Saturday, August 22, 2009
What is considered a genius IQ score?
When you talk about IQ tests you need to understand how they are measured. You need to understand a few words here.Mean = average.Bell curve = a line drawn on a graph that looks similar to a bell.Standard deviation = a distance that is measured away from the mean or average.Let me explain.The average score of an IQ test is usually 100. That is the mean.For many tests, the standard deviation is 15. Others have different standard deviations.This information now explains a few things.You move 1 standard deviation in each direction from 100. So you go 100-15=85 and you go 100+15=115.This gives you a range of 85 to 115. In a bell curve this means that 68% of all people score between 85 and 115 on the IQ. Half of that is 34%. So 100 to 115 is 34% of people.I am probably losing you a bit now.Basically you go 4 standard deviations in each direction.1 deviation is 68% of all scores. From 85 to 115.2 deviations are 95% of all scores. From 70 to 130.3 deviations are 99.7% of all scores. From 55 to 145.4 deviations are 99.99% of all scores. From 40 to 160.Most groups would consider that an IQ of 160 and above is at a genius level. That equates to 1 out of 10,000 people.There are different tests and different scores to reach but the majority of the information I have written here applies.By the way, an average IQ and a great work ethic and dedication to succeed will secure you success in life.
Wednesday, August 19, 2009
Indians earn 20 times less than developed world peers
Indians might be known for their hard work but when it comes to their wages, they are paid nearly 20 times less than their counterparts in developed nations like the US and Switzerland. According to 'Prices and Earnings' study by Swiss banking major UBS, workers in New Delhi and Mumbai earn an average net salary of $1.6 and $1.2 per hour, respectively. In contrast, Swiss cities -- Zurich and Geneva -- have topped the charts with the highest average net incomes in the world of as much as $22.60 and $20.40 per hour. "Swiss workers earn the most. Zurich and Geneva top the rankings in our international comparison of wages. By contrast, the average employee in Delhi, Manila, Jakarta and Mumbai earns less than one-fifteenth of that amount," the report stated. Workers in the US also earn at the higher end of bracket with people in New York earning an average salary of $19 per hour, while those in Los Angeles get $13.90 per hour. Workers in London receive an average net wage of $13.90 per hour, it added. In terms of the gross hourly wages, workers in Western Europe and North America have the highest gross hourly wages averaging at $20.2 and $21.0 respectively, the survey said. While, in Asia and Eastern Europe, workers receive an average of $5.5 per hour before taxes and social security contributions are deducted from the salary.
Courtesy: ET
Thursday, August 13, 2009
Remedies to avoid swine flu
1.Have five duly washed leaves of Tulsi (known as Basil in English; medicinal name Ocimum sanctum) everyday in the morning. Tulsi has a large number of therapeutic properties. It keeps throat and lungs clear and helps in infections by way of strengthening your immunity.
2. Giloi (medicinal name Tinospora cordifolia) is a commonly available plant in many areas. Take a one-foot long branch of giloi, add five to six leaves of Tulsi and boil in water for 15-20 minutes or long enough to allow the water to extract its properties. Add black pepper and sendha (salt used during religious fasts), rock or black salt, or Misri (crystalised sugar like lumps to make it sweet) according to taste. Let it cool a bit and drink this kadha (concoction) while still warm. It will work wonders for your immunity. If giloi plant is not available, get processed giloi powder from Hamdard or others, and concoct a similar drink once a day.
3. A small piece of camphor (kapoor) approximately the size of a tablet should be taken once or twice a month. It can be swallowed with water by adults while children can take it along with mashed potatoes or banana because they will find it difficult to have it without any aides. Please remember camphor is not to be taken everyday, but only once each season, or once a month.
4. Those who can take garlic, must have two pods of raw garlic first thing in the morning. To be swallowed daily with lukewarm water. Garlic too strengthens immunity like the earlier measures mentioned.
5. Those not allergic to milk, must take a glass of hot or lukewarm milk every night with a small measure of haldi (turmeric).
6. Aloe vera (gwarpatha) too is a commonly available plant. Its thick and long, cactus-like leaves have an odourless gel. A teaspoon gel taken with water daily can work wonders for not only your skin and joint pains, but also boost immunity.
7. Take homeopathic medicines - Pyrogenium 200 and Inflenzium 200 in particular - five tablets three times a day, or two-three drops three times a day. While these are not specifically targeted at H1N1 either, these work well as preventive against common flu virus.
8. Do Pranayam daily (preferably under guidance if you are already not initiated into it) and go for morning jog/walk regularly to keep your throat and lungs in good condition and body in fine fettle. Even in small measures, it will work wonders for your body’s resistance against all such diseases which attack the nose, throat and lungs, besides keeping you fit.
9. Have citrus fruits, particularly Vitamin C rich Amla (Indian gooseberry) juice. Since fresh Amla is not yet available in the market (not for another three to four months), it is not a bad idea to buy packaged Amla juice which is commonly available nowadays. 10. Last but not the least, wash your hands frequently every day with soap and warm water for 15-20 seconds; especially before meals, or each time after touching a surface that you suspect could be contaminated with flu virus such as a door handle or a knob/handle, especially if you have returned from a public place or used public transport.Alcohol-based hand cleaners should be kept handy at all times and used until you can get soap and warm water.
2. Giloi (medicinal name Tinospora cordifolia) is a commonly available plant in many areas. Take a one-foot long branch of giloi, add five to six leaves of Tulsi and boil in water for 15-20 minutes or long enough to allow the water to extract its properties. Add black pepper and sendha (salt used during religious fasts), rock or black salt, or Misri (crystalised sugar like lumps to make it sweet) according to taste. Let it cool a bit and drink this kadha (concoction) while still warm. It will work wonders for your immunity. If giloi plant is not available, get processed giloi powder from Hamdard or others, and concoct a similar drink once a day.
3. A small piece of camphor (kapoor) approximately the size of a tablet should be taken once or twice a month. It can be swallowed with water by adults while children can take it along with mashed potatoes or banana because they will find it difficult to have it without any aides. Please remember camphor is not to be taken everyday, but only once each season, or once a month.
4. Those who can take garlic, must have two pods of raw garlic first thing in the morning. To be swallowed daily with lukewarm water. Garlic too strengthens immunity like the earlier measures mentioned.
5. Those not allergic to milk, must take a glass of hot or lukewarm milk every night with a small measure of haldi (turmeric).
6. Aloe vera (gwarpatha) too is a commonly available plant. Its thick and long, cactus-like leaves have an odourless gel. A teaspoon gel taken with water daily can work wonders for not only your skin and joint pains, but also boost immunity.
7. Take homeopathic medicines - Pyrogenium 200 and Inflenzium 200 in particular - five tablets three times a day, or two-three drops three times a day. While these are not specifically targeted at H1N1 either, these work well as preventive against common flu virus.
8. Do Pranayam daily (preferably under guidance if you are already not initiated into it) and go for morning jog/walk regularly to keep your throat and lungs in good condition and body in fine fettle. Even in small measures, it will work wonders for your body’s resistance against all such diseases which attack the nose, throat and lungs, besides keeping you fit.
9. Have citrus fruits, particularly Vitamin C rich Amla (Indian gooseberry) juice. Since fresh Amla is not yet available in the market (not for another three to four months), it is not a bad idea to buy packaged Amla juice which is commonly available nowadays. 10. Last but not the least, wash your hands frequently every day with soap and warm water for 15-20 seconds; especially before meals, or each time after touching a surface that you suspect could be contaminated with flu virus such as a door handle or a knob/handle, especially if you have returned from a public place or used public transport.Alcohol-based hand cleaners should be kept handy at all times and used until you can get soap and warm water.
SWINE FLU FACT
What are the symptoms?
Swine flu symptoms are similar to the symptoms of regular flu and include fever of over 100.4°F, fatigue, lack of appetite, and cold. Some people with swine flu have also reported runny nose, sore throat, nausea, vomiting and diarrhoea. Nearly everyone with flu has at least two of these symptoms.So, how do you know if you have flu or just cold? There is one clue: when you have the flu, you feel flu symptoms sooner than you would cold symptoms, and they come on with much greater intensity. With the flu, you may feel very weak and fatigued for up to 2 or 3 weeks. You'll have muscle aches and periods of chills and sweats as fever comes and goes. You may also have a stuffy or runny nose, headache, and sore throat. Can I compare flu symptoms with cold symptoms? Yes. The following chart can help you compare flu symptoms with cold symptoms. Use it to lean the differences and similarities between flu and cold symptoms. Then, if you get flu symptoms, call your doctor and ask about an antiviral drug.
You cannot confirm if you have swine flu just based on your symptoms. Like seasonal flu, pandemic swine flu can cause neurologic symptoms in children. These events are rare, but, as cases associated with seasonal flu have shown, they can be very severe and often fatal.Doctors may offer a rapid flu test, but what you need to understand is a negative result doesn't necessarily mean you don't have the flu. Only lab tests can definitively show whether you've got swine flu. State health departments can do these tests.
What should you do immediately?
Those of you who have travelled from the affected countries in the past ten days and show symptoms swine flu like fever, cough, sore throat and difficulty in breathing should immediately contact the telephone number given below or visit the nearby Government Hospital.
What should you do immediately?
Those of you who have travelled from the affected countries in the past ten days and show symptoms swine flu like fever, cough, sore throat and difficulty in breathing should immediately contact the telephone number given below or visit the nearby Government Hospital.
google_protectAndRun("ads_core.google_render_ad", google_handleError, google_render_ad);
Who is at risk?
Those who are more at risk from becoming seriously ill with swine flu are people with:
chronic (long-term) lung disease, including people who have had drug treatment for their asthma within the past three years,
chronic heart disease,
chronic kidney disease,
chronic liver disease,
chronic neurological disease (neurological disorders include motor neurone disease, Parkinson's disease and multiple sclerosis),
suppressed immune systems (whether caused by disease or treatment),
diabetes,
pregnant women,
people aged 65 or older, and
young children under five.
What should you do immediately?
Those of you who have travelled from the affected countries in the past ten days and show symptoms swine flu like fever, cough, sore throat and difficulty in breathing should immediately contact the telephone number given below or visit the nearby Government Hospital.
google_protectAndRun("ads_core.google_render_ad", google_handleError, google_render_ad);
Who is at risk?
Those who are more at risk from becoming seriously ill with swine flu are people with:
chronic (long-term) lung disease, including people who have had drug treatment for their asthma within the past three years,
chronic heart disease,
chronic kidney disease,
chronic liver disease,
chronic neurological disease (neurological disorders include motor neurone disease, Parkinson's disease and multiple sclerosis),
suppressed immune systems (whether caused by disease or treatment),
diabetes,
pregnant women,
people aged 65 or older, and
young children under five.
How does it spread?
The new swine flu virus is highly contagious, that is it spreads from person to person. The virus is spread through the droplets that come out of the nose or mouth when someone coughs or sneezes. If someone coughs or sneezes and they do not cover it, those droplets can spread about one metre (3ft). If you are very nearby you might breathe them in.Or, if someone coughs or sneezes into their hand, those droplets and the virus within them are easily transferred to surfaces that the person touches, such as door handles, hand rails, telephones and keyboards. If you touch these surfaces and touch your face, the virus can enter your system, and you can become infected.
Can it be prevented?
Influenza antiviral drugs also can be used to prevent influenza when they are given to a person who is not ill, but who has been or may be near a person with swine influenza. When used to prevent the flu, antiviral drugs are about 70% to 90% effective. When used for prevention, the number of days that they should be used will vary depending on a person’s particular situation.Follow this general procedure to reduce the risk of catching or spreading the virus, you should:
Cover your mouth and nose when coughing and sneezing, using a tissue
Throw the tissue away quickly and carefully
Wash your hands regularly with soap and water
Clean hard surfaces (like door handles and remote controls) frequently with a normal cleaning product
Keep away from others as much as possible. This is to keep from making others sick. Do not go to work or school while ill
Stay home for at least 24 hours after fever is gone, except to seek medical care or for other necessities. (Fever should be gone without the use of a fever-reducing medicine.)
Drink clear fluids (such as water, broth, sports drinks, electrolyte beverages for infants) to keep from being dehydrated
Wear a facemask – if available and tolerable – when sharing common spaces with other household members to help prevent spreading the virus to others.
Will it help to wear a mask?
Information on the effectiveness of facemasks and respirators for decreasing the risk of influenza infection in community settings is extremely limited. So, it is difficult to assess their potential effectiveness in decreasing the risk of Swine Flu virus transmission in these settings. However, a well-fitted, FDA-approved mask together with other preventive measures MAY reduce the risk of contracting the flu. Those who are sick or caring for someone who is ill should consider using a mask or respirator if leaving the house becomes necessary.
What precautions should one take at home?
Two things - soap and water can reduce the chance of infection by 30 per cent. All you need to do is keep washing your hand with soap and water frequently. Wash hands frequently with soap and water or use alcohol-based hand cleaner when soap and water are not available. Avoid touching your eyes, nose and mouthEat healthy: Proteins are essential to help your body maintain and build strength. Lean meat, poultry, fish, legumes, dairy, eggs, and nuts and seeds are good sources of protein.The Food and Drug Administration recommends that adults eat 50 grams of protein per day. Pregnant and nursing women need more. By eating foods high in protein, we also get the benefit of other healing nutrients such as vitamins B6 and B12, both of which contribute to a healthy immune system.Vitamin B6 is widely available in foods, including protein foods such as turkey and beans as well as potatoes, spinach, and enriched cereal grains. Proteins such as meats, milk, and fish also contain vitamin B12, a powerful immune booster.Minerals such as selenium and zinc work to keep the immune system strong. These minerals are found in protein rich foods such as beans, nuts, meat, and poultry.Exercise: Regular exercise may help prevent the flu. According to recent findings, when moderate exercise is repeated on a near daily basis, there is a cumulative immune-enhancing effect. That is, your strong immune system can fight flu better. When you exercise, your white blood cells -- the blood cells that fight infections in the body -- travel through your body more quickly, fighting bacteria and viruses (such as flu) more efficiently. To maintain good health, experts recommend at least 30 minutes of aerobic activity such as walking, swimming, biking, or running each day.
What precautions should one take at schools?
Avoid close contact with people who are sick
People who are sick with an influenza-like illness should stay home and keep away from others as much as possible, including avoiding travel, for at least 24 hours after fever is gone except to get medical care or for other necessities. (Fever should be gone without the use of fever-reducing medicine). Cover your mouth and nose with a tissue when coughing or sneezing.
Wash your hands often.
Avoid touching your eyes, nose or mouth.
Is it safe to travel?
Avoid traveling unnecessarily. However, if you must travel, check how the country you're going to handles swine flu. Although, the WHO doesn't recommend travel restrictions, many countries have set up their own H1N1 policies, and some travelers have been screened or quarantined in other countries because of swine flu concerns.
Swine flu symptoms are similar to the symptoms of regular flu and include fever of over 100.4°F, fatigue, lack of appetite, and cold. Some people with swine flu have also reported runny nose, sore throat, nausea, vomiting and diarrhoea. Nearly everyone with flu has at least two of these symptoms.So, how do you know if you have flu or just cold? There is one clue: when you have the flu, you feel flu symptoms sooner than you would cold symptoms, and they come on with much greater intensity. With the flu, you may feel very weak and fatigued for up to 2 or 3 weeks. You'll have muscle aches and periods of chills and sweats as fever comes and goes. You may also have a stuffy or runny nose, headache, and sore throat. Can I compare flu symptoms with cold symptoms? Yes. The following chart can help you compare flu symptoms with cold symptoms. Use it to lean the differences and similarities between flu and cold symptoms. Then, if you get flu symptoms, call your doctor and ask about an antiviral drug.
You cannot confirm if you have swine flu just based on your symptoms. Like seasonal flu, pandemic swine flu can cause neurologic symptoms in children. These events are rare, but, as cases associated with seasonal flu have shown, they can be very severe and often fatal.Doctors may offer a rapid flu test, but what you need to understand is a negative result doesn't necessarily mean you don't have the flu. Only lab tests can definitively show whether you've got swine flu. State health departments can do these tests.
What should you do immediately?
Those of you who have travelled from the affected countries in the past ten days and show symptoms swine flu like fever, cough, sore throat and difficulty in breathing should immediately contact the telephone number given below or visit the nearby Government Hospital.
What should you do immediately?
Those of you who have travelled from the affected countries in the past ten days and show symptoms swine flu like fever, cough, sore throat and difficulty in breathing should immediately contact the telephone number given below or visit the nearby Government Hospital.
google_protectAndRun("ads_core.google_render_ad", google_handleError, google_render_ad);
Who is at risk?
Those who are more at risk from becoming seriously ill with swine flu are people with:
chronic (long-term) lung disease, including people who have had drug treatment for their asthma within the past three years,
chronic heart disease,
chronic kidney disease,
chronic liver disease,
chronic neurological disease (neurological disorders include motor neurone disease, Parkinson's disease and multiple sclerosis),
suppressed immune systems (whether caused by disease or treatment),
diabetes,
pregnant women,
people aged 65 or older, and
young children under five.
What should you do immediately?
Those of you who have travelled from the affected countries in the past ten days and show symptoms swine flu like fever, cough, sore throat and difficulty in breathing should immediately contact the telephone number given below or visit the nearby Government Hospital.
google_protectAndRun("ads_core.google_render_ad", google_handleError, google_render_ad);
Who is at risk?
Those who are more at risk from becoming seriously ill with swine flu are people with:
chronic (long-term) lung disease, including people who have had drug treatment for their asthma within the past three years,
chronic heart disease,
chronic kidney disease,
chronic liver disease,
chronic neurological disease (neurological disorders include motor neurone disease, Parkinson's disease and multiple sclerosis),
suppressed immune systems (whether caused by disease or treatment),
diabetes,
pregnant women,
people aged 65 or older, and
young children under five.
How does it spread?
The new swine flu virus is highly contagious, that is it spreads from person to person. The virus is spread through the droplets that come out of the nose or mouth when someone coughs or sneezes. If someone coughs or sneezes and they do not cover it, those droplets can spread about one metre (3ft). If you are very nearby you might breathe them in.Or, if someone coughs or sneezes into their hand, those droplets and the virus within them are easily transferred to surfaces that the person touches, such as door handles, hand rails, telephones and keyboards. If you touch these surfaces and touch your face, the virus can enter your system, and you can become infected.
Can it be prevented?
Influenza antiviral drugs also can be used to prevent influenza when they are given to a person who is not ill, but who has been or may be near a person with swine influenza. When used to prevent the flu, antiviral drugs are about 70% to 90% effective. When used for prevention, the number of days that they should be used will vary depending on a person’s particular situation.Follow this general procedure to reduce the risk of catching or spreading the virus, you should:
Cover your mouth and nose when coughing and sneezing, using a tissue
Throw the tissue away quickly and carefully
Wash your hands regularly with soap and water
Clean hard surfaces (like door handles and remote controls) frequently with a normal cleaning product
Keep away from others as much as possible. This is to keep from making others sick. Do not go to work or school while ill
Stay home for at least 24 hours after fever is gone, except to seek medical care or for other necessities. (Fever should be gone without the use of a fever-reducing medicine.)
Drink clear fluids (such as water, broth, sports drinks, electrolyte beverages for infants) to keep from being dehydrated
Wear a facemask – if available and tolerable – when sharing common spaces with other household members to help prevent spreading the virus to others.
Will it help to wear a mask?
Information on the effectiveness of facemasks and respirators for decreasing the risk of influenza infection in community settings is extremely limited. So, it is difficult to assess their potential effectiveness in decreasing the risk of Swine Flu virus transmission in these settings. However, a well-fitted, FDA-approved mask together with other preventive measures MAY reduce the risk of contracting the flu. Those who are sick or caring for someone who is ill should consider using a mask or respirator if leaving the house becomes necessary.
What precautions should one take at home?
Two things - soap and water can reduce the chance of infection by 30 per cent. All you need to do is keep washing your hand with soap and water frequently. Wash hands frequently with soap and water or use alcohol-based hand cleaner when soap and water are not available. Avoid touching your eyes, nose and mouthEat healthy: Proteins are essential to help your body maintain and build strength. Lean meat, poultry, fish, legumes, dairy, eggs, and nuts and seeds are good sources of protein.The Food and Drug Administration recommends that adults eat 50 grams of protein per day. Pregnant and nursing women need more. By eating foods high in protein, we also get the benefit of other healing nutrients such as vitamins B6 and B12, both of which contribute to a healthy immune system.Vitamin B6 is widely available in foods, including protein foods such as turkey and beans as well as potatoes, spinach, and enriched cereal grains. Proteins such as meats, milk, and fish also contain vitamin B12, a powerful immune booster.Minerals such as selenium and zinc work to keep the immune system strong. These minerals are found in protein rich foods such as beans, nuts, meat, and poultry.Exercise: Regular exercise may help prevent the flu. According to recent findings, when moderate exercise is repeated on a near daily basis, there is a cumulative immune-enhancing effect. That is, your strong immune system can fight flu better. When you exercise, your white blood cells -- the blood cells that fight infections in the body -- travel through your body more quickly, fighting bacteria and viruses (such as flu) more efficiently. To maintain good health, experts recommend at least 30 minutes of aerobic activity such as walking, swimming, biking, or running each day.
What precautions should one take at schools?
Avoid close contact with people who are sick
People who are sick with an influenza-like illness should stay home and keep away from others as much as possible, including avoiding travel, for at least 24 hours after fever is gone except to get medical care or for other necessities. (Fever should be gone without the use of fever-reducing medicine). Cover your mouth and nose with a tissue when coughing or sneezing.
Wash your hands often.
Avoid touching your eyes, nose or mouth.
Is it safe to travel?
Avoid traveling unnecessarily. However, if you must travel, check how the country you're going to handles swine flu. Although, the WHO doesn't recommend travel restrictions, many countries have set up their own H1N1 policies, and some travelers have been screened or quarantined in other countries because of swine flu concerns.
Friday, August 7, 2009
My Guru -Mr. Rakesh Jhunjhunwala: The Great Investment Philosopher in my life
My principles of life and future path could be different if I couldn't come across Mr. Rakesh Jhunjhunwala.One memorable evening I was engaged in deep chatting with my dearest friend Nikhil and he told me about Mr. Jhunjhunwala.I was so impressed after listening the full story of Mr.Jhunjhunwala.I decided to join Praj Industries Ltd (my previous company) and one day I came across my philosopher. Everything in my life has been changed drastically. I never ever had a thought to go with investment thesis. First time I am feeling happy and proudly to elaborate some of thoughts of my "guru”. I had different mentality and wrong impression about stock exchange and investment policies. I started to do stock market analysis in the year of 2002 and I put my strong foot print on investment world in the year of 2005.
I would be happy if I define stock market investment in terms of "intelligent investment".
Mr. Rakesh Jhunjhunwala is a famous Indian trader who is often referred as “Indian Warren Buffett”. He believed in the “India story” made a good fortune from it. He is not only a trader but also a successful investor. He spotted opportunities in good companies like Praj Industries, Pantaloon Retail, Titan, CRISIL, Lupin and Punj Lloyd.etc when no one was interested in them.
Rakesh Jhunjhunwala (RJ) stated investing career in 1983 and used to put in 15-16 working hours in his early days. His company name is “Rare Enterprises”. He was ranked at 1,062 in the Forbes Billionaire list. Like Warren Buffett, he was fond of stocks from his childhood days. He was nicknamed as “Young Tiger” in the early 90’s (Harshad Mehta days).
Profession: Chartered Accountant.
Passion: Stock Markets.
Biggest award: One of India's best five investors by Business India magazine in 1998.
His wealth: Around Rs 5,000 crore. He started his investing career with Rs 5,000.
His assets: Passion and confidence.
Success secrets:
1. He rarely invests in index stocks. He is an expert in picking value stocks when no one is noticed them. He invested in stocks like BEML and other PSU Stocks when everyone looked at technology stocks in early 2000.
2. Confine your portfolio to 15-20 stocks. Invest for long term to get good returns.
3. Stay away from cyclical stocks.
4. To get exceptional returns, you need to take risks.
5. He generally stays away from commodity stocks and index stocks. But he recently bought some steel stocks.
6. Like Jack Welch of GE, he believes in extensive reading and learning.
Famous quotes:
1. Markets are like women -- always commanding, mysterious, unpredictable and volatile.
2. Anticipate trend and benefit from it. Traders should go against human nature.
3. Don’t insult the great man (Warren Buffett) by comparing me to him.
4. Successful investors are opportunistic and optimistic ones.
5. Growth comes out of chaos.
6. Market is above individuals. The market is rational. An individual can never be smarter than the market
7. Maximize profits and minimize losses.
8. Invest in a business not a company.
9. Emotional investment is a sure way to make loss in stock markets.
10. I don’t advice anybody. I don’t manage anybody’s money.
15 Stock investment tips from Rakesh Jhunjhunwala:
1. Always go against tide. Buy when others are selling and sell when others are buying.
2. If you believe in the growth prospects of a company, invest in the stock and give it sufficient time.
3. Be an optimist. Pessimistic investors always lose money in stock markets.
4. Greedy investors will never make money in stock markets. Book profits after reaching your target price.
5. Never put your hard earned money without proper research. Never invest according to “Stock tips”.
6. You have to lose many a battle to win the war. This Winston Churchill quote is always quoted by Jhunjhunwala. Balance fear and greed.
7. Never react and change your investment decisions according to daily business news. Panic selling is a bad habit.
8. Hastily taken decisions always result in heavy losses. Take your own time before putting money in any stock.
9. Invest in companies which have strong management and competitive advantage. 10. Stock markets are always right. Never time the markets.
11. Opportunities will come and go. Are you prepared to grab them?
12. Never invest at unreasonable valuations. Never run for companies which are in limelight.
13. Passionate investors always make money in stock markets. You will never fail in any work if you do it with passion.
14. Means are important. Read and analyse the available information with an open mind and look for opportunities.
15. Prepare for losses. Losses are part and parcel of stock market investor life. Learn from mistakes. Learn to take a loss. Disciplined passionate investors like Rakesh Jhunjhunwala are always inspirational figures for young investors. One can make a good fortune in stock markets if you follow his investment ideas and principles.
I would be happy if I define stock market investment in terms of "intelligent investment".
Mr. Rakesh Jhunjhunwala is a famous Indian trader who is often referred as “Indian Warren Buffett”. He believed in the “India story” made a good fortune from it. He is not only a trader but also a successful investor. He spotted opportunities in good companies like Praj Industries, Pantaloon Retail, Titan, CRISIL, Lupin and Punj Lloyd.etc when no one was interested in them.
Rakesh Jhunjhunwala (RJ) stated investing career in 1983 and used to put in 15-16 working hours in his early days. His company name is “Rare Enterprises”. He was ranked at 1,062 in the Forbes Billionaire list. Like Warren Buffett, he was fond of stocks from his childhood days. He was nicknamed as “Young Tiger” in the early 90’s (Harshad Mehta days).
Profession: Chartered Accountant.
Passion: Stock Markets.
Biggest award: One of India's best five investors by Business India magazine in 1998.
His wealth: Around Rs 5,000 crore. He started his investing career with Rs 5,000.
His assets: Passion and confidence.
Success secrets:
1. He rarely invests in index stocks. He is an expert in picking value stocks when no one is noticed them. He invested in stocks like BEML and other PSU Stocks when everyone looked at technology stocks in early 2000.
2. Confine your portfolio to 15-20 stocks. Invest for long term to get good returns.
3. Stay away from cyclical stocks.
4. To get exceptional returns, you need to take risks.
5. He generally stays away from commodity stocks and index stocks. But he recently bought some steel stocks.
6. Like Jack Welch of GE, he believes in extensive reading and learning.
Famous quotes:
1. Markets are like women -- always commanding, mysterious, unpredictable and volatile.
2. Anticipate trend and benefit from it. Traders should go against human nature.
3. Don’t insult the great man (Warren Buffett) by comparing me to him.
4. Successful investors are opportunistic and optimistic ones.
5. Growth comes out of chaos.
6. Market is above individuals. The market is rational. An individual can never be smarter than the market
7. Maximize profits and minimize losses.
8. Invest in a business not a company.
9. Emotional investment is a sure way to make loss in stock markets.
10. I don’t advice anybody. I don’t manage anybody’s money.
15 Stock investment tips from Rakesh Jhunjhunwala:
1. Always go against tide. Buy when others are selling and sell when others are buying.
2. If you believe in the growth prospects of a company, invest in the stock and give it sufficient time.
3. Be an optimist. Pessimistic investors always lose money in stock markets.
4. Greedy investors will never make money in stock markets. Book profits after reaching your target price.
5. Never put your hard earned money without proper research. Never invest according to “Stock tips”.
6. You have to lose many a battle to win the war. This Winston Churchill quote is always quoted by Jhunjhunwala. Balance fear and greed.
7. Never react and change your investment decisions according to daily business news. Panic selling is a bad habit.
8. Hastily taken decisions always result in heavy losses. Take your own time before putting money in any stock.
9. Invest in companies which have strong management and competitive advantage. 10. Stock markets are always right. Never time the markets.
11. Opportunities will come and go. Are you prepared to grab them?
12. Never invest at unreasonable valuations. Never run for companies which are in limelight.
13. Passionate investors always make money in stock markets. You will never fail in any work if you do it with passion.
14. Means are important. Read and analyse the available information with an open mind and look for opportunities.
15. Prepare for losses. Losses are part and parcel of stock market investor life. Learn from mistakes. Learn to take a loss. Disciplined passionate investors like Rakesh Jhunjhunwala are always inspirational figures for young investors. One can make a good fortune in stock markets if you follow his investment ideas and principles.
Wednesday, August 5, 2009
QIP: Fundamentals
What is QIP?
Qualified institutional placement (QIP) is a capital raising tool, whereby a listed company can issue equity shares, fully and partly convertible debentures, or any securities other than warrants, which are convertible into equity shares, to a qualified institutional buyer (QIB). Apart from preferential allotment, this is the only other speedy method of private placement for companies to raise money. It scores over other methods, as it does not involve many of the common procedural requirements, such as the submission of pre-issue filings to the market regulator.
Why was QIP introduced?
To enable listed companies raise money from domestic markets in a short span of time, market regulator Sebi introduced the concept of QIP in 2006. This was also done to prevent listed companies in India from developing an excessive dependence on foreign capital. Prior to introduction of QIPs, the complications associated with raising capital in the domestic markets had led many companies to look at tapping overseas markets via foreign currency convertible bonds (FCCB) and global depository receipts (GDR). This has also helped issuing companies price their issues closer to the prevailing market price.
Who can participate in the issue?
The specified securities can be issued only to QIBs, who shall not be promoters or related to promoters of the issuer. The issue is managed by a Sebi-registered merchant banker. There is no pre-issue filing of the placement document with Sebi. The placement document is placed on the websites of the stock exchanges and the issuer, with appropriate disclaimer to the effect that the placement is meant only for QIBs on private placement basis and is not an offer to the public.
Why there is a sudden rush for QIPs?
Several companies, especially real estate, were starved of money in the recent slowdown and were finding it difficult to stay afloat. The revival in market sentiment came as a boon to these companies, which are rushing to raise money, mainly to retire expensive debt and restructure their balance sheets. In over a month, funds raised through QIPs by companies has already exceeded the total amount of roughly Rs 3,500 crore that was raised in 2008. A large number of such issues are expected to hit the market in the next few weeks.
Why there is a sudden rush for QIPs?
Several companies, especially real estate, were starved of money in the recent slowdown and were finding it difficult to stay afloat. The revival in market sentiment came as a boon to these companies, which are rushing to raise money, mainly to retire expensive debt and restructure their balance sheets. In over a month, funds raised through QIPs by companies has already exceeded the total amount of roughly Rs 3,500 crore that was raised in 2008. A large number of such issues are expected to hit the market in the next few weeks.
Qualified institutional placement (QIP) is a capital raising tool, whereby a listed company can issue equity shares, fully and partly convertible debentures, or any securities other than warrants, which are convertible into equity shares, to a qualified institutional buyer (QIB). Apart from preferential allotment, this is the only other speedy method of private placement for companies to raise money. It scores over other methods, as it does not involve many of the common procedural requirements, such as the submission of pre-issue filings to the market regulator.
Why was QIP introduced?
To enable listed companies raise money from domestic markets in a short span of time, market regulator Sebi introduced the concept of QIP in 2006. This was also done to prevent listed companies in India from developing an excessive dependence on foreign capital. Prior to introduction of QIPs, the complications associated with raising capital in the domestic markets had led many companies to look at tapping overseas markets via foreign currency convertible bonds (FCCB) and global depository receipts (GDR). This has also helped issuing companies price their issues closer to the prevailing market price.
Who can participate in the issue?
The specified securities can be issued only to QIBs, who shall not be promoters or related to promoters of the issuer. The issue is managed by a Sebi-registered merchant banker. There is no pre-issue filing of the placement document with Sebi. The placement document is placed on the websites of the stock exchanges and the issuer, with appropriate disclaimer to the effect that the placement is meant only for QIBs on private placement basis and is not an offer to the public.
Why there is a sudden rush for QIPs?
Several companies, especially real estate, were starved of money in the recent slowdown and were finding it difficult to stay afloat. The revival in market sentiment came as a boon to these companies, which are rushing to raise money, mainly to retire expensive debt and restructure their balance sheets. In over a month, funds raised through QIPs by companies has already exceeded the total amount of roughly Rs 3,500 crore that was raised in 2008. A large number of such issues are expected to hit the market in the next few weeks.
Why there is a sudden rush for QIPs?
Several companies, especially real estate, were starved of money in the recent slowdown and were finding it difficult to stay afloat. The revival in market sentiment came as a boon to these companies, which are rushing to raise money, mainly to retire expensive debt and restructure their balance sheets. In over a month, funds raised through QIPs by companies has already exceeded the total amount of roughly Rs 3,500 crore that was raised in 2008. A large number of such issues are expected to hit the market in the next few weeks.
Wednesday, July 29, 2009
Stock Pick: Brushman (India) Ltd/ Multibagger Recommendation
Company has received following Work orders worth Rs. 154.64 Crores:* Lower Wardha Mail Canal- Construction of Barrage @ Pulgaon on Wardha River with mecha.nical gate erection, survey design and all work oFRs. 92.58 Crores.* Construction of Flyover at Kapurwadi Junction on Thane Ghodbunder Road join venture with Nagarjuna Construction Company Ltd. in that total cost of work is 131.37 Crores. J.Kurnar Infraprojects Ltd. share is 40% of 131.37 Crores i.e. 52.55 Crores of the total cost of work.* Work order of Dahegaon (Gargoti) M.I Tank Tq Ralegaon, Dist Yavatmal Construction of earthwork of Dam, Excavation of Approach and tail channel, Construction of Waste wier and falSs in tail channel & Head regulator of Rs.7.67 Crores.* Work order of piling work in various parts of Mumbai of Rs.1.84 Crores.As on today the work order position is Rs, 1278.74 Crores.(Livemint.com)
Monday, July 6, 2009
Interim Budget 2009-2010 - Summary
Interim Budget 2009-2010 - Summary
The Interim Budget highlights the focus on aam aadmi in the development process. The year 2008-09 has seen substantial increase in outlays spanning across sectors.Continuing the trend, the budget for 2009-10 will have increased plan outlays for key sectors and adequate allocations for the flagship programmes which directly impact aam aadmi.The other major highlights of the passing financial year were a massive debt waiver for farmers and two stimulus packages to counter the negative fallout of the global economic slowdown. In the Interim Budget presented in the Lok Sabha today, the Finance Minister, Shri Pranab Mukherjee, indicated that 'additional plan expenditure of anything from 0.5% to 1.0% of the GDP' will need to be considered in the regular budget, to be presented by the government after the general elections.
The Growth Trend:
The Finance Minister also highlighted that the economy has grown at a healthy rate in the recent yeaRs The Gross Domestic Product has increased by 7.5%, 9.5%, 9.7% and 9% in the first four years from fiscal year 2004-05 to 2007-08 recording a sustained growth of over 9% for three consecutive years for the first time. With per capita income growing at 7.4 percent per annum, this represented the fastest ever improvement in living standards over a four-year period. The growth drivers for the period were agriculture, services, manufacturing along with trade and construction. The fiscal deficit has come down from 4.5% in 2003-04 to 2.7% in 2007-08 and revenue deficit from 3.6% to 1.1% in 2007-08. He further stated that the annual growth rate of agriculture rose to 3.7% during 2003-04 to 2007-08. Foodgrain production recorded an increase of 10 million tonnes each year during this period and touched an all time high of 230 million tonnes in 2007-08. The manufacturing sector recorded a growth of 9.5% per annum in the period 2004-05 to 2007-08, and exports grew at an annual average growth rate of 26.4% in US dollar terms during this period.Despite the global financial crisis, which began in 2007 impacting most emerging market economies, 7.1% rate of GDP growth in the current year makes India the second fastest growing economy in the world.
Flagship Programmes:
Adequate funds have been ensured for the flagship programmes. The National Rural Employment Guarantee Scheme gets Rs 30,100 crore for the year 2009-10. This Scheme generated 138.76 crore person days of employment covering 3.51 crore households in 2008-09.An allocation of Rs 13,100 crore has been provided for b. This Scheme has made significant contribution in providing access to and infrastructure for elementary education.Allocation for the national programme of Mid-day Meals in schools has been kept at Rs 8,000 crore in 2009-10. This is the world's largest school feeding programme and has contributed to enhancement of school participation, reduction in class room hunger, and fostering of social and gender parity.The Integrated Child Development Scheme gets an allocation of Rs 6,705 crore. This Scheme was expanded twice in the last five years to cover the hitherto uncovered habitations across the country.Rs 11,842 crore have been proposed for the Jawaharlal Nehru National urban Renewal Mission. Under this Mission, 386 projects amounting to Rs 39,000 crore have been sanctioned at the end of 2008.Rajiv Gandhi Rural Drinking Water Mission is to receive Rs 7,400 crore for supplying safe drinking water to uncovered habitations and slipped back habitations.Rs 1,200 crore are being provided for the Total Rural Sanitation Programme. Rs 12,070 crore are being allocated to the National Rural Health Mission.Bharat Nirman, the time-bound plan for building rural infrastructure receives Rs 40,900 crore. This package has six components – rural roads, telephony, irrigation, drinking water supply, housing and electrification.
Agriculture:
The Finance Minister highlighted the focused attention given by the Government to the farming sector. The highlights include 300% rise in Plan allocation for agriculture in the last five years and launch of Rs 25,000 crore Rashtriya Krishi Vikas Yojana to increase farm growth to four% per year during the XI Plan.Credit disbursement to the farm sector has gone up from Rs 87 thousand crore in 2003-04 to about Rs 2.5 lakh crore in 2007-08 marking a three fold increase. Shri Mukherjee announced that the Government will continue to provide interest subvention in 2009-10 to ensure that farmers get short term crop loans upto Rs 3 lakh at 7% per annum.The Government announced the Agricultural Debt Waiver and Debt Relief Scheme for farmers in the last budget and implemented it by June 30, 2008 as scheduled. The Scheme has been able to restore institutional credit to indebted farmeRs As per early reports, the total debt waiver and debt relief so far, amounts to Rs 65 thousand three hundred crore covering 3.6 crore farmers.Remunerative prices have been given to farmers for their crops. Since 2003-04, Minimum Support Price (MSP) for the common variety of paddy was increased from Rs 550 to Rs 900 per quintal for the crop year 2008-09. In case of wheat the increase was from Rs 630 in 2003-04 to Rs 1,080 per quintal for the year 2009.
Rural Development:
A number of programmes have been designed to help improve the living conditions of rural population. The corpus of the Rural Infrastructure Development Fund has increased from Rs 5,500 crore in 2003-04 to Rs 14 thousand crore for the year 2008-09 ensuring greater availability of funds for developing rural infrastructure.Under the Indira Awaas Yojana, 60.12 lakh houses have already been constructed by the end of 2008 as against the target of building 60 lakh houses by March 2009.The Government proposes to substantially expand the Panchayat Empowerment and Accountability Scheme. The Project Arrow, the postal scheme to provide new technology – enabled services to the common man, will also receive full Government support.
Education:
The Finance Minister has called 2008-09 as a 'momentous year for secondary education' as several major initiatives including a new Centrally Sponsored Scheme to universalize education at secondary stage were launched during the year.Outlay on higher education has been increased 900% in the XI Five Year Plan. An ordinance to open 15 Central Universities has been promulgated, 6 new IITs have started functioning, two more IITs are expected to commence their academic sessions in 2009-10, five Indian Institutes of Science Education and Research have become functional, teaching is expected to commence in four out of six new IIMs and two new schools of Planning and Architecture have started functioning.Since 2004-05 nearly 500 ITIs have been upgraded into centres of excellence and a National Skill Development Corporation has been created to stimulate and coordinate private sector participation in skill development.
Social Sector:
Many Schemes have been initiated for women and weak and downtrodden people of the society. A new Ministry of Minority Affairs has been set up and a 15-point programme has been announced for the welfare of the minorities.The Scheduled Tribes and other Traditional Forest Dwellers (Recognition of Forest Rights) Act has helped in getting to Scheduled Tribes and other traditional forest dwellers legal rights on forest lands.The authorized capital of the National Safai Karmachari Finance and Development Corporation has been increased. The Finance Minister announced that the authorized capital of the Rashtriya Mahila Kosh will also be strengthened.The Aam Aadmi Bima Yojana has provided death and disability cover to over 60 lakh rural landless. A Rashtriya Swasthya Bima Yojana for BPL families has also been started. As on January 15 this year, 22 States and UTs have initiated the process to implement the Scheme.The Finance Minister announced that two new schemes, Indira Gandhi National Widow Pension Scheme and Indira Gandhi National Disability Pension Scheme are being launched in the current year to provide pension to widows and severely disabled persons, respectively. He also proposed to give priority to young widows in admissions to ITIs and to provide stipend and bear training cost.
Financial Sector and Tax Reforms:
The Finance Minister informed that the asset quality of Public Sector Banks has improved and non performing assets have declined considerably from 2004 to 2008. He also enumerated the steps taken to promote a safe, transparent and efficient share market and to protect market integrity. He further informed that the Companies Bill 2008 has been introduced in parliament to make the Companies Act a compact law adopted to internationally accepted best practices.The Government has rationalized income tax rates and steadily reduced customs duty rates. Rates of Union Excise Duties and Service Tax have also been rationalized. Tax administration is being modernized through extensive use of information technology. 109 marine vessels are being acquired form the Customs Department to prevent movement of contraband goods across the country's sea borders.
Budget Provisions:
The Budget for 2009-10 will have total expenditure of Rs 9,53,231 crore, comprising Rs 2,85,149 crore under Plan and Rs 6,68,082 crore under non-Plan. The Gross Budgetary Support for the Plan is 17.16% higher than that in 2008-09.To ensure continuity in financing of rural infrastructure projects, RIDF-XV is being proposed with a corpus of Rs 14,000 crore. The separate window for rural roads with a corpus of Rs 4,000 crore will continue.To counter the negative impact on exports due to the global financial crisis, the interest subvention of 2% on pre and post shipment credit for certain employment oriented sectors is proposed to be extended.It is proposed to recapitalise the public sector banks over next two years to enable them to maintain Capital to Risk Weighted Assets Ratio (CRAR) of 12% and to ensure that credit growth continues to sustain economic growth.The allocation for Defence is being increased to Rs 1,14,703 crore. This will include Rs 54,824 crore for capital expenditure.A provision of Rs 95,579 crore for major subsidies including food, fertilizer and petroleum has been made in the Budget.Gross Tax Revenue receipts at the existing rates of taxation are estimated at Rs 6,71293 crore and Centre's net tax revenue at Rs 5,00,096 crore. With revenue expenditure estimated at Rs 8,48,085 crore, the revenue deficit amounts to 4.0% of GDP. Fiscal Deficit is estimated at Rs 3,32,835 crore which is 5.5% of GDP. This would be lower than in 2008-09, but higher than would be appropriate under normal circumstances. The Minister explained: 'However, conditions in the year ahead are not likely to be normal and, therefore, the high fiscal deficit is inevitable. We will return to FRBM targets once the economy is restored to its recent trend growth path.'
Source: Equity bull
The Interim Budget highlights the focus on aam aadmi in the development process. The year 2008-09 has seen substantial increase in outlays spanning across sectors.Continuing the trend, the budget for 2009-10 will have increased plan outlays for key sectors and adequate allocations for the flagship programmes which directly impact aam aadmi.The other major highlights of the passing financial year were a massive debt waiver for farmers and two stimulus packages to counter the negative fallout of the global economic slowdown. In the Interim Budget presented in the Lok Sabha today, the Finance Minister, Shri Pranab Mukherjee, indicated that 'additional plan expenditure of anything from 0.5% to 1.0% of the GDP' will need to be considered in the regular budget, to be presented by the government after the general elections.
The Growth Trend:
The Finance Minister also highlighted that the economy has grown at a healthy rate in the recent yeaRs The Gross Domestic Product has increased by 7.5%, 9.5%, 9.7% and 9% in the first four years from fiscal year 2004-05 to 2007-08 recording a sustained growth of over 9% for three consecutive years for the first time. With per capita income growing at 7.4 percent per annum, this represented the fastest ever improvement in living standards over a four-year period. The growth drivers for the period were agriculture, services, manufacturing along with trade and construction. The fiscal deficit has come down from 4.5% in 2003-04 to 2.7% in 2007-08 and revenue deficit from 3.6% to 1.1% in 2007-08. He further stated that the annual growth rate of agriculture rose to 3.7% during 2003-04 to 2007-08. Foodgrain production recorded an increase of 10 million tonnes each year during this period and touched an all time high of 230 million tonnes in 2007-08. The manufacturing sector recorded a growth of 9.5% per annum in the period 2004-05 to 2007-08, and exports grew at an annual average growth rate of 26.4% in US dollar terms during this period.Despite the global financial crisis, which began in 2007 impacting most emerging market economies, 7.1% rate of GDP growth in the current year makes India the second fastest growing economy in the world.
Flagship Programmes:
Adequate funds have been ensured for the flagship programmes. The National Rural Employment Guarantee Scheme gets Rs 30,100 crore for the year 2009-10. This Scheme generated 138.76 crore person days of employment covering 3.51 crore households in 2008-09.An allocation of Rs 13,100 crore has been provided for b. This Scheme has made significant contribution in providing access to and infrastructure for elementary education.Allocation for the national programme of Mid-day Meals in schools has been kept at Rs 8,000 crore in 2009-10. This is the world's largest school feeding programme and has contributed to enhancement of school participation, reduction in class room hunger, and fostering of social and gender parity.The Integrated Child Development Scheme gets an allocation of Rs 6,705 crore. This Scheme was expanded twice in the last five years to cover the hitherto uncovered habitations across the country.Rs 11,842 crore have been proposed for the Jawaharlal Nehru National urban Renewal Mission. Under this Mission, 386 projects amounting to Rs 39,000 crore have been sanctioned at the end of 2008.Rajiv Gandhi Rural Drinking Water Mission is to receive Rs 7,400 crore for supplying safe drinking water to uncovered habitations and slipped back habitations.Rs 1,200 crore are being provided for the Total Rural Sanitation Programme. Rs 12,070 crore are being allocated to the National Rural Health Mission.Bharat Nirman, the time-bound plan for building rural infrastructure receives Rs 40,900 crore. This package has six components – rural roads, telephony, irrigation, drinking water supply, housing and electrification.
Agriculture:
The Finance Minister highlighted the focused attention given by the Government to the farming sector. The highlights include 300% rise in Plan allocation for agriculture in the last five years and launch of Rs 25,000 crore Rashtriya Krishi Vikas Yojana to increase farm growth to four% per year during the XI Plan.Credit disbursement to the farm sector has gone up from Rs 87 thousand crore in 2003-04 to about Rs 2.5 lakh crore in 2007-08 marking a three fold increase. Shri Mukherjee announced that the Government will continue to provide interest subvention in 2009-10 to ensure that farmers get short term crop loans upto Rs 3 lakh at 7% per annum.The Government announced the Agricultural Debt Waiver and Debt Relief Scheme for farmers in the last budget and implemented it by June 30, 2008 as scheduled. The Scheme has been able to restore institutional credit to indebted farmeRs As per early reports, the total debt waiver and debt relief so far, amounts to Rs 65 thousand three hundred crore covering 3.6 crore farmers.Remunerative prices have been given to farmers for their crops. Since 2003-04, Minimum Support Price (MSP) for the common variety of paddy was increased from Rs 550 to Rs 900 per quintal for the crop year 2008-09. In case of wheat the increase was from Rs 630 in 2003-04 to Rs 1,080 per quintal for the year 2009.
Rural Development:
A number of programmes have been designed to help improve the living conditions of rural population. The corpus of the Rural Infrastructure Development Fund has increased from Rs 5,500 crore in 2003-04 to Rs 14 thousand crore for the year 2008-09 ensuring greater availability of funds for developing rural infrastructure.Under the Indira Awaas Yojana, 60.12 lakh houses have already been constructed by the end of 2008 as against the target of building 60 lakh houses by March 2009.The Government proposes to substantially expand the Panchayat Empowerment and Accountability Scheme. The Project Arrow, the postal scheme to provide new technology – enabled services to the common man, will also receive full Government support.
Education:
The Finance Minister has called 2008-09 as a 'momentous year for secondary education' as several major initiatives including a new Centrally Sponsored Scheme to universalize education at secondary stage were launched during the year.Outlay on higher education has been increased 900% in the XI Five Year Plan. An ordinance to open 15 Central Universities has been promulgated, 6 new IITs have started functioning, two more IITs are expected to commence their academic sessions in 2009-10, five Indian Institutes of Science Education and Research have become functional, teaching is expected to commence in four out of six new IIMs and two new schools of Planning and Architecture have started functioning.Since 2004-05 nearly 500 ITIs have been upgraded into centres of excellence and a National Skill Development Corporation has been created to stimulate and coordinate private sector participation in skill development.
Social Sector:
Many Schemes have been initiated for women and weak and downtrodden people of the society. A new Ministry of Minority Affairs has been set up and a 15-point programme has been announced for the welfare of the minorities.The Scheduled Tribes and other Traditional Forest Dwellers (Recognition of Forest Rights) Act has helped in getting to Scheduled Tribes and other traditional forest dwellers legal rights on forest lands.The authorized capital of the National Safai Karmachari Finance and Development Corporation has been increased. The Finance Minister announced that the authorized capital of the Rashtriya Mahila Kosh will also be strengthened.The Aam Aadmi Bima Yojana has provided death and disability cover to over 60 lakh rural landless. A Rashtriya Swasthya Bima Yojana for BPL families has also been started. As on January 15 this year, 22 States and UTs have initiated the process to implement the Scheme.The Finance Minister announced that two new schemes, Indira Gandhi National Widow Pension Scheme and Indira Gandhi National Disability Pension Scheme are being launched in the current year to provide pension to widows and severely disabled persons, respectively. He also proposed to give priority to young widows in admissions to ITIs and to provide stipend and bear training cost.
Financial Sector and Tax Reforms:
The Finance Minister informed that the asset quality of Public Sector Banks has improved and non performing assets have declined considerably from 2004 to 2008. He also enumerated the steps taken to promote a safe, transparent and efficient share market and to protect market integrity. He further informed that the Companies Bill 2008 has been introduced in parliament to make the Companies Act a compact law adopted to internationally accepted best practices.The Government has rationalized income tax rates and steadily reduced customs duty rates. Rates of Union Excise Duties and Service Tax have also been rationalized. Tax administration is being modernized through extensive use of information technology. 109 marine vessels are being acquired form the Customs Department to prevent movement of contraband goods across the country's sea borders.
Budget Provisions:
The Budget for 2009-10 will have total expenditure of Rs 9,53,231 crore, comprising Rs 2,85,149 crore under Plan and Rs 6,68,082 crore under non-Plan. The Gross Budgetary Support for the Plan is 17.16% higher than that in 2008-09.To ensure continuity in financing of rural infrastructure projects, RIDF-XV is being proposed with a corpus of Rs 14,000 crore. The separate window for rural roads with a corpus of Rs 4,000 crore will continue.To counter the negative impact on exports due to the global financial crisis, the interest subvention of 2% on pre and post shipment credit for certain employment oriented sectors is proposed to be extended.It is proposed to recapitalise the public sector banks over next two years to enable them to maintain Capital to Risk Weighted Assets Ratio (CRAR) of 12% and to ensure that credit growth continues to sustain economic growth.The allocation for Defence is being increased to Rs 1,14,703 crore. This will include Rs 54,824 crore for capital expenditure.A provision of Rs 95,579 crore for major subsidies including food, fertilizer and petroleum has been made in the Budget.Gross Tax Revenue receipts at the existing rates of taxation are estimated at Rs 6,71293 crore and Centre's net tax revenue at Rs 5,00,096 crore. With revenue expenditure estimated at Rs 8,48,085 crore, the revenue deficit amounts to 4.0% of GDP. Fiscal Deficit is estimated at Rs 3,32,835 crore which is 5.5% of GDP. This would be lower than in 2008-09, but higher than would be appropriate under normal circumstances. The Minister explained: 'However, conditions in the year ahead are not likely to be normal and, therefore, the high fiscal deficit is inevitable. We will return to FRBM targets once the economy is restored to its recent trend growth path.'
Source: Equity bull
Monday, June 29, 2009
Leaving India was biggest challenge - Mittal
"The biggest crisis or challenge I faced I believe is when I left India. I did not have any exposure to the global market, global situation and I landed up in a country (Indonesia) I never knew about," said Laxmi Mittal, Chairman and CEO, ArcelorMittal.
He admitted that ArcelorMittal did not anticipate a crisis of this magnitude, and said that the company has acknowledged the slowdown and was the first one to resort to cost-cutting measures. Mittal, 58, born in Sadulpur, Rajasthan, parted ways with his father and brother and took over the international affairs of the family business and left for Indonesia than three decades ago.He founded the Mittal Steel company in 1976. He expressed his disappointment over delays in securing regulatory approvals for his Rs. 1 lakh crore steel project in India. "We are disappointed with this. We are still awaiting some of the approvals, land approvals, environment approvals, and mining license; clearly this has delayed the progress by two years."
He admitted that ArcelorMittal did not anticipate a crisis of this magnitude, and said that the company has acknowledged the slowdown and was the first one to resort to cost-cutting measures. Mittal, 58, born in Sadulpur, Rajasthan, parted ways with his father and brother and took over the international affairs of the family business and left for Indonesia than three decades ago.He founded the Mittal Steel company in 1976. He expressed his disappointment over delays in securing regulatory approvals for his Rs. 1 lakh crore steel project in India. "We are disappointed with this. We are still awaiting some of the approvals, land approvals, environment approvals, and mining license; clearly this has delayed the progress by two years."
Aspiring engineers scared to opt for IT courses
The students who are aspiring for engineering career are opting for mechanical and civil engineering courses instead of IT courses. According to Karnataka Examinations Authority (KEA), around 60-70 percent of almost 1.2 lakh students who appeared for common entrance test (CET) this year are expected to opt for non-IT courses. Also many courses like computer engineering, medical and biotechnology which were in demand last year do not have many takers this year.
The change in career can be linked with big IT companies like Wipro, Infosys and TCS deciding to cut down the number of recruitment due to recession. Big companies are also seeking to cut down on existing staff to adapt to economic slowdown. In such situation students are not that ready to take risk by entering the IT field. "In times of recession, nobody is daring to opt for IT. There are more job opportunities in mechanical. Lot of students that I know prefer to go into electronics and communication and mechanical engineering," an aspiring engineering student Bhavish Kuttapa told Economic Times.Many students are interested in opting for telecommunication engineering as there are more jobs available in that field. It is expected from students to opt for recession-proof careers. "Something very similar happened few years ago when IT was doing better than other sectors. With government spending big on infrastructure, energy and telecom, there are more jobs available for mechanical, civil and electronic engineers," said GC Jayaprakash, principal consultant at executive search firm Stanton Chase International to economic times. (siliconindia news bureau,Bangalore)
The change in career can be linked with big IT companies like Wipro, Infosys and TCS deciding to cut down the number of recruitment due to recession. Big companies are also seeking to cut down on existing staff to adapt to economic slowdown. In such situation students are not that ready to take risk by entering the IT field. "In times of recession, nobody is daring to opt for IT. There are more job opportunities in mechanical. Lot of students that I know prefer to go into electronics and communication and mechanical engineering," an aspiring engineering student Bhavish Kuttapa told Economic Times.Many students are interested in opting for telecommunication engineering as there are more jobs available in that field. It is expected from students to opt for recession-proof careers. "Something very similar happened few years ago when IT was doing better than other sectors. With government spending big on infrastructure, energy and telecom, there are more jobs available for mechanical, civil and electronic engineers," said GC Jayaprakash, principal consultant at executive search firm Stanton Chase International to economic times. (siliconindia news bureau,Bangalore)
Multibagger Stock: Visu International
Visu International Ltd. (Formerly Visu Consultants Ltd.), a pioneer in the field of 'GLOBAL EDUCATION', is the main arm of Visu Group of Companies. Its core activity lies in assisting students to make the right choice with regard to higher education overseas. Every country on the globe has Universities which are vying for students across the frontiers. In such a scenario, it becomes an impossible task for a student to decide on the program, University and Country most suited to their requirements. In steps an experienced consultant like Visu, offering end to end services to our clients. With our experience and expertise in 'study abroad' spanning over two decades, we could be the trusted hand for any student.
Visu International Ltd., was started in 1983, by Mr. C.C.Reddy, an NRI from USA, Founder and Chairman, built the huge organization, that it is today. From a humble beginning, today he succeeded in the uphill task of dispelling all the myths usually associated with ' study abroad' and have brought the concept of overseas education to the doorstep of every student, by making it affordable and devoid of cumbersome procedures.
Visu International Ltd. has more than 73 offices all over the world, placing more than 75000 students in Universities abroad. Our reach extends to five continents and Universities in most Countries like the US, UK, Canada, Ireland, Singapore, Malaysia, Nepal, Kenya, Tanzania, Uganda, France and Spain.
It offers the following services:
Councelling
Coaching for TOEFEL, GRE, GMAT, SAT in India .About 50000 students per year are getting coaching in various centres within India.
Application Processing for admission abroad
e- application status
Visa guidance
Post Visa services
Bank Loan guidance
Travel Assistance
This year is the Silver Anniversary Year of Visu International and Management is hopeful of surpassing Rs. 100 crore turnovers with a significant increase in the bottom line.
Future Prospects:
Project today reported that Conglome Industries Pvt Ltd, a group company of Visu International Ltd, is planning to expand it presence in Africa, Myanmar and Vietnam.As per report, the company will carry out its expansion plan in the phased manner. In the first phase, Conglome intends to invest INR 500 crore in the various sectors in Africa, Myanmar and Vietnam. As per report, they have identified 11 sectors in agriculture, education, mini hydro power generation and distribution, roads, housing, bore wells, manufacturing of ethanol and alcoholic & non alcoholic beverages to make the investment. The funds for the expansion will be raised from equity, banks and partners.Apart from this, Conglome is also in the process of acquiring 8 companies in Africa at the investment cost of INR 100 crore. Out of which INR 25 crore will be equity and the rest will be raised from foreign funding.
About the Management:
Mr.C.C.Reddy,ChairmanMr.C.C.Reddy started his practice as an Attorney in the year 1960. He was a Member of the Communist Party of India and a State Leader in the Trade Union Movement. Mr.Reddy was exposed to International Law and in late 60s, he represented India in various International Law Conferences held in Moscow, Berlin and Helsinki under the leadership of the Legendary Mr.V.K. Krishna Menon.
In 1973, he moved to the United States of America as an Immigrant and there he headed various International business corporations as Chief Executive. He had exclusive trade relations with both East and West European countries. During this period, he was a Member of the U.S. Technology Transfer society, U.S. Chamber of Commerce and Australian Chamber of Commerce. He also was a Special Invitee to the African National Congress and he addressed the ANC in Johannesburg, South Africa.
In 1983 he established Visu Consultants Limited in India which is today known as Visu International Limited. Visu International Limited is the Flagship Company of the Visu Group of Companies with its offices in 20 countries and has 2000 employees across the Globe. Visu Group deals in Education, Software, Manufacturing in 8 countries in Africa, Trading from Hong Kong and China with Retail Operations in India and Africa.
Mr.Reddy is a Member of the Osmania University Academic Senate. While in U.S.A he has been a keen observer of the U.S. political system and believes that some of the electoral practices could apply to Indian political system.
In the recent elections, he has been named as the Vice Chairman of the A.P. Congress Committee Campaign Committee. Mr.Reddy conceived, designed and telecast the campaign material. The efficacy of the campaign materials resulted in a land-slide victory for the Congress Party. Mr.Reddy has been appointed as Advisor to the Government of A.P. on Foreign Investments and NRI affairs. In fulfilling this responsibility and in order to benefit the farming community of A.P. in particular, Mr.Reddy is in the process of finalizing a lucrative Agricultural Development Scheme in African Countries where the A.P.Farmers would be relocated for using their skills and making their personal fortunes as other expatriates have done for centuries in these countries. Mr.Reddy is also helping in sourcing foreign investments from foreign countries for developmental projects in A.P.
Mr.Reddy has also entered into production of Feature Films and TV serials. One Telugu feature film is ready for release and production for two more films is going to start very soon. Mr.Reddy has plans to regularly produce feature films under the banner of Visu Films International.
At present CMP of INR 5.55, the stock looks very attractive and it will give a 200-350% return in time duration of 1-2 years.
Positive Points for this stock for Up moving:
1) Company doing very good and available very cheep at INR 5.55/-
2) Book Value 25/-; Company Assets 79 Crores.
3) Company planning to invest 500 Crores various sectors.
4) Company Having Good Corporate house in Hyderabad Business center and good Land Bank.
5) Company releasing Telugu Movie Soon. So Mumbai operators are accumulating with a target of INR 50/-
6) Company Doing Education Business; expecting good news from company.
7) Company planning to declare more future plans.
Visu International Ltd., was started in 1983, by Mr. C.C.Reddy, an NRI from USA, Founder and Chairman, built the huge organization, that it is today. From a humble beginning, today he succeeded in the uphill task of dispelling all the myths usually associated with ' study abroad' and have brought the concept of overseas education to the doorstep of every student, by making it affordable and devoid of cumbersome procedures.
Visu International Ltd. has more than 73 offices all over the world, placing more than 75000 students in Universities abroad. Our reach extends to five continents and Universities in most Countries like the US, UK, Canada, Ireland, Singapore, Malaysia, Nepal, Kenya, Tanzania, Uganda, France and Spain.
It offers the following services:
Councelling
Coaching for TOEFEL, GRE, GMAT, SAT in India .About 50000 students per year are getting coaching in various centres within India.
Application Processing for admission abroad
e- application status
Visa guidance
Post Visa services
Bank Loan guidance
Travel Assistance
This year is the Silver Anniversary Year of Visu International and Management is hopeful of surpassing Rs. 100 crore turnovers with a significant increase in the bottom line.
Future Prospects:
Project today reported that Conglome Industries Pvt Ltd, a group company of Visu International Ltd, is planning to expand it presence in Africa, Myanmar and Vietnam.As per report, the company will carry out its expansion plan in the phased manner. In the first phase, Conglome intends to invest INR 500 crore in the various sectors in Africa, Myanmar and Vietnam. As per report, they have identified 11 sectors in agriculture, education, mini hydro power generation and distribution, roads, housing, bore wells, manufacturing of ethanol and alcoholic & non alcoholic beverages to make the investment. The funds for the expansion will be raised from equity, banks and partners.Apart from this, Conglome is also in the process of acquiring 8 companies in Africa at the investment cost of INR 100 crore. Out of which INR 25 crore will be equity and the rest will be raised from foreign funding.
About the Management:
Mr.C.C.Reddy,ChairmanMr.C.C.Reddy started his practice as an Attorney in the year 1960. He was a Member of the Communist Party of India and a State Leader in the Trade Union Movement. Mr.Reddy was exposed to International Law and in late 60s, he represented India in various International Law Conferences held in Moscow, Berlin and Helsinki under the leadership of the Legendary Mr.V.K. Krishna Menon.
In 1973, he moved to the United States of America as an Immigrant and there he headed various International business corporations as Chief Executive. He had exclusive trade relations with both East and West European countries. During this period, he was a Member of the U.S. Technology Transfer society, U.S. Chamber of Commerce and Australian Chamber of Commerce. He also was a Special Invitee to the African National Congress and he addressed the ANC in Johannesburg, South Africa.
In 1983 he established Visu Consultants Limited in India which is today known as Visu International Limited. Visu International Limited is the Flagship Company of the Visu Group of Companies with its offices in 20 countries and has 2000 employees across the Globe. Visu Group deals in Education, Software, Manufacturing in 8 countries in Africa, Trading from Hong Kong and China with Retail Operations in India and Africa.
Mr.Reddy is a Member of the Osmania University Academic Senate. While in U.S.A he has been a keen observer of the U.S. political system and believes that some of the electoral practices could apply to Indian political system.
In the recent elections, he has been named as the Vice Chairman of the A.P. Congress Committee Campaign Committee. Mr.Reddy conceived, designed and telecast the campaign material. The efficacy of the campaign materials resulted in a land-slide victory for the Congress Party. Mr.Reddy has been appointed as Advisor to the Government of A.P. on Foreign Investments and NRI affairs. In fulfilling this responsibility and in order to benefit the farming community of A.P. in particular, Mr.Reddy is in the process of finalizing a lucrative Agricultural Development Scheme in African Countries where the A.P.Farmers would be relocated for using their skills and making their personal fortunes as other expatriates have done for centuries in these countries. Mr.Reddy is also helping in sourcing foreign investments from foreign countries for developmental projects in A.P.
Mr.Reddy has also entered into production of Feature Films and TV serials. One Telugu feature film is ready for release and production for two more films is going to start very soon. Mr.Reddy has plans to regularly produce feature films under the banner of Visu Films International.
At present CMP of INR 5.55, the stock looks very attractive and it will give a 200-350% return in time duration of 1-2 years.
Positive Points for this stock for Up moving:
1) Company doing very good and available very cheep at INR 5.55/-
2) Book Value 25/-; Company Assets 79 Crores.
3) Company planning to invest 500 Crores various sectors.
4) Company Having Good Corporate house in Hyderabad Business center and good Land Bank.
5) Company releasing Telugu Movie Soon. So Mumbai operators are accumulating with a target of INR 50/-
6) Company Doing Education Business; expecting good news from company.
7) Company planning to declare more future plans.
Sunday, June 28, 2009
How to analyse an IPO
The year 2008 was one of drought as far as Initial Public Offers (IPO) goes. But with a revival of sorts in the markets, quite a few of these are lined up, with one — that of Mahindra Holiday and Resorts — already through. Investing in an IPO is a shade trickier than an existing company since not much information about it — financial or otherwise — will be publicly available. This is where, as a rule, the prospectus comes in as the best possible source of comprehensive information on the company.
Since the bulky document may appear a tad intimidating to the new investor, here are a few guidelines on how to pick relevant information, and what to base your investment decision on.
Any issue prospectus will be divided into seven sections — risk factors, an introduction to and detailed information about the company, financial information, details on the issue, legal and other regulatory information. Of these, the company background and business model, the industry it operates in, purpose of the issue, financial performance and risk factors are areas you should concentrate on.
The year 2008 was one of drought as far as Initial Public Offers (IPO) goes. But with a revival of sorts in the markets, quite a few of these are lined up, with one — that of Mahindra Holiday and Resorts — already through. Investing in an IPO is a shade trickier than an existing company since not much information about it — financial or otherwise — will be publicly available. This is where, as a rule, the prospectus comes in as the best possible source of comprehensive information on the company.
Since the bulky document may appear a tad intimidating to the new investor, here are a few guidelines on how to pick relevant information, and what to base your investment decision on.
Any issue prospectus will be divided into seven sections — risk factors, an introduction to and detailed information about the company, financial information, details on the issue, legal and other regulatory information. Of these, the company background and business model, the industry it operates in, purpose of the issue, financial performance and risk factors are areas you should concentrate on.
Business :
The section ‘About the Company’ gives a detailed description of the nature of the company and its business models; understand how and where the company accrues revenue, and if it is sustainable.
This includes going back to the history of the company, since it explains how the company has developed over the years, acquisitions made, milestones crossed, subsidiary activity, all of which are indicators of the consistency of performance and sustainability.
If possible, compare revenue models with those of existing peer companies to identify if, and where, the company has an advantage. If any competitor is already listed, use it as a comparison for performance, valuations, financials, and strategies.
Also included in the business section is an overview of the industry. Scrutinise it thoroughly to get a grip on the future of the industry and the company’s own prospects within it. As far as financials go, analyse these as you would for any other company.
Strengths:
The company will list its ‘strengths’ — what it considers as an edge over peers — again in the business section. Give these a once-over, paying attention to the details only if the said strength stands out — for example, Gitanjali Gems has a diamond sourcing agreement with Diamond Trading Corp, a key strength since the company is ensured of access to good quality rough diamonds which most peers do not enjoy. Sizeable market share (check source of data here), backward integration, and so on, are other factors favouring the company.
Take the strengths with a pinch of salt, since companies sometimes tend to paint a brighter picture than what they actually are. Conclude yourself if the point given in reality works in the company’s favour significantly.
Risks :
Risks detailed are wide-ranging, from an economic scenario to company-specific, which must be noted to understand potential downside to your investment. Risks are explained at the start of the prospectus.
Some risks given are general in nature and can be ignored, such as political instability, natural calamities, competition from peers and such, which are usually applicable to all companies, regardless of industry.
Legal issues that have a significant bearing on the functioning of the company, are also given here — for example, Mahindra Holidays has a resort in Munnar, where the land is under legal proceedings since it was said to be agricultural.
Now if the case goes against Mahindra, it will mean closure of a flagship resort and loss of revenue from it.
Understanding such material legal proceedings allows you to skip most of the section on legal issues that appears later in the prospectus. For example, legal issues regarding taxes, labour and such need not be combed through.
Objects:
The purpose of the issue is explained in depth, and companies are required to explain the utilisation of funds raised in subsequent annual reports.
Proceeds from the issue can go towards any number of purposes, from repayment of debt to working capital, from capacity expansion to company acquisitions besides covering issue expenses. Fund utilisation should, as far as possible, contribute to revenue generation and earnings expansion.
For example, companies may raise funds to either ramp up production capacity which may lead to increased sales, or to pay back high-cost debt resulting in lower interest costs and more leveraging capability; or for acquisitions that may add to revenues. However, the time taken to accomplish the stated objectives needs to be gauged.
Check the amount of funds set aside for issue expenses, which include advertising and promotion, printing of the prospectus and so on. Check also whether the proceeds of the IPO go entirely to the company; some IPOs involve a stake sale by the promoters in which case funds raised would not accrue to the company.
Other sections you can glance through are the regulations and policies the company is subject to, the management team and the relevant experience they hold and the instructions to bidders in the section detailing the issue — just to make sure you don’t inadvertently mess up your application.
Since the bulky document may appear a tad intimidating to the new investor, here are a few guidelines on how to pick relevant information, and what to base your investment decision on.
Any issue prospectus will be divided into seven sections — risk factors, an introduction to and detailed information about the company, financial information, details on the issue, legal and other regulatory information. Of these, the company background and business model, the industry it operates in, purpose of the issue, financial performance and risk factors are areas you should concentrate on.
The year 2008 was one of drought as far as Initial Public Offers (IPO) goes. But with a revival of sorts in the markets, quite a few of these are lined up, with one — that of Mahindra Holiday and Resorts — already through. Investing in an IPO is a shade trickier than an existing company since not much information about it — financial or otherwise — will be publicly available. This is where, as a rule, the prospectus comes in as the best possible source of comprehensive information on the company.
Since the bulky document may appear a tad intimidating to the new investor, here are a few guidelines on how to pick relevant information, and what to base your investment decision on.
Any issue prospectus will be divided into seven sections — risk factors, an introduction to and detailed information about the company, financial information, details on the issue, legal and other regulatory information. Of these, the company background and business model, the industry it operates in, purpose of the issue, financial performance and risk factors are areas you should concentrate on.
Business :
The section ‘About the Company’ gives a detailed description of the nature of the company and its business models; understand how and where the company accrues revenue, and if it is sustainable.
This includes going back to the history of the company, since it explains how the company has developed over the years, acquisitions made, milestones crossed, subsidiary activity, all of which are indicators of the consistency of performance and sustainability.
If possible, compare revenue models with those of existing peer companies to identify if, and where, the company has an advantage. If any competitor is already listed, use it as a comparison for performance, valuations, financials, and strategies.
Also included in the business section is an overview of the industry. Scrutinise it thoroughly to get a grip on the future of the industry and the company’s own prospects within it. As far as financials go, analyse these as you would for any other company.
Strengths:
The company will list its ‘strengths’ — what it considers as an edge over peers — again in the business section. Give these a once-over, paying attention to the details only if the said strength stands out — for example, Gitanjali Gems has a diamond sourcing agreement with Diamond Trading Corp, a key strength since the company is ensured of access to good quality rough diamonds which most peers do not enjoy. Sizeable market share (check source of data here), backward integration, and so on, are other factors favouring the company.
Take the strengths with a pinch of salt, since companies sometimes tend to paint a brighter picture than what they actually are. Conclude yourself if the point given in reality works in the company’s favour significantly.
Risks :
Risks detailed are wide-ranging, from an economic scenario to company-specific, which must be noted to understand potential downside to your investment. Risks are explained at the start of the prospectus.
Some risks given are general in nature and can be ignored, such as political instability, natural calamities, competition from peers and such, which are usually applicable to all companies, regardless of industry.
Legal issues that have a significant bearing on the functioning of the company, are also given here — for example, Mahindra Holidays has a resort in Munnar, where the land is under legal proceedings since it was said to be agricultural.
Now if the case goes against Mahindra, it will mean closure of a flagship resort and loss of revenue from it.
Understanding such material legal proceedings allows you to skip most of the section on legal issues that appears later in the prospectus. For example, legal issues regarding taxes, labour and such need not be combed through.
Objects:
The purpose of the issue is explained in depth, and companies are required to explain the utilisation of funds raised in subsequent annual reports.
Proceeds from the issue can go towards any number of purposes, from repayment of debt to working capital, from capacity expansion to company acquisitions besides covering issue expenses. Fund utilisation should, as far as possible, contribute to revenue generation and earnings expansion.
For example, companies may raise funds to either ramp up production capacity which may lead to increased sales, or to pay back high-cost debt resulting in lower interest costs and more leveraging capability; or for acquisitions that may add to revenues. However, the time taken to accomplish the stated objectives needs to be gauged.
Check the amount of funds set aside for issue expenses, which include advertising and promotion, printing of the prospectus and so on. Check also whether the proceeds of the IPO go entirely to the company; some IPOs involve a stake sale by the promoters in which case funds raised would not accrue to the company.
Other sections you can glance through are the regulations and policies the company is subject to, the management team and the relevant experience they hold and the instructions to bidders in the section detailing the issue — just to make sure you don’t inadvertently mess up your application.
SBI cuts car loan rates
To increase its credit offtake and market share, State Bank of India on Saturday reduced the interest rate on car loans to 8 per cent for the first year. For the second and third years, the bank will charge 10 per cent, and from the fourth year it will charge the then prevailing rate.
SBI’s car loan scheme is available for new cars and also for balance transfers, that is, those who have borrowed from other banks can transfer their loans to SBI at lower rates. “We want to increase our auto loan portfolio and the penetration of auto loans. We have been able to find business logic, while others have not been able to,” said a senior bank official.
Starting from Monday, the bank’s card rates for car loans will range between 11 and 11.5 per cent, which is 25-75 basis points below the BPLR of 11.75 per cent. In February, the bank had launched a car loan scheme that offered funding at 10 per cent for a year. The scheme was on till May and was extended till September.
Under the car loan scheme, the bank’s disbursement touched around Rs 300 crore a month and with the further reduction in interest rates it may go up some more, said a senior official from the bank.
The bank’s auto loan portfolio is currently at over Rs 9,000 crore and it is now the largest financier of new cars.
Even under its special scheme of home loans at 8 per cent fixed for a year, the bank has been able to lure a significant number of customers away from other banks. Till mid-March, the bank had sanctioned Rs 1,350 crore under the special home loan scheme.
The bank cut its BPLR by 50 basis points, with effect from June 29
Indian stocks best performers across the world in 2009 so far
Indian stocks have emerged as the best performers among those in the emerging and the developed markets across the globe so far this giving investors the highest return of nearly 60 per cent. According to an analysis of MSCI Barra indices, a measure of returns from various stock markets across the world for foreign investors, Indian stocks have outperformed their global peers, including in the US, the UK and China in 2009 so far. Indian stocks have provided a return of 59.30 per cent year-to-date, against 34.37 per cent gains provided by MSCI Barra's emerging market index, covering all developing nations. Indian stocks have even outperformed all the developed world markets covered by MSCI Barra, as the markets in the US and the UK gave returns of just 2.33 per cent and 10.17 per cent, respectively, so far this year. Among the emerging BRIC (Brazil, Russia, India and China) nations, the Brazilian market was the closest competitor with gains of 56.89 per cent till June 26 this year. The Chinese and the Russian markets have given returns of 36.77 per cent and 41.61 per cent, respectively, in the year so far. The 30-share benchmark index of Indian stocks, Sensex, gained over 5,000 points in the year so far to settle at 14,764.64 points on June 26 compared to 9,600 levels on December 31, 2008.
Saturday, June 27, 2009
DRA International: An engineering company in complete "Mining Solution"
The DRA Group is a multi-disciplinary, multi-national organisation that specialises in project management in mining, infrastructure and mineral process plant design and construction. One of the largest project management enterprises in Africa, DRA's South African-founded group of companies has constructed plants located on five continents.DRA offers expertise in Process Engineering, Electrical and Instrumentation Engineering, Mechanical Engineering, Civil and Structural Engineering, Infrastructure Engineering, Materials Handling, Winder Engineering, Mine Engineering, process plant operations and maintenance management. DRA also offer services in pre-feasibility and feasibility studies, procurement of equipment and supplies, fabrication and erection, commissioning and training.
DRA manage projects with a 'zero harm' focus evident in their excellent safety record. DRA utilise world class quality standards, systems and procedures which are based on ISO standards. Currently they are preparing for ISO Certification.
DRA has offices located in mining areas around the world. The company’s highly regarded complement of professional engineers (of all disciplines) in conjunction with draughting, support services and safety management teams, combine to project manage, design and construct mines for clients worldwide.
A key element of DRA's success and capability is Minopex, one of the group companies, which operates mineral processing plants on a medium term contract basis. Add to this the competence of DRA’s mine winder specialist division and DRA's mining division, and group has the expertise to offer the entire spectrum of mining services. Effectively DRA is a one-stop-shop to mineral rights owners who wish to convert their resource into wealth.
DRA manage projects with a 'zero harm' focus evident in their excellent safety record. DRA utilise world class quality standards, systems and procedures which are based on ISO standards. Currently they are preparing for ISO Certification.
DRA has offices located in mining areas around the world. The company’s highly regarded complement of professional engineers (of all disciplines) in conjunction with draughting, support services and safety management teams, combine to project manage, design and construct mines for clients worldwide.
A key element of DRA's success and capability is Minopex, one of the group companies, which operates mineral processing plants on a medium term contract basis. Add to this the competence of DRA’s mine winder specialist division and DRA's mining division, and group has the expertise to offer the entire spectrum of mining services. Effectively DRA is a one-stop-shop to mineral rights owners who wish to convert their resource into wealth.
A list of Indian Mining Companies
20 Microns Limited - Producer of industrial functional minerals
Ashapura Minechem - Industrial minerals exporter
Bird Group of Companies - Consortium of coal, limestone and mineral exploring companies
Bombay Mineral - Manufacturer minerals and refractories
Central Mine Planning & Design Institute - Exploration, mine planning & design
Export Linkers - Mica flakes and powder manufacturer
GR Group - Mining and processing of mica
Indian Metals and Ferro Alloys - Power generation and chrome ore mining
JM Exports - Mica exporters
Kariganur Mineral Mining Industry, Hospet - Iron ore producer
Kerala Minerals & Metals - Mineral producer & separator
Kudremukh Iron Ore - Iron ore concentrate & pellets
Mahavir Minerals - Manufacturer & exporter of feldspar, quartz, mica etc
Mitco - Supplier of industrial minerals
Neyveli Lignite Corporation - Open-cast mechanised lignite mining
Neyveli Lignite Corporation - Lignite mining & thermal power generation
Orissa Mining Corporation - Iron, chromite & manganese mining
Parasramka Mica Industries - Mica manufacturer
Resources International - Production & export of iron ore
Rockwell Engineering - Equipment for underground and surface mining
Rungta Mines - Mining of iron & manganese ore
Sahjanand Group - Manganese dioxide and ferro alloys manufacturer
Tamil Nadu Magnesite Limited - Exploration & preservation of magnesite mineral ore
Timblo Ltd - Involved in iron and manganese ore mining and export
Tungabhadra Minerals - Involved in iron ore mining
Unotherm - Refractories, insulations, refractory raw material and minerals supplier
Ashapura Minechem - Industrial minerals exporter
Bird Group of Companies - Consortium of coal, limestone and mineral exploring companies
Bombay Mineral - Manufacturer minerals and refractories
Central Mine Planning & Design Institute - Exploration, mine planning & design
Export Linkers - Mica flakes and powder manufacturer
GR Group - Mining and processing of mica
Indian Metals and Ferro Alloys - Power generation and chrome ore mining
JM Exports - Mica exporters
Kariganur Mineral Mining Industry, Hospet - Iron ore producer
Kerala Minerals & Metals - Mineral producer & separator
Kudremukh Iron Ore - Iron ore concentrate & pellets
Mahavir Minerals - Manufacturer & exporter of feldspar, quartz, mica etc
Mitco - Supplier of industrial minerals
Neyveli Lignite Corporation - Open-cast mechanised lignite mining
Neyveli Lignite Corporation - Lignite mining & thermal power generation
Orissa Mining Corporation - Iron, chromite & manganese mining
Parasramka Mica Industries - Mica manufacturer
Resources International - Production & export of iron ore
Rockwell Engineering - Equipment for underground and surface mining
Rungta Mines - Mining of iron & manganese ore
Sahjanand Group - Manganese dioxide and ferro alloys manufacturer
Tamil Nadu Magnesite Limited - Exploration & preservation of magnesite mineral ore
Timblo Ltd - Involved in iron and manganese ore mining and export
Tungabhadra Minerals - Involved in iron ore mining
Unotherm - Refractories, insulations, refractory raw material and minerals supplier
Thursday, June 25, 2009
Crisil sees house market recovery in 2010
Mumbai, June 24 Demand in the Indian residential market is expected to turn positive in 2010 due to improvement in affordability, steady economic growth and greater liquidity, says a Crisil research report on the real estate sector.
However, the decline in the currently overpriced capital values of all three real estate segments of residential, commercial and retail will persist through 2009. Commercial and retail markets will continue to see erosion of lease rentals in the next two years, it says.
The report is an analysis of over 400 areas across 88 micro-markets in Ahmedabad, Bangalore, Chandigarh, Chennai, Hyderabad, Kochi, Kolkata, Mumbai-MMR, National Capital Region and Pune.
Mr Sudhir Nair, Head, Crisil Research, said: “Accelerated growth of Indian economy, recovery of global economy, improved liquidity and expected fall in interest rates are key factors that will signal demand revival in the residential segment. This segment is likely to see a much faster revival due to a strong underlying demand for housing and supply coming at attractive price points.”
The demand in the commercial and retail segments is likely to remain under stress the next two years owing to excess supply and weak offtake, he added.
The report says capital values for residential sector and lease rentals for commercial and retail properties had substantially corrected till March due to a slowdown in both the domestic and global economies, and also due to real estate becoming unaffordable.
Kochi, Chandigarh and Pune, which have greater investor presence as against end-users, saw a greater fall in capital values compared to other cities. The situation is expected to continue through 2009 and 2010, particularly in the commercial and retail segments.
However, Crisil Research believes that demand for houses will improve in 2010, backed by lower home loan interest rates as well as better job security owing to higher growth in the economy.(Courtesy: Business Line,Thursday, Jun 25, 2009)
However, the decline in the currently overpriced capital values of all three real estate segments of residential, commercial and retail will persist through 2009. Commercial and retail markets will continue to see erosion of lease rentals in the next two years, it says.
The report is an analysis of over 400 areas across 88 micro-markets in Ahmedabad, Bangalore, Chandigarh, Chennai, Hyderabad, Kochi, Kolkata, Mumbai-MMR, National Capital Region and Pune.
Mr Sudhir Nair, Head, Crisil Research, said: “Accelerated growth of Indian economy, recovery of global economy, improved liquidity and expected fall in interest rates are key factors that will signal demand revival in the residential segment. This segment is likely to see a much faster revival due to a strong underlying demand for housing and supply coming at attractive price points.”
The demand in the commercial and retail segments is likely to remain under stress the next two years owing to excess supply and weak offtake, he added.
The report says capital values for residential sector and lease rentals for commercial and retail properties had substantially corrected till March due to a slowdown in both the domestic and global economies, and also due to real estate becoming unaffordable.
Kochi, Chandigarh and Pune, which have greater investor presence as against end-users, saw a greater fall in capital values compared to other cities. The situation is expected to continue through 2009 and 2010, particularly in the commercial and retail segments.
However, Crisil Research believes that demand for houses will improve in 2010, backed by lower home loan interest rates as well as better job security owing to higher growth in the economy.(Courtesy: Business Line,Thursday, Jun 25, 2009)
Wednesday, June 24, 2009
Brushman(India) Ltd: Multibagger in making
The Company was incorporated in the name and style of BRUSHMAN (INDIA) PRIVATE LIMITED under the Companies Act, 1956 as a private limited Company on 25th January 1993 issued by the Registrar of Companies, Delhi & Haryana. The Company became a public limited company on 16th November 1994.
PRESENT BUSINESS OF THE COMPANY
BIL is the largest manufacturer of paint brushes in India. BRUSHMAN brand of paint brushes are the only brushes available on a nation wide platform and is the largest selling singular brand of paint brush. Apart from paint brushes, BIL is also into manufacture of artist brushes, wire brushes, paint rollers & putty knives.
The Company is now putting up an integrated manufacturing plant in Pantnagar, Uttranchal to manufacture paint brushers, wire brushes, artist brushes, and hair brushes. It is noteworthy that Denman International Ltd., U.K., who are the World's largest manufacturer of hair brushes and who have also invested in the equity of BIL, are giving free technical know-how to manufacture hair brushes and around 34 qualities of hair brushes/combs which shall be manufactured by BIL at the Pantnagar plant shall be exported to Denman International Ltd. For their global markets.
The land for the new plant was acquired in October 2005 and construction work is in full swing. The company expects production to commence by December 2006.
It may be added that the Company shall enjoy all fiscal benefits granted by the Central Govt. for setting up the plant in Pantnagar, Uttranchal.
2. HAIR CARE PRODUCTS
Denman International Limited, UK
BIL made it first foray into cosmetic products in 1996 with a strategic distribution alliance with Denman International Ltd, UK, to market the renowned `Denman' range of hair brushes in India and the SAARC region.
Denman International Limited (DIL) is a subsidiary of Denroy Group, established in 1972. DIL is the UK's largest manufacturer and supplier of hairbrushes and hair accessories, which are exported to more than 72 countries worldwide. The company works in partnership with other companies from the hairdressing industry and has a reputation for developing innovative products. Most of the worldwide patents for hairbrushes are IPR of DIL.
DIL is now entering into a manufacturing agreement with Brushman, which gives BIL the manufacturing right to make select `Denman' products in India on a licence basis. 34 varieties of combs/brushes have been identified and original Denman tooling is in India for commencing exports to Denman. BIL plans to set up the manufacturing facility at Pantnagar (Uttaranchal)
Sales Network for Denman products in India is largely retail oriented. Some ranges of `Denman' hairbrushes are exclusively meant for the salons, which are routed through the Professional Salon network.
Keune, a family owned Dutch company, develops and manufactures exclusive hair cosmetics since 1922. It has an image of credibility based on more than 80 years of experience and possesses one of the best research laboratories in Europe. Keune has a wide range of products including Tinta Colors consisting of 78 Color Shades, Shampoos, Conditioners, Gels, Mousses, Hairsprays, treatment line of lotions for dandruff, falling hair, dry hair etc.
For Keune products the marketing network is primarily the Professional channel comprising of salons and beauty parlours.
Keune Hair Cosmetics, B.V. Holland has invested in 7,00,000 equity shares of Brushman India) Limited ,which were allotted on preferential basis U/S 81(1A) on 28.09.2005.
Brushman (India) Limited, one of the leading manufacturers of paintbrushes, is the only listed company in the country in its category. The company prides itself for being the manufacturer of the largest variety of branded paintbrushes in India. The company has the most sound distribution network, unmatched by any other product in the category. Today, a national network of 2200 distributors and 1000 sub-dealers market the Brushman product.
Brushman brushes are characterized by their superior quality, vast variety and reasonable price range that differentiate them from competing brands. As a matter of pride, the product was adjudged the best in terms of its quality when it was awarded the "INTERNATIONAL DIAMOND STAR OF QUALITY" in 1996, followed by the "EXCELLENCE AWARD" conferred by the Institute of Economic Studies (India) for maintaining the highest quality standards.
The company diversified its operations in 1996 and entered into a distribution agreement with Denman International Ltd., U.K., for distributing the Denman range of hair care products in India, Sri Lanka and Nepal. With a reputed consumer brand product now in hand, a strong salon/distribution network was established. Today, Brushman can proudly claim that their existing distributors are the Most Powerful people in the salon/ cosmetic business.
To further augment its product portfolio, Brushman entered into a strategic tie-up with Keune Hair cosmetics, a Dutch company, which has over 83 years of experience in hair care products. Keune hair products are exclusively developed for professional use, and are launched in the market only after they undergo a thorough research for best ingredients and compositions in the most advanced laboratories in Europe.
Brushman believes very strongly in maintaining its high quality and standardization and is forever committed towards bringing the latest, safest, most exciting and innovative life style products to its customers.
Recomendation: Retail investor can choose this stock for a target of 100-120 for a time span of 1-2 yrs.
PRESENT BUSINESS OF THE COMPANY
BIL is the largest manufacturer of paint brushes in India. BRUSHMAN brand of paint brushes are the only brushes available on a nation wide platform and is the largest selling singular brand of paint brush. Apart from paint brushes, BIL is also into manufacture of artist brushes, wire brushes, paint rollers & putty knives.
The Company is now putting up an integrated manufacturing plant in Pantnagar, Uttranchal to manufacture paint brushers, wire brushes, artist brushes, and hair brushes. It is noteworthy that Denman International Ltd., U.K., who are the World's largest manufacturer of hair brushes and who have also invested in the equity of BIL, are giving free technical know-how to manufacture hair brushes and around 34 qualities of hair brushes/combs which shall be manufactured by BIL at the Pantnagar plant shall be exported to Denman International Ltd. For their global markets.
The land for the new plant was acquired in October 2005 and construction work is in full swing. The company expects production to commence by December 2006.
It may be added that the Company shall enjoy all fiscal benefits granted by the Central Govt. for setting up the plant in Pantnagar, Uttranchal.
2. HAIR CARE PRODUCTS
Denman International Limited, UK
BIL made it first foray into cosmetic products in 1996 with a strategic distribution alliance with Denman International Ltd, UK, to market the renowned `Denman' range of hair brushes in India and the SAARC region.
Denman International Limited (DIL) is a subsidiary of Denroy Group, established in 1972. DIL is the UK's largest manufacturer and supplier of hairbrushes and hair accessories, which are exported to more than 72 countries worldwide. The company works in partnership with other companies from the hairdressing industry and has a reputation for developing innovative products. Most of the worldwide patents for hairbrushes are IPR of DIL.
DIL is now entering into a manufacturing agreement with Brushman, which gives BIL the manufacturing right to make select `Denman' products in India on a licence basis. 34 varieties of combs/brushes have been identified and original Denman tooling is in India for commencing exports to Denman. BIL plans to set up the manufacturing facility at Pantnagar (Uttaranchal)
Sales Network for Denman products in India is largely retail oriented. Some ranges of `Denman' hairbrushes are exclusively meant for the salons, which are routed through the Professional Salon network.
Keune, a family owned Dutch company, develops and manufactures exclusive hair cosmetics since 1922. It has an image of credibility based on more than 80 years of experience and possesses one of the best research laboratories in Europe. Keune has a wide range of products including Tinta Colors consisting of 78 Color Shades, Shampoos, Conditioners, Gels, Mousses, Hairsprays, treatment line of lotions for dandruff, falling hair, dry hair etc.
For Keune products the marketing network is primarily the Professional channel comprising of salons and beauty parlours.
Keune Hair Cosmetics, B.V. Holland has invested in 7,00,000 equity shares of Brushman India) Limited ,which were allotted on preferential basis U/S 81(1A) on 28.09.2005.
Brushman (India) Limited, one of the leading manufacturers of paintbrushes, is the only listed company in the country in its category. The company prides itself for being the manufacturer of the largest variety of branded paintbrushes in India. The company has the most sound distribution network, unmatched by any other product in the category. Today, a national network of 2200 distributors and 1000 sub-dealers market the Brushman product.
Brushman brushes are characterized by their superior quality, vast variety and reasonable price range that differentiate them from competing brands. As a matter of pride, the product was adjudged the best in terms of its quality when it was awarded the "INTERNATIONAL DIAMOND STAR OF QUALITY" in 1996, followed by the "EXCELLENCE AWARD" conferred by the Institute of Economic Studies (India) for maintaining the highest quality standards.
The company diversified its operations in 1996 and entered into a distribution agreement with Denman International Ltd., U.K., for distributing the Denman range of hair care products in India, Sri Lanka and Nepal. With a reputed consumer brand product now in hand, a strong salon/distribution network was established. Today, Brushman can proudly claim that their existing distributors are the Most Powerful people in the salon/ cosmetic business.
To further augment its product portfolio, Brushman entered into a strategic tie-up with Keune Hair cosmetics, a Dutch company, which has over 83 years of experience in hair care products. Keune hair products are exclusively developed for professional use, and are launched in the market only after they undergo a thorough research for best ingredients and compositions in the most advanced laboratories in Europe.
Brushman believes very strongly in maintaining its high quality and standardization and is forever committed towards bringing the latest, safest, most exciting and innovative life style products to its customers.
Recomendation: Retail investor can choose this stock for a target of 100-120 for a time span of 1-2 yrs.
Sunday, June 7, 2009
Market Alert
Ketan Parekh-linked scrips gain 76% in May; plunged after SEBI order
The stocks , in which Ketan Parekh appeared to be trading through his front entities, gained up to 76 per cent in May, but fell to their lower circuits after SEBI debarred 26 entities and individuals for manupulative trading in these scrips These five scrips -- Cals Refineries, Confidence Petroleum India Ltd, Bang Overseas Ltd, Shree Precoated Steels Ltd (now known as Ajmera Realty & Infra India Ltd) and Temptation Foods Ltd -- were trading mostly with gains during May. During the month, Confidence Petroleum India soared as much as 76 per cent on the BSE. The scrip which on May 4 was trading at Rs 6.75 ended May's trade at Rs 11.88 on BSE. Further, Cals Refineries stock surged 34 per cent on the BSE during last month from Rs 0.86 to Rs 0.91 per share. Shares of Temptation Foods jumped 16 per cent in May , while Shree Precoated Steels gained 6 per cent on the BSE. SEBI on Thursday debarred 26 entities from the securities market, after an investigation into possible manipulative trading by them in these five stocks. In the same order, SEBI also noted that debarred stock broker Ketan Parekh appeared to be trading in the stock market through at least five of these entities. Parekh and the entities related to him were banned by the market regulator from participating in securities market for masterminding the multi-crore stock scam during 1999-2001. SEBI has also said the entities being debarred made substantial losses on account of the dealings in the scrips of Cals Refineries, Shree Precoated Steels and Temptation Foods. Following the SEBI order, these stocks had hit their lowest permissible trade limit on Friday, while one Shree Precoated Steel's scrip is suspended from May 8. (Courtesy: Economic Times)
The stocks , in which Ketan Parekh appeared to be trading through his front entities, gained up to 76 per cent in May, but fell to their lower circuits after SEBI debarred 26 entities and individuals for manupulative trading in these scrips These five scrips -- Cals Refineries, Confidence Petroleum India Ltd, Bang Overseas Ltd, Shree Precoated Steels Ltd (now known as Ajmera Realty & Infra India Ltd) and Temptation Foods Ltd -- were trading mostly with gains during May. During the month, Confidence Petroleum India soared as much as 76 per cent on the BSE. The scrip which on May 4 was trading at Rs 6.75 ended May's trade at Rs 11.88 on BSE. Further, Cals Refineries stock surged 34 per cent on the BSE during last month from Rs 0.86 to Rs 0.91 per share. Shares of Temptation Foods jumped 16 per cent in May , while Shree Precoated Steels gained 6 per cent on the BSE. SEBI on Thursday debarred 26 entities from the securities market, after an investigation into possible manipulative trading by them in these five stocks. In the same order, SEBI also noted that debarred stock broker Ketan Parekh appeared to be trading in the stock market through at least five of these entities. Parekh and the entities related to him were banned by the market regulator from participating in securities market for masterminding the multi-crore stock scam during 1999-2001. SEBI has also said the entities being debarred made substantial losses on account of the dealings in the scrips of Cals Refineries, Shree Precoated Steels and Temptation Foods. Following the SEBI order, these stocks had hit their lowest permissible trade limit on Friday, while one Shree Precoated Steel's scrip is suspended from May 8. (Courtesy: Economic Times)
Market potential ,future prospects & multibagger stock advice
I am feeling comfortable in writting my blog after couple of months.Indian stock mareket have enough potential to cross 20,000 landmark by Dec'2009.
Stock Exchange news:
A total of about 1.2 lakh new stock market investors opened their demat accounts, which is necessary to trade in equities, during the month of May, according to data available with the two depositories, National Securities Depository Ltd (NSDL) and Central Depository Services Ltd (CDSL). This has increased the total number of demat accounts in the country to over 1.5 crore. The market experts believe that the inflow of a large number of new investors into the market could be attributed the sharp surge in the recent months as well as expectations for revival of the IPO market with some fundamentally-sound public issues by the government-run companies. The total investor wealth, measured in terms of cumulative market capitalisation of all the listed companies, has soared to about Rs 51,00,000 crore. This represents a gain of about Rs 23,00,000 crore from the level seen in later October last year, although it is still about Rs 20,00,000 crore below the peak seen in January 2008. With the benchmark Sensex hitting its record high of 21,206.77 points on January 10, 2008, the total investor wealth had risen to a high of about Rs 72,00,000 crore at that time. However, a sharp meltdown thereafter pulled the Sensex to below 8,000-mark in late October 2008. Since then, the Sensex has nearly doubled and has regained 15,000-point mark. Out of the total gain of about 7,500 points in the benchmark Sensex since its 52-week low of 7,697.39 points on October 27, 2008, nearly half the gain has materialised in the past one month alone (Courtesy: Economic Times). There are some stocks which are still undervalued and it can give retail investors a good return after a stipulated time frame.Here is the multibagger stock list for reference:
Pioneer Embroidaries
Krishna Lifestyle
Praj Industries
Vikash Metal & Power
Marg Ltd
Gitanjali Gem
Classic Diamond
Southern Online Biotech
Sanguine Media
Kohinoor Broadcasting
Tanla Solution
Genus Power Infrastructure
Suryachakra Power corporation
Surana telecom & power
Indiabulls retail.
Vijaya Bank
Austin Engineering
Deccan gold mines
These stock can give you 5-7 times return in a stipulated time frame of 1-2 years.
Stock Exchange news:
A total of about 1.2 lakh new stock market investors opened their demat accounts, which is necessary to trade in equities, during the month of May, according to data available with the two depositories, National Securities Depository Ltd (NSDL) and Central Depository Services Ltd (CDSL). This has increased the total number of demat accounts in the country to over 1.5 crore. The market experts believe that the inflow of a large number of new investors into the market could be attributed the sharp surge in the recent months as well as expectations for revival of the IPO market with some fundamentally-sound public issues by the government-run companies. The total investor wealth, measured in terms of cumulative market capitalisation of all the listed companies, has soared to about Rs 51,00,000 crore. This represents a gain of about Rs 23,00,000 crore from the level seen in later October last year, although it is still about Rs 20,00,000 crore below the peak seen in January 2008. With the benchmark Sensex hitting its record high of 21,206.77 points on January 10, 2008, the total investor wealth had risen to a high of about Rs 72,00,000 crore at that time. However, a sharp meltdown thereafter pulled the Sensex to below 8,000-mark in late October 2008. Since then, the Sensex has nearly doubled and has regained 15,000-point mark. Out of the total gain of about 7,500 points in the benchmark Sensex since its 52-week low of 7,697.39 points on October 27, 2008, nearly half the gain has materialised in the past one month alone (Courtesy: Economic Times). There are some stocks which are still undervalued and it can give retail investors a good return after a stipulated time frame.Here is the multibagger stock list for reference:
Pioneer Embroidaries
Krishna Lifestyle
Praj Industries
Vikash Metal & Power
Marg Ltd
Gitanjali Gem
Classic Diamond
Southern Online Biotech
Sanguine Media
Kohinoor Broadcasting
Tanla Solution
Genus Power Infrastructure
Suryachakra Power corporation
Surana telecom & power
Indiabulls retail.
Vijaya Bank
Austin Engineering
Deccan gold mines
These stock can give you 5-7 times return in a stipulated time frame of 1-2 years.
Tuesday, March 3, 2009
Spiritual Thought-What is Vedanta?
The Ramakrishna-Vivekananda Center of New York bases its teachings on the system of Vedanta, especially as explained by Sri Ramakrishna (1836-1886) and his disciple Swami Vivekananda (1863-1902) and demonstrated in their lives. Vedanta is the philosophy that has evolved from the teachings of the Vedas, which are a collection of ancient Indian scriptures -- the world's oldest religious writings.
According to the Vedas, ultimate reality is all-pervading, uncreated, self-luminous eternal spirit, the final cause of the universe, the power behind all tangible forces, the consciousness that animates all conscious beings. This is the central philosophy of the Vedantist, and his religion consists of meditation on this spirit and prayer for the guidance of his intellect along the path of virtue and righteousness.
From the philosophical standpoint, Vedanta is non-dualistic, and from the religious standpoint, monotheistic. The Vedanta philosophy asserts the essential non-duality of God, soul and universe, the apparent distinctions being created by names and forms which, from the standpoint of ultimate reality, do not exist. Vedanta accepts all religions as true and regards the various deities of the different faiths as diverse manifestations of the one God.
According to Vedanta, religion is experience and not mere acceptance of certain time-honored dogmas or creeds. To know God is to become like God. We may quote scripture, engage in rituals, perform social service, or pray with regularity, but unless we realize the Divine spirit in our hearts, we are still phenomenal beings, victims of the separative existence. One can experience God as tangibly 'as a fruit lying on the palm of one's hand,' which means that in this very life we can suppress our lower nature, manifest our higher nature, and become perfect. Through the experience of God, one's doubts disappear and the 'knots of the heart are cut asunder.' By ridding himself of the desires clinging to his heart, a mortal becomes immortal in this very body. That the attainment of immortality is not the prerogative of a chosen few but the birthright of all is the conviction of every follower of Vedanta.
Vedanta asserts that Truth is universal and all humankind and all existence are one. It teaches the unity of Godhead, or ultimate Reality, and accepts every faith as a valid means for its own followers to realize the Truth. The four cardinal principles of Vedanta may be summed up as follows: the non-duality of the Godhead, the divinity of the soul, the unity of existence and the harmony of religions. On these four principles the faith of the Vedantist is based.
The essential teachings of Vedanta, as stated by Swami Vivekananda is: "Each soul is potentially divine, the goal is to manifest this divinity within by controlling nature: external and internal. Do this either by work, or worship, or psychic control, or philosophy -- by one, or more, or all these -- and be free. This is the whole of religion. Doctrines, or dogmas, or rituals, or books, or temples, or forms, are but secondary details."
According to the Vedas, ultimate reality is all-pervading, uncreated, self-luminous eternal spirit, the final cause of the universe, the power behind all tangible forces, the consciousness that animates all conscious beings. This is the central philosophy of the Vedantist, and his religion consists of meditation on this spirit and prayer for the guidance of his intellect along the path of virtue and righteousness.
From the philosophical standpoint, Vedanta is non-dualistic, and from the religious standpoint, monotheistic. The Vedanta philosophy asserts the essential non-duality of God, soul and universe, the apparent distinctions being created by names and forms which, from the standpoint of ultimate reality, do not exist. Vedanta accepts all religions as true and regards the various deities of the different faiths as diverse manifestations of the one God.
According to Vedanta, religion is experience and not mere acceptance of certain time-honored dogmas or creeds. To know God is to become like God. We may quote scripture, engage in rituals, perform social service, or pray with regularity, but unless we realize the Divine spirit in our hearts, we are still phenomenal beings, victims of the separative existence. One can experience God as tangibly 'as a fruit lying on the palm of one's hand,' which means that in this very life we can suppress our lower nature, manifest our higher nature, and become perfect. Through the experience of God, one's doubts disappear and the 'knots of the heart are cut asunder.' By ridding himself of the desires clinging to his heart, a mortal becomes immortal in this very body. That the attainment of immortality is not the prerogative of a chosen few but the birthright of all is the conviction of every follower of Vedanta.
Vedanta asserts that Truth is universal and all humankind and all existence are one. It teaches the unity of Godhead, or ultimate Reality, and accepts every faith as a valid means for its own followers to realize the Truth. The four cardinal principles of Vedanta may be summed up as follows: the non-duality of the Godhead, the divinity of the soul, the unity of existence and the harmony of religions. On these four principles the faith of the Vedantist is based.
The essential teachings of Vedanta, as stated by Swami Vivekananda is: "Each soul is potentially divine, the goal is to manifest this divinity within by controlling nature: external and internal. Do this either by work, or worship, or psychic control, or philosophy -- by one, or more, or all these -- and be free. This is the whole of religion. Doctrines, or dogmas, or rituals, or books, or temples, or forms, are but secondary details."
Sunday, February 15, 2009
Saturday, February 14, 2009
West Bengal's development scenario bright for investment
West Bengal's government recently announced infrastructure development programmes worth US$25.2 billion - worth only a little less than total foreign direct investment (FDI) to China in the first half of 2007. Such figures illustrate the scale of dynamic, rival agendas set in either country to lever development potential in the race for greater prosperity.
Hong Kong infrastructure and real estate companies, particularly those run by Indian expatriates with direct connections with West Bengal, can find a considerable list of upcoming opportunities, including in the fields of logistics, infrastructure development and tourism.
Large-scale works ahead.
The new pro-industry approach of the socialist-leaning West Bengal government has resulted in project announcements and implementations on a grand scale. The state is already attracting investments in many different sectors, including ship building, development of special economic zones, light product manufacturing, power generation, iron and steel, IT, retail, agriculture and tourism.
Industry friendly policies, easy procurement of land, the availability of skilled, professionally-trained labour, various central government and state financial assistance schemes are among the advantages in which companies investing in the state have become involved.
Call for investors to India's professionally-trained environment.
West Bengal is particularly well-endowed with minerals, making it among the best destinations for iron and steel plants. Also, with the state being among the top agri-producing states, there's potential for agri-based industries to set up shop.
The huge, western subcontinental state is working towards becoming the leading power generator in the country. West Bengal's government is following the SEZ and industrial parks strategy to industrialisation, which means that units in these regions can avail themselves of some key tax benefits and labour-friendly policies.Beeline for West Bengal by investors and workers.
All this has worked in favour of domestic Bengali companies, many of which are expanding facilities. Furthermore, almost every big company in every industrial sector in the country is making a beeline for West Bengal.
To attract foreign companies to the state, the government is regularly sending business delegations to various trading centres.Most recently, delegations have gone to Russia, Singapore and Taiwan. The government is also working towards strengthening cross-border trade with Bangladesh, by developing the road network while also working on facilitating various tariff and non-tariff areas.Forging a new future in steel and engineering.The iron and steel sector is growing at a rate of around 10% and almost all major players throughout the country have set up base and are expanding. Important players include SAIL, Bhushan Ltd, Gonterman Piepers, Electrosteel Casting and Vesuvius India.Among the new ventures, Bhushan Steel has recently announced plans to set up a two million tonne per annum steel plant.Headlining the projected development JSW Bengal Steel is planning a US$ 8.7 billion steel venture in Salboni, with a capacity of around 10 million tonnes per annum. The first phase of the project is expected to become operational by 2011.
Consumer durables company Videocon has recently submitted a US$ 3.7 billion investment proposal to the Bengali government for setting up a 3 million tonne steel plant in the state, among other projects.
For its part, the Bengali government has put in place industry-friendly policies to boost the sector, including technology upgrades, research and development grants, government procurement and selection for joining given construction projects.
Engineering projects are taking a leading part in development too. US giant GE Equipment Services (GEES) has picked up a 15% equity (US$37.5 million) in railway wagon maker Titagarh Wagons Ltd (TWL), to tap the vast logistics business through West Bengal.
In fact, GE plans to invest US$8 billion over the next three years in the country as a whole, with a substantial amount earmarked for West Bengal. These investments would be targeted at developing infrastructure facilities such as a deep sea port, a railway freight corridor, a transport hub and associated housing and healthcare projects.
Shipbuilding company APJ Bharti Shipyard is planning to set up a shipyard in the state, with an investment of US$ 500 million while McNally Bharat Engineering Company Ltd, a part of the giant Indian tea conglomerate Williamson Magor group, has announced a US$ 5 million investment plan to set up a plant, to help in executing turnkey projects for the steel players in the state.
Boost for automotive development.Automotive developments are also underway. Tata Motor has its huge Singur project, from which an automotive components sector has received a major boost, with a number of players setting up shop in West Bengal. The government has also received proposals for several component manufacturing parks.Caparo Engineering India, a wholly-owned subsidiary of the Euros 2 billion Caparo Group of the UK, is setting up a sheet metal and stamping facility at Singur to supply Tata Motors.Other auto component makers making a beeline for Singur include Rasandik Engineering, Rucha Engineering, Lumax and JBM Auto.
Green and IT options part of the growth cycle.The West Bengal government has some ambitious plans in the energy sector, among which it's promoting renewable energy projects. These would be implemented through a Green Energy Development Corporation (GEDC).
The state government expects investments to the tune of US$2.7 billion in renewable power projects during its 11th Five-Year Plan set between 2007 and 2012.
Suzlon Energy has already submitted a US$1.5 billion investment proposal to the state government, for a wind energy project, in coastal Digha in West Bengal.
Bhaskar Group, a well-known name in the field of solar wafer cells, has also drawn up a US$ 1 billion investment proposal along with a US company, which is expected in Haldia.
The private sector is investing in captive power plants, as newer manufacturing facilities arise. Bhushan Steel and Strips, which has announced a steel manufacturing facility in the state, is also setting up a 1000 MW thermal power project, at an investment of around US$1 billion.
IT sector on huge growth cycle.The IT sector in West Bengal is growing at a rate of almost 70% annually, even though average growth in the sector nationwide is only between 35% and 37%.
The growth has been fuelled through SEZ and IT parks. "We have set a target of contributing about 15% to the country's total revenue earnings from IT exports and be among the country's top three states in terms of generating revenues from IT-related activities in the next five years," said a spokesman for the government's IT secretariat.Major players such as IBM, Tata Consultancy Services, Cognizant, PwC, Skytech, NIIT, HCL, Genpact and Wipro are operating in West Bengal. Other companies which have charted out their expansion plans in the state include Convergys, HCL Infotech and Patni.US-based Accenture is in talks with the government for setting up its centre in the state's capital, Kolkata. Accenture's Kolkata centre would be its largest across Asia.
Leading software exporter Satyam Computer Services Limited is planning to expand operations in West Bengal, and is keen on acquiring more land. The company currently has an IT and BPO centre in the Salt Lake Electronics Complex.
As many as 13 IT Parks are being planned in the state, to create an additional 13.3 million sq feet of built-up space.
The state government is planning two new IT-specific special economic zones (SEZs) to accommodate IT giants - Infosys, Wipro and TCS. The two SEZs would be owned by the state and located in Rajarhat (323 acres) and Kalyani (200 acres).
To attract more foreign IT companies to the SEZs, the government plans to send official delegations to Taiwan and Singapore, among others.
Besides these parks, towns such as Durgapur, Siliguri, Haldia are emerging as suitable IT destinations, as they have developed software technology parks.
The West Bengal government has also put in place an IT policy with e-governance as the most important feature, aimed at connecting the state's 3,600 local self-governments and municipalities. The policy also focuses on promoting IT education to create skilled professionals in the field.
Infrastructure on the upgrade.Investment for infrastructure in the offing.West Bengal is investing in infrastructure development, by way of upgrading road, rail and air network, and setting up industrial infrastructure by way of SEZs, industrial parks and clusters.
The government is upgrading the infrastructure of the Durgapur-Asansol industrial region. The upgrade includes a greenfield airport, housing, markets, and other infrastructure. The project will take off from January 2008, and will be completed by June 2010.Port infrastructure is another focus area for the government, which is in the process of sprucing up the facilities at the existing ports, while looking at proposals for new port facilities.One such is the Kulpi port, jointly promoted by DP World, Keventers Agro and West Bengal Industrial Development Corporation (WBIDC). The port will come up adjacent to a SEZ, close to Diamond Harbour.
Push for tourism.
The huge potential of tourism has brought forth a policy framework to attract more tourists as well as investors.
In 2004, less than one million foreign tourists and 12.3 million domestic tourists visited the state. The government has allocated around US$650,000 in the state budget to boost tourism.
The state's tourism ministry has also commissioned a study to international consulting firm, Ernst and Young, to target the most appropriate areas of tourism development in the state, and to chalk out a strategy for boosting the sector.
The state government is planning to make investments to the tune of US$75 million with assistance from the Asian Development Bank, to promote beach tourism. For this, the UN Development Programme has been asked to study the entire east coast.
from special correspondent Reena Mital, Mumbai
Courtesy: Special correspondent Reena Mital, Mumbai for International Market News
Thursday, January 29, 2009
Real Estate Market can be turned around after six successful quarters.
Real Estate Market can be turned around after six successful quarters.
I have mentioned my analysis and investment policy in my blog and I mentioned repeatedly that population is on the rise and our country’s population itself will double over the coming few decades. With our country going global it’s of one’s easy assumption that people would opt for their own flats and residents. Majority of the population being youth gives a strong conviction of the upcoming developments. Fine enough, recession may always come and hurt once in a century but that would only be an opportunity to capitalizes go for the Real estate company which has ambitious plans, a lot of proven land bank and belief that it would spark a robust turnaround once the sentiment changes for good.
Real Estate Market will be turned around after six successful quarters. Market seems to be corrected by 10-15% from October'2008 low. May-Sept'2009 phase to be proved brightest time for investment. Indian Market to be proved the best platform for Energy, Education, Media & Entertainment & "Alternative Energy Sources".
I have mentioned my analysis and investment policy in my blog and I mentioned repeatedly that population is on the rise and our country’s population itself will double over the coming few decades. With our country going global it’s of one’s easy assumption that people would opt for their own flats and residents. Majority of the population being youth gives a strong conviction of the upcoming developments. Fine enough, recession may always come and hurt once in a century but that would only be an opportunity to capitalizes go for the Real estate company which has ambitious plans, a lot of proven land bank and belief that it would spark a robust turnaround once the sentiment changes for good.
Real Estate Market will be turned around after six successful quarters. Market seems to be corrected by 10-15% from October'2008 low. May-Sept'2009 phase to be proved brightest time for investment. Indian Market to be proved the best platform for Energy, Education, Media & Entertainment & "Alternative Energy Sources".
Subscribe to:
Posts (Atom)
Posts
