 Crore November 2021 Jana Small Finance Bank Rs 2000 Crores November 2021 MobiKwik Rs 1900 Crores November 2021Arohan Financials Rs 1800 Crores November 2021 Northern Arc Capital Rs 1800 Crores November 2021 Ixigo Rs 1600 Crores November 2021 Penna Cement Rs 1500 Crores November 2021 Utkarsh Small Finance Bank Rs 1350 Crores November 2021 Fincare Small Finance Bank Rs 1330 Crores November 2021 Sterlite Power Transmission Rs 1250 Crores November 2021RateGain Travel Technologies Rs 1200 Crores November 2021ESAF Small Finance Bank Limited Rs 998 Crores November 2021Shriram Properties Rs 800 Crores November 2021 Shri Bajrang Power and Isp at Rs 700 Crore November 2021Studds Accessories Limited Rs 450 Crore November 2021
Emcure Pharmaceuticals is considered one of the leading pharmaceutical companies in India. Headquartered in Pune, Emcure pharmaceuticals, is planning to make its debut with an IPO of Rs 4500 crore. The company offers numerous products including tablets, capsules including soft gel and hard gel and injectables. The IPO will offer new issue equity shares of Rs 1,100 crore and OFS of about 18 million shares for its current shareholders and company promoters. The primary objective of Emcure pharmaceuticals is to pay its existing debts.
Star Health and Allied Insurance are considered one of the leading health insurance companies in India. Headquartered in Chennai, the company is known for providing health, overseas travel and personal accident insurance. Recently, the company has submitted its DRHP to the Security and Exchange Board of India for filing IPO of Rs 3000 Crore. The offer for sale includes 6 crore equity shares and fresh issue equity shares of Rs 2000 Crore. By launching its IPO, Star health wants to expand its current capital. Currently, the company has a market share of 15.8%.
Jana small finance bank is a leading small finance bank of India in terms of asset under management and deposit size. Founded in 2008, the bank mainly works in the rural and semi-urban parts of the country. The OFS of Jana Finance Bank will be Rs 1,300 Crore and Rs 700 Crore will be through fresh issue equity shares, hence the total IPO worth of Jana Finance bank would around Rs 2000 Crore. The primary objective of the bank is to improve its tier-1 capital.
CMS info systems is a well-known cash management company that has recently filed its DRHP with SEBI. The net worth of the IPO would around Rs 2000 Crore. Here, the IPO will only consist of sales and no fresh issues.
MobiKwik is an Indian digital payment company that has filed a DRHP with SEBI of launching its IPO of Rs 1900 Crore. Founded in 2009 by Bipin Preet Singh and Upasana Taku, the company believes in offering peer to peer payment facilities through UPIs. MobiKwik allows you to make your bill payments and different recharge through its app. By launching its IPO, the company plans to raise a $1 billion valuations.
Northern Arc Capital is an NBFC with 10+ years of experience in the financial sector. Recently, the company has filed DRHP with the SEBI.The IPO consists of an OFS of 36, 520,585 shares and the issuance of fresh equity shares worth Rs 300 Crore.
Arohan Financial Services is an NBFC that provides income-generating loans and other services to people who have zero access to financial services.By launching its IPO, the finance company is planning to make a public issue of around Rs 1800 Crores. The IPO consists of an OFS of 27,055,893 shares and new issue equity shares of Rs 850 Crores.
iXigo is an AI-based online travel portal that has recently filed its DRHP with SEBI. The company has planned to raise Rs 750 Crore through fundraising and an OFS of Rs 850 Crore. In a pre IPO funding round, the company raised around Rs 395 Crore.
The bank filed its DRHP with SEBI in the 1st quarter of this year and got the approval from the same in June 2021 to begin its IPO proceedings. The main motive of this organization behind launching its IPO is business expansion. The total issue size of the IPO will be around Rs 1350 Crore - which can be divided into OFS and fresh issue. Here, the fresh issue of equity will be around Rs 750 Crore and OFS will be Rs 600 Crore.
The initial public offering of Penna Cement will likely have a total valuation of Rs. 1,550 crores. It will comprise an offer for sale of Rs. 250 crores and freshly issued equity shares of Rs. 1,300 crores. ICICI Securities, Axis Capital Limited, JM Financial, Yes Securities (India) Limited, and Edelweiss Financial Services are the lead managers of this IPO. KF in Technologies Private Limited is the registrar of this IPO. Penna Cement is one of the leaders in its segment in India. It has an annual production capacity of 10 million tonnes and has a strong presence in the Southern and Eastern parts of India.
Sterlite Power is a leading integrated power transmission developer and solution provider company. The company is all set to release its IPO of about Rs 1250 Crore. According to the DRHP, the lead manager of this IPO is JM Financial Capital, ICICI securities limited, Axis Capital Limited. However, the registrar of this IPO is KFin Technologies.
RateGain Technologies is all set to release its IPO, which would be worth Rs 1200 Crores. The face value of RateGain’s share is Rs 1 per share. The company is planning to invest its proceedings to pay off debts first and then invest the money in technological innovations and acquiring capital equipment.
Fincare small finance bank is preparing to go public in the current financial year. However, the company has already filed for DRHP to start IPO. The total valuation of around Rs 1,330 Crore, which consists of an OFS of Rs 1000 Crore through the company’s promoters and freshly issued equity shares of Rs 300 Crores.
ESAF Small Finance Bank is ready to go public by the end of 2021. The total size of the IPO is Rs 800 Crores and the remaining is through OFS.
Shriram Properties have filed its DRHP with SEBI. The total valuation of Shriram properties is around Rs 800 Crore. It consists of fresh equity shares of Rs 250 Crores and Rs 550 Crores for OFS.The face value of Shriram properties is Rs 10 per share.
Shri Bajrang Power & Ispat Limited IPO will list 41,18,000 freshly issued equity shares with a face value of Rs. 10 per share.
Studds Accessories Limited, IPO is expected to have a valuation of around Rs 98 Crore. Also, current investors are likely to divest around Rs 3,939,000 crore equity shares.
A stop-loss order is used to mitigate the losses happening in the stock market. The order can be placed on both - the buy and sell orders. As you know the stock market is full of ups and downs and hence there is also a chance of falling stock.
If things happen exactly the opposite of what you think, then you need to do something to stop it right. Here, the term is known as a stop-loss order.
Let’s understand it with a suitable example: Suppose you have purchased a stock of Rs 100 and wish to go that stock high. If this is not happening, then you need to take some action to mitigate the losses. Here, the stop-loss order comes into play.
In the stock market, you can limit your losses by putting a stock loss order at 95. By doing this, you are placing it to stop a loss more than what you are ready to risk.
Stop-loss orders are of two types:
Case 1 > If you have a buy position, then you will place a sell SL.
Case 2 > If you have a sell position, then you will place a buy SL.
In Case 1 if you have a buy position at 100 and you wish to place an SL at 95.
SLM order type: With this order type, you must place a Sell SLM order with a trigger price of 95.
Then, when the price of 95 is triggered, a sell market order will be sent to the stock exchange and your position will be will settle at the market price.
SL order type: With this type of order, you must place a sell order with price and trigger price. Here your order must be triggered first, the trigger price is always greater than or equal to the price.
This order offers you a series of stop-loss limits.
Assume a range of Rs 0.10 (10 Paise). Here you can enter the trigger price = 95 and the price = 94.90.
When the price of 95 is triggered, the sell limit order is submitted to the exchange and your order is squared with the next available offer above 94.90. So your SL order can run at 95 (or higher) or 94.95, but not below 94.90.
The downside of this order is that if the market falls sharply, your Stop-Loss order is placed after the trigger of 95 and before the sell limit order of 94.90, if the share price is already below After 94, 90, your Stop-Loss order is still open and your losses could be much higher.
In Case 2, If you have a sell position at 100 and you wish to place an SL at 105.
SL-M Order Type: You place an SLM buy order with the trigger price = 105.
When the price of 105 triggers, a buy market order is sent to the stock exchange and your position is squared with the price market.
SL Order Type: Make a Buy SL order with price and trigger price.
Since your order must be activated first (the triggered price ≤ price). Here this type of order gives you a stop loss range.
Let’s assume a range of Rs 0.10 paise. Here you can keep the trigger price = 105 and the price = 105.10.
When the price of 105 is triggered, the buy limit order will be submitted to the stock exchange and your order will be squared below 105.10 on the next available offer.
Therefore, your SL order can be executed at 105.05 or 105, but not above 105.10.
Since SL sell orders are used above their buy price and SL buy orders below their sell price, you can use these types of orders to buy via LTP (last traded price) and sell below LTP.
What are the Methods of Calculating the Stop-Loss in Intraday Trading?
Percentage Method
This method is mostly used by intraday traders to calculate the stop loss. In the percentage method, traders are required to set the percentage price of the stock price they are prepared to lose before exiting the trade.
For Example: if you think that you would be losing 10% of the stock price before you exit your trade. Let’s say your stock is trading at ₹50 per share. Hence, your stop loss would be set at ₹45. This is because 10% of ₹ 50 is Rs 5. ₹50 - ₹45 = ₹5
₹5 under the current market value of the stock (₹50 x 10% = ₹5).
This method is comparatively easier than the support method to figure out where to set their stop loss. A moving average can be applied to the stock chart.
The moving average for the long term is better as it helps you keep your stop loss too close to the stock price. Once the moving average has been inserted, kindly set your stop loss just below the moving average level.
In a support area, the stock price often stops falling, and in a resistance area, the stock price often stops rising. Once your support level is determined, all you need to do is set your stop-loss price point below the support level. For example, let's say you own a stock that is currently trading at ₹ 500 per share, and ₹ 440 is the last support level you can identify. It is recommended that you set your stop loss a little less than ₹ 440.
Don’t let a single bad day ruin your whole month. When you do intraday trading, there are so many things that go wrong. Successful traders know how to handle the situation and hence they know when to quit - they set and abide by a daily loss. According to stock market research analysts, the 3% rule is your maximum loss for the day; reduce this amount if you wish, but try never to lose more than 3% in a day.
India is planning a proposal to let foreign investors buy up to 20 percent stakes in the upcoming LIC IPO. The whole information was provided by a person with knowledge of the matter, that would allow them to participate in the nation’s biggest IPO i.e LIC.
The listing of LIC as an IPO is the government’s biggest move towards public offering as the government is expecting to raise 900 billion rupees from its stakes sale.
Also, the government is planning to amend its FDI rules so that the investors will purchase shares without the government’s approval. According to the act of parliament of India, LIC is a special Indian entity, and hence not all have an opportunity to buy its stakes.
Besides, GOI, the RBI, and IRDAI also regulate foreign investment in the Indian insurance sector.
As of now, the FII’s are allowed to hold up to 74% of private insurance companies and 20% up to state-owned banks, however, they have no right to buy shares in LIC.
The amendment in FDI rules would allow foreign pension funds, mutual funds, insurance companies to participate in LIC IPO i.e India’s biggest life insurer.
Before the year ends, the government is all set to complete its listing procedures and hence selected 10 merchant banks out of 16 that had bid to manage LIC IPO.
The government has selected the top 10 global and Indian merchant bankers to manage the mega-IPO of the country’s largest insurer LIC.
According to the department of investment and public asset management, GOI has appointed Goldman Sachs, Nomura Financial Advisory and Securities, Citigroup, JP Morgan Chase, Bank of America Securities, JM Financial, SBI Capital Market, Axis Capital, ICICI Securities and Kotak Mahindra Capital to manage the mega initial public offering of LIC.
Furthermore, the Government of India also selected Kfintech as the registrar, share transfer agent and concept communications as the advertising agency before launching the LIC IPO.
According to DIPAM (Department of Investment and Public Asset Management) secretary Tuhin Kanta Pandey, the government has finalized the book-running led managers and other advisors for LIC IPO.
Also, on July 15, 2021, the disinvestment department received several applications for the appointment of merchant bankers. As a result, 10 out of 16 bankers have been selected. After this, 16 merchant bankers had prepared presentations for managing the listing and disinvestment of LIC.
Looking actively at the whole matter, DIPAM had already appointed a legal advisor for the stake sale and the last date for placing bids for the same was 16 September.
The government also allows foreign investors to buy stakes in LIC IPO. However, as per the LIC Act, there was no provision for foreign investment earlier, the GOI along with SEBI has come with proposed norms regarding FII’s participation as a result of which they are allowed to purchase up to 20 per cent in this IPO.
If you look at the size of the IPO, then it is expected to be far larger than any other IPOs that have launched in the primary market.
The public listing of LIC will give bountiful benefits to the Indian government as its disinvestment target will be Rs 1.75 Lakh Crore in FY 2021-22.
This financial year, Rs 8,368 Crore has been mopped up through minority stake sale in PSU and sale of specified undertaking of the unit trust of India stake in Axis Bank.
After selecting the best merchant bankers for managing the LIC IPO, the fresh move that will be taken by LIC is to draft DRHP next month. As per the finance ministry official, the plan is to bring the IPO within this fiscal, and we have set fixed timelines in regards to the IPO.
The DRHP would be filed in November 2021, i.e next month. Once the Draft Red Herring Prospectus is filed, the merchant bankers will open domestic and global roadshows for investors all over the world.
The government has appointed Cyril Amarchand Mangaldas as a legal advisor for the IPO.
The government’s objective then is to list the insurance behemoth within the current financial year ending in March 2022. The ministry is in the process of getting the embedded value of the LIC and once that is done, the ministerial panel will decide the government stake that will be divested in the IPO.
The listing of LIC is important as through it, the government will get a benefit of Rs 1.75 Lakh Crore.
As per the economic time’s report, three companies including national fertilizers limited, Mishra Dhatu Nigam and Rashtriya Chemicals and Fertilisers Limited are likely to get divested through an offer for sale before LIC IPO launching.
It is estimated that 10% of stake sale of LIC would give a big amount of Rs 1 Crore to 1.5 Crore.
The price band of LIC IPO is estimated at Rs 400-600 shares taking into account total capital and valuation. The paid-up capital is reported is Rs 25000 Crore while the total valuation of the IPO would be between 10-15 Lakh Crore.
The renowned company offers numerous life insurance plans, money back plans, term life insurance plans and more.
LIC covered a market share of 69% in the life insurance space.
LIC also offers other businesses such as LIC Housing Finance, LIC Pension Fund, LIC Mutual Fund, LIC Card Services.
As per the new norms, foreign investors’ participation is allowed in the LIC IPO.
सोने और चांदी की कीमतों में तेज़ी पिछले सप्ताह भी जारो रही। घरेलु वायदा बाजार में सोना पिछले सप्ताह 400 रुपये तेज़ हो कर 47600 रुपये प्रति दस ग्राम के स्तरों पर कारोबार किया। जबकि चांदी के भाव 2300 रुपये तेज़ हुए जिससे कीमते 65500 रुपये प्रति किलो पर पहुंच गई।
विश्व बैंक ने गुरुवार को अपने नवीनतम कमोडिटी मार्केट आउटलुक में कहा कि ऊर्जा संसाधनों की कीमतें 2021 में 80 प्रतिशत से अधिक बढ़ी जिसके कारण कई विकासशील देशों में निकट अवधि के लिए वैश्विक मुद्रास्फीति का जोखिम बढ़ गया है।
बहुपक्षीय विकास बैंक के अनुमान के मुताबिक साल 2022 की दूसरी छमाही में ऊर्जा की कीमतों में गिरावट शुरू हो सकती है क्योंकि आपूर्ति संकट कम हो जायेगा, साथ ही कृषि और औद्योगिक धातुओं की कीमतों में भी गिरावट होगी जिनकी कीमते 2021 में काफी उचे स्तरों पर पहुंच चुकी है।
उच्च खाद्य कीमतें भी खाद्य-मूल्य मुद्रास्फीति को बढ़ा रही है और कई विकासशील देशों में खाद्य सुरक्षा के बारे में सवाल उठने लगे है। जिससे कीमती धातुए जो मुद्रास्फीति से सुरक्षा का बेहतर विकल्प है, की मांग मजबूत है।
दुनिया की प्रमुख केंद्रीय बैंको द्वारा कोवीड -19 का असर कम होने पर एसेट टेपरिंग पर विचार शुरू कर दिया है लेकिन, आपूर्ति में बाधा रहने से औद्योगिक उत्पादन घटने लगा है जिससे डॉलर जो सोने के विपरीत दिशा में चलता है, में पिछले सप्ताह गिरावट रही है और सोने के भाव में तेज़ी है। खुदरा मांग मजबूत रहने से भी कीमती धातुओं के भाव में तेज़ी है।
घरेलु सराफा बाज़ारो में दिवाली के पहले सोने और चांदी की खुदरा मांग बढ़ने की सम्भावना है जिससे इनके भाव में तेज़ी रह सकती है। घरेलु वायदा सोने में 47200 रुपये पर सपोर्ट है और 48000 रुपये पर प्रतिरोध है। चांदी वायदा में 63700 रुपये पर सपोर्ट और 66000 रुपये पर प्रतिरोध है।
DSP Investment managers announced the launch of DSP Nifty 50 Equal Weight ETF on the very first Monday of this week. The ETF is India’s first exchange-traded fund which is based on the Nifty 50 Equal Weightage Index.
The new fund offer NFO opens for subscription on October 18th and closes on October 29th, after which it could be bought and sold on the major stock exchanges, the company said.
Before taking a deep dive into the Nifty 50 Equal Weight Index lets take a quick glance at ETF:
An ETF is a basket of securities whose shares are sold on the stock exchanges i.e. NSE and BSE. They offer similar features and potential benefits like mutual funds, stocks and bonds.
ETFs are similar to stocks as they provide investors with a facility to trade throughout the day at prices that change based on supply and demand.
Like stocks, ETFs also possess some features of mutual funds as ETF stocks represent partial ownership of a portfolio built by professional managers.
There are different types of ETFs, each with a different investment focus.
Here are some of the most common ETFs.
The returns of Diversified Passive Equity ETFs are completely dependent on the performance of widely used equity market benchmarks such as the S&P 500, the Dow Jones Industrial Averages and more.
Niche passive equity ETFs, are those whose returns are based on the performance of S&P 500 industry subgroups or Russell 2000 small companies.
These ETFs provide investors with focused exposure to help them fine-tune their portfolio strategies.
As with passive diversified funds, these niche portfolio funds are generally made up of the same stocks that are used to calculate their benchmarks.
Active Equity ETFs allow their managers to use their own judgment when choosing investments rather than being rigidly tied to a benchmark index.
Active ETFs can have the potential to outperform a market benchmark, but they can also carry higher risk and higher costs. 4,444 bond ETFs focus more on bonds than stocks.
Large fixed-income ETFs are those that actively traded on the stock market but provide low returns or steady returns to the investors. In other words, the returns generated from large fixed income are not very high yielding.
In an equal weight index, each stock present in it receives equal weight. For instance, if the method is applied to the index Nifty 50, then the equal weightage index will own the same 50 companies of Nifty 50 and will have 2% weight of each company.
This method is not like the current stock market cap design where some stocks hold a large weight such as 9-10% and many stocks in the lower tail will get only 0.3%.
This provides all the companies with a fair chance to contribute equal returns than completely dependent on the top 10 company stocks.
In Nifty 50, the stock weights are decided on the basis of market capitalization and weightage changes based on the movement of the stock market. Hence, the returns generated from the market are slanting towards the stocks that possess the highest weight.
In the Nifty 50 Equal Weight Index, equal weights are assigned to each company’s stocks and the weight of each stock is reset to equal weight every quarter. Here, they provide equal opportunity for every stock to perform.
The DSP Equal Nifty 50 ETF operates on the two fundamental investment principles that invest in industry leaders who can navigate the cycles of the stock market with better diversification between companies and sectors with equal share weights, offering low specific risks and low industry concentration compared to Nifty.
Aside from a lower-cost diversified portfolio, the Nifty 50 ETF has the same weighting benefits of ease of purchase and real-time stock trading.
The equal index is reweighted quarterly. Because of this quarterly rebalancing, an equally weighted portfolio has a built-in profit mechanism that buys the underperforming at low prices and sells the best performing at high prices.
The new fund offering opens for subscription on October 18 and ends on October 19, after which it can be bought and sold on the stock exchanges.
Kalpen Parekh, Dr MD and CEO of DSP Investment managers has said that when we explore this concept of equally-weighted indices around the world, we find that the same weights tend to produce better returns than market capitalization-weighted indices over long periods of time.
This is done because all companies have the opportunity to participate, not just a few. Such a strategy has its underperforming phase when the benefits of the economy polarize on selected companies, as they have been for the past five years.
However, since good companies in all industries grow and create long-term value, a balancing strategy gives each company significant weight in the index.
The same weighting also ensures that the sector with the most ownership is at risk at all times, ”Parekh said.
Anil Ghelani, CFA, Director of Investments and Passive Products, DSP Investment Managers, emphasized that equally weighted strategies exploit certain market inefficiencies due to behavioral distortions.
Since the strategy is not controlled by an excess of optimism in specific actions, the same weighting takes the benefits of certain stock market inefficiencies caused by behavioral biases.
These inefficiencies have contributed to the balanced index strategy eclipsing traditional index strategies based on market capitalization, ”says Ghelani.
हम एक अनोखा बुल रन देख रहे हैं, जहां महंगाई और बढ़ती बॉन्ड यील्ड की सभी चिंताओं को नजरअंदाज करते हुए बूल्स 18500 के स्तर की ओर बढ़ रहे हैं, वही हमने लंबे समय से कोई बड़ी गिरावट नहीं देखी है।
इस बुल रन का सबसे दिलचस्प हिस्सा यह है कि यह संस्थागत निवेशकों के प्रवाह की परवाह नहीं कर रहा है जहा पिछले सप्ताह नेट संस्थागत निवेश नेगेटिव रहा वही निफ्टी ने पिछले सप्ताह के प्रत्येक कारोबारी सत्र में अपनी नई ऊंचाई को छुआ तथा 2.5% की साप्ताहिक बढ़त के साथ अपने उच्चतम स्तर पर समाप्त हुआ।
FII ने केवल 1037 करोड़ रुपये की बाजार में खरीददारी की जबकि DII ने 3296 करोड़ की बिकवाली की, इसलिए संसस्थागत निवेशकों द्वारा नेट 2259 करोड़ रुपये की बिक्री हुई। बाजारों में परिस्थिति बदल रही है और हम रिटेल निवेशकों की ताकत देख रहे हैं क्योंकि एसआईपी मार्ग के साथ-साथ डायरेक्ट इक्विटी मार्ग के माध्यम से रिकॉर्ड इनफ्लो हो रहा है।
ये इनफ्लो पिछले बुल रनों की तुलना में ज़्यादा मज़बूत दिख रहा हैं क्योंकि इन निवेशकों का दीर्घकालिक दृष्टिकोण है और हर गिरावट पर खरीदारी के रुख के साथ शार्ट टर्म अस्थिरता से निपटने के लिए तैयार हैं, हालांकि इन निवेशकों के स्वभाव की वास्तविक परीक्षा थोड़े बड़े करेक्शन में होगी क्योंकि अभी तक नए निवेशकों ने बाजार में कोई बड़ी मुनाफावसूली नहीं देखी है।
अगर हम डेरिवेटिव डेटा के बारे में बात करे तो इंडेक्स फ्यूचर में FII का लॉन्ग एक्सपोजर 67% है, जबकि पीसीआर 1.53 मार्क पर है, जो बाजार में कम्फर्टेबले लेवल का संकेत देता है, हालांकि 21 अक्टूबर की एक्सपायरी के लिए ओपन इंटरेस्ट पोजीशन बिखरी हुई है, जहां पर कॉल ऑप्शन में OI 18500-19000 की रेंज में है जबकि पुट ऑप्शन के लिए यह 18300-18000 जोन है।
टेक्निकल चार्ट पर 18500 एक तत्काल और मनोवैज्ञानिक रेजिस्टेंस है, जबकि 18700 एक अपस्लोपिंग ट्रेंडलाइन रेजिस्टेंस होगा। वही दूसरी तरफ, 18250 एक तत्काल सपोर्ट स्तर है जबकि 18000 -17950 किसी भी मुनाफावसूली पर महत्वपूर्ण सपोर्ट जोन होगा।
निफ़्टी के मुकाबले बैंकनिफ्टी बेहतर प्रदर्शन कर रहा है और 40000 के महत्वपूर्ण रेजिस्टेंस को टेस्ट कर सकता है और 39000-38800 का क्षेत्र तत्काल और मजबूत सपोर्ट क्षेत्र बन गया है जबकि 38100-37900 महत्वपूर्ण सपोर्ट क्षेत्र होगा।
IT सेक्टर अंडरपरफॉर्म कर सकता है क्योंकि यह लोअर हाई और लोअर लो फॉर्मेशन बना रहा है जबकि मेटल सेक्टर नए हाई के तरफ बढ़ सकता है । पीएसयू बैंक भी आने वाले दिनों में अपनी मजबूती जारी रख सकते हैं।
अगर अगले सप्ताह के संकेतों की बात करें तो सितम्बर के तिमाही नतीजे बाजार पर हावी रहेगी जहां बाजार सोमवार को एचडीएफसी बैंक और एवेन्यू सुपरमार्ट्स (डी-मार्ट) की कमाई पर बाजार रियेक्ट करेंगे , साथ ही अल्ट्राटेक सीमेंट, एसीसी, एचयूएल, नेस्ले, एशियन पेंट्स, जेएसडब्ल्यू स्टील, एचडीएफसी लाइफ, और रिलायंस इंडस्ट्रीज सप्ताह के दौरान अपने तिमाही नतीजे घोषित करेगी ।
तिमाही नतीजे के अलावा अन्य ग्लोबल संकेत महत्वपूर्ण होंगे जहां ग्लोबल बाजारों ने एक करेक्शन के बाद अच्छा प्रदर्शन करना शुरू किया है। कमोडिटी की बढ़ती कीमतें अभी भी चिंता का विषय हैं लेकिन बाजार फिलहाल इस तथ्य पर विचार नहीं कर रहा है। डॉलर इंडेक्स और यूएस बॉन्ड यील्ड थोड़ी ठंडी हुई लेकिन आने वाले दिनों में बाजार की नजर इस पर होगी।
The Indian Railway Catering and Tourism Corporation (IRCTC) is a Miniratna PSU Owned by Govt. of India through Indian Railways.
It is the only authorized entity to provide certain services to the Indian Railways, including online ticketing, catering, and selling drinking water on trains and at railway stations.
IRCTC shares rallied from 2000 to 4900 level in just four-month. It has been climbing sharply on the stock market, scaling new highs in the stock is now a regular phenomenon.
Reopening of economic activities & pickup in demand in tourism sector also reaching to their pre COVID level boost up the stock price.
Technically IRCTC has given breakout after consolidation above 4000 and forming higher high and higher low chart formation which is bullish in nature.
As IRCTC stock has already rallied a lot from its SME-IPO Price (Issue 315-320), Stock may gain further due to its Monopoly Business Model. IRCTC also aggressively expands in the hospitality business will take the stock to a new high in the upcoming years. So, Long Term investors can buy on dip around level 4000-4100 for 6000+ Target.
घरेलु वायदा सोने में पिछले सप्ताह 1000 रुपये की तेज़ी देखि गई और कीमते 48100 रुपये प्रति दस ग्राम के स्तरों को छू गई। दिसंबर वायदा चांदी भी सप्ताह में 1500 रुपये तेज़ होकर 63800 रुपये प्रति किलो के स्तरों को छुआ।
हालांकि शुक्रवार को कीमती धातुओं में मुनाफा वसूली भी रही। डॉलर जो सोने के विपरीत दिशा में चलता है, में 0.2 प्रतिशत की साप्ताहिक गिरावट दर्ज की गई। पिछले सप्ताह कॉमेक्स वायदा सोना 1800 डॉलर प्रति औंस के ऊपरी स्तरों तक गया जो सितम्बर माह के बाद का उच्चतम स्तर है।
तेल की कीमतों में 80 डॉलर प्रति बैरल के सात साल के उच्च स्तर पर पहुंचने के बाद अंततः मुद्रास्फीति से बचाव और सुरक्षित आश्रय के रूप में सोना अपने लेबल पर खरा उतरा है। लेकिन, उम्मीद से बेहतर खुदरा बिक्री रिपोर्ट और कॉर्पोरेट कमाई के मजबूत आकड़ो ने अमेरिकी बांड यील्ड को उच्च स्तरों पर पंहुचा दिया जिससे गैर उपज वाली संपत्ति सोने में ऊपरी स्तरों पर दबाव रहा।
भारत, अमेरिका और यूरोप के प्रमुख त्योहारों के पहले अच्छे खुदरा बिक्री के आंकड़े, कॉर्पोरेट अर्निंग को आगे भी मजबूत बने रहने का संकेत देते है जिससे अमरीकी शेयर मार्किट डाव जोंस में पिछले सप्ताह 1.5 प्रतिशत की तेज़ी रही।
कोल् आपूर्ति में बाधा आने से चीन और यूरोप में पावर शार्टेज की समस्या बनी हुई है जिसके कारण कच्चे तेल और औद्योगिक धातुओं के भाव में फिर से तेज़ी देखि जा रही है। कच्चे तेल के भाव, औद्योगिक धातुओं के बढ़ते भाव और मजबूत होती खुदरा मांग, मुद्रास्फीति को सपोर्ट कर रही है जिससे सोने और चांदी में तेज़ी बनी रहने के आसार है।
कीमती धातुओं में इस सप्ताह तेज़ी रहने की सम्भावना है। घरेलु वायदा सोने में 47000 रुपये पर सपोर्ट है और 47700 रुपये पर प्रतिरोध है। चांदी वायदा में 62000 रुपये पर सपोर्ट और 64000 रुपये पर प्रतिरोध है।
India’s coal power giant NTPC is planning to take its first stride towards green energy as many entities are looking forward to such steps in order to reduce coal usage.
According to its new plan, NTPC is planning to float its shares through SME-IPO in three units and expects to raise approximately $ 150 billion through it. In this way, the company plans to fundraise through an initial public offering in three units including renewable energy, electric power corporation and Vidyut Vyapar Nigam.
Furthermore, NTPC plans to sell shares in NTPC renewable energy within a year. In addition to this, the company is planning to sell its shares in Northern Eastern Electric Power Corp and NTPC Vidyut Vyapar Nigam.
As per the sources, the coal power giant is seeking to sell its stakes in NTPC-SAIL Power Co, a joint venture of Steel Authority of India for supplying electricity to the steel maker’s mills and townships.
NTPC, India’s largest electricity production company is now looking towards green energy usage so as to reduce the use of coal which has a heavy impact on the environment and human health.
Rising climate change is a major concern nowadays and that’s why the NTPC has decided to minimize the use of coal by restricting the funding of fossil fuel projects which play a major role in pollution.
India’s business tycoon Mukesh Ambani, Gautam Adani, Sajjan Jindan have acknowledged these major loopholes and hence they have decided to break the paradigm and announced plans for a huge expansion in green energy.
NTPC has won bids for 2,765 megawatts of renewable projects in the current fiscal year, which is 77% more than the current fiscal year.
As of now, the company generates 90% electricity only through coal, however, with the rising awareness of going green, the company has planned to work in this sector too. The company would help build 60 gigawatts of renewable energy projects by 2032, which is almost double the current plan.
Let’s take a sneak peek into NTPC’s three units which are all set for divestment via public offer.
In October 2020, NTPC had incorporated NTPC Renewable energy by taking numerous steps to make its energy portfolio greener by adding significant capacities of renewable energy sources.
By launching its IPO in the renewable energy sector, NTPC could unlock the market performance of other energy renewable companies which have much lower capacity addition targets.
Now, the company’s main objective is to attain 60,000 MW of green capacity by 2032, which is only 1400 MW in the current fiscal year.
Apart from solar and wind power projects, NTPC’s core yet the future objective is to invest in green hydrogen and green methanol that are manufactured with the help of renewable energy.
NVVN was founded by NTPC in the year 2002 to tap the potential of power trading in the country. Now, NVVN is planning a project that will procure green, agro-based fuel for blending at thermal units.
Recently, NVVN filed a tender to procure 20 m tonnes of bio pellets made from farm stubble.
According to the senior executives of NTPC, NVVN is being redesigned in order to become the energy transition company for NTPC.
It will take up projects that can add to NTPC’s ESG (environmental, social and governance targets). After going public, NVVN would be a sole example of technology for the energy transition in the country.
NEEPCO is under the ownership of National Thermal Power Corporation Limited. It was formed on 2 April 1976, to plan, investigate, design, construct and maintain a power station in the North Eastern Region of India.
As per the sources, NTPC has acquired a 100 per cent equity stake in NEEPCO. It operates seven hydropower stations (1,525), three gas-based (527 MW), and one (5 MW) solar power station, including a 600 MW Kameng hydro project.
Recently, the union power ministry has advised NEEPCO to reduce its manpower strength and diversify its operation into renewable energy and expand it across the country.
Keeping this in mind, NEEPCO has signed an MOU (memorandum of understanding) with all state’s of the Indian Renewable Energy Development Agency for construction and acquiring new renewable projects.
The government’s monetization plan covers various things such as it garner Rs 700 bn through the sale of assets of state-owned companies which includes NTPC, Rural Electrification Corporation and Power Grid.
Government think tank Niti Aayog has identified assets worth Rs 398.3 billion for monetization at the end of 2025.
Here is a stock chart of 1 year of NTPC:
NTPC, also known as National Thermal Power Corporation Limited is an Indian statutory corporation, which is incorporated under the companies act 1956 and is under the jurisdiction of the ministry of power, the government of India.
The company is headquartered in Delhi. NTPC’s main operation is the generation and sale of electricity to state-owned power distribution companies in India.
The company is also involved in consultancy and project contracts including project management, construction management, operation and management of power plants. As of now, the NTPC is considered the largest power generating company in India with a generating capacity of 62,086 megawatts MW.
NTPC i.e. the generator company could sell a part of its shares in NTPC Renewable energy. Also, the company is ready to float its shares in North Eastern Electric Power Corp, the hydropower unit and NTPC Vidyut Vyapam Nigam limited. Furthermore, the company also plans to sell NTPC SAIL Power Co.
This fiscal year, the company has managed to bet upon renewable projects of approx 2,765 megawatts.
It operates 90% of its production capacity on coal. However, it plans for a record expansion for green energy.
Soon NTPC will come up with its new plans regarding development and IPO.
As the Indian stock market experienced a great surge after witnessing a correction in the last week, stock market research company Swastika suggested some of the greatest stock picks that investors should be looking forward to.
According to research analysts, these stocks are likely to give outstanding returns to the investors as they feel the stocks perform well during the festive season due to the high demand for their products this time.
Hindustan Unilever Limited is a well-known consumer goods company that is headquartered in Mumbai. The company is a subsidiary of Unilever. Since it’s a consumer goods company, its products include food, beverages, personal care products, cleaning agents, water purifiers and other consumer goods.
Some of the famous brands of HUL are Lux, Lifebuoy, Pears, Dove, Lakme, Lyril, Comfort, Surf excel, Clinic Plus, Glow and Lovely, Vaseline, Pepsodent and many tea brands such as Taj Mahal, Brooke Bond, Lipton etc.
Analysts believe that the HUL gives better stock trading returns in the festive season due to the high demand for its products. Also, the company gave steady returns during the pandemic which means that the company always remains ahead of the competition.
Hero MotoCorp is a multinational motorcycle and scooter manufacturer company, primarily known for manufacturing two-wheelers around the world. Headquartered in Delhi, Hero MotoCorp holds a market share of 37.1% in the two-wheeler industry.
It has been seen that the stocks of Hero MotoCorp have grown up to nearly 20 per cent from the previous close of Rs 2847.35.
According to the stock market research analysts, the company has managed to maintain its dominance in the 2 Wheeler segment as it holds a strong foot in the entry-level motorcycle segments.
Other factors such as Hero’s partnership with Ather Energy, Harley Davidson and its strong recovery in FY22 from the pandemic makes it a good company to invest in.
SBI Cards and Payment Services is a payment solution provider company in India.
Launched in October 1988, the SBI card was launched by SBI and GE Capital. SBI card offers numerous payment modes such as NEFT, Paynet-pay-online, Visa Credit Card Pay, Pay via UPI, Pay via Mobile App, Pay via Yono etc.
Analysts believe that SBI cards may give a whopping return of 15% up to Rs 1,210 from the previous close of Rs 1,046.20. Stocks of SBI cards have regained their momentum because online shopping and spending continue to resume post-pandemic.
They further noted that the company gave a positive trend on the asset quality front and strong moats that will support long term growth which in turn help market share gains.
Relaxo Footwear Limited is India’s largest multinational footwear company. Headquartered in Delhi, the company is termed as one of the largest footwear manufacturers in India in terms of volume, revenue with a market share of 5%.
Relaxo holds a strong portfolio of footwear products and expansion which makes it achieve a good revenue and earnings CAGR of 19% and 22% over FY21-FY24E.
Other factors such as strong operating cash flows, efficient working capital, good EBITDA margins and healthy asset turns makes Relaxo a profitable stock that should be in everyone’s portfolio.
Aditya Birla Fashion and Retail is an Indian fashion retail company that has a network of 3000+ stores with a presence of 2500+ multi-brand outlets across India.
As per the research analysts, innerwear and other fashion ventures like western and ethnic wear are likely to provide outstanding profits to ABFR company especially during this festive season.
Also, the company noted that several lifestyle brands such as Louis Philippe, Peter England, Allen Solly lead in men's casual and formal wear will yield healthy share market trading returns in the upcoming years.
As the festive season has started, traveling often remains to be the main clause. As a result, Safari Industries stock price is all set to jump over 8% from the last close of Rs 851 apiece.
Although the company’s earnings have been reduced for the past 2 years as traveling and people movement continue to be restricted for indefinite periods, festive trips, marriage season will support growth in H2FY22.
LIC Housing Finance Limited is considered one of the largest housing finance loan companies in India. LIC HFL, which is a subsidiary of LIC, provides home loans at lower interest rates.
As the real estate cycle needs to be improved, shares of LIC will soon take a boom.
Also, the company is all set to launch its SME-IPO at the end of the year, which in turn makes its stock price higher than before.
PI Industries Limited is a fast-growing Agri sciences company with a unique business model from the agChem value chain from R&D.
Innovation and strong execution track records make PI industries, one of the successful companies in the field of agriculture and others.
The company was founded in 1947 as Mewar Oil and General Mills Limited.
In 1993, the company was further renamed as PI Industries to reflect its new diversified businesses such as Agri inputs, Fine Chemicals, (CRAMS) Contract Research and Manufacturing Services, polymers and engineering services.
It has one of the highest R&D spends at 3.5% of sales while focusing keenly on innovations.
PI Industries is diversified into many verticals. Growth momentum is likely to come from other things such as the pharma foray through the acquisition of Ind-Swift laboratories and other opportunities in new verticals.
This festive season, build your wealth by investing in potential stocks. The stocks we mentioned above are not only for short term profit. Instead, they have the potential to generate extraordinary stock market trading returns in the long run also.
सोने के भाव के लिए पिछले सप्ताह राहत भरा रहा और कीमतों मे निचले स्तरों से 1100 रुपये प्रति दस ग्राम तक का सुधार देखा गया। अमेरिकी कांग्रेस के समक्ष हुए भाषण में फ़ेडरल बैंक प्रमुख जेरोम पॉवेल के मुताबिक मुद्रास्फीति साल 2022 तक रहेगी और रोज़गार बाजार में आगे सुधार की आवश्यकता होगी।
अमेरिकी ट्रेज़री सेक्रेटरी जेनेट येलेन ने ऋण सीमा (डेब्ट सीलिंग) पर चेताया की अमेरिकी ट्रेज़री 18 अक्टूबर तक संभवतः नगदी रहित हो जायेगा। जिसके बाद संसाधन सिमित रहेंगे और प्रतिबद्धता को पूरा करने में समस्या रहेंगी। और येलेन के मुताबिक अमेरिका इतिहास में पहली बार कर्ज भुकतान मे डिफ़ॉल्ट कर सकता है।
रिपब्लिकन ने विधेयक पारित करने से इनकार कर दिया है जो सरकार को एक बार फिर ऋण सीमा को निलंबित करने की अनुमति देगा। ऋण सीमा उस राशि की सीमा है जो अमेरिकी सरकार अपने ऋणों का भुगतान करने के लिए उधार ले सकती है। जिससे सोने के भाव में पिछले सप्ताह बढ़ोतरी देखि गई। उधर, चीन में रियल एस्टेट कंपनी एवरग्रांड का भी कर्ज संकट गहरा रहा है।
जिसके कारण वैश्विक बाजार दबाव में है और डिफ़ॉल्ट होने की सम्भावना बढ़ी है। लेकिन अर्थव्यवस्था में कर्ज बढ़ने पर सोने में सेफ हेवन मांग सपोर्ट कर सकती है। नियामक ने भारत में सोने के हाजिर कारोबार और सिल्वर ईटीएफ को भी मंजूरी दी है। गोल्ड एक्सचेंज में इलेक्ट्रॉनिक गोल्ड रिसीप्ट के माध्यम से हाजिर सोने में कारोबार होगा। गोल्ड एक्सचेंज और सिल्वर ईटीएफ कीमती धातुओं के कारोबार को बढ़ाने और कीमतों में समानता और पारदर्शिता रहेगी।
इस सप्ताह, कच्चे तेल के बढ़ते हुए भाव के बीच ओपेक की बैठक, अमेरिकी पैरोल के आंकड़े और चीन में बढ़ते कर्ज संकट के बीच साप्ताहिक अवकाश, कीमती धातुओं के भाव को निचले स्तरों से सपोर्ट कर सकते है। दिसंबर वायदा सोने में 45700 रुपये पर सपोर्ट है और 46800 रुपये पर प्रतिरोध है। चांदी में 58000 रुपये पर सपोर्ट और 61000 रुपये पर प्रतिरोध है।
Trust Our Expert Picks
for Your Investments!
.webp)
.png)
.png)
